PayPal (NASDAQ:PYPL) shares closed nearly 2% lower today after recovering from a 7% drop in the morning as a result of the company lowering its full full-year revenue outlook.
Q3 EPS came in at $1.08, better than the Street estimate of $0.96, while the revenue of $6.85 billion missed the Street estimate of $6.82 billion. For the full 2022-year, the company expects EPS to be in the range of $4.07-$4.08, compared to the Street estimate of $3.93. Full-year revenue is now expected to be $27.5 billion, lower than the Street estimate of $27.81 billion.
Positively, the company is confident it can drive material margin expansion in any economic scenario in 2023, committing to at least 100 bps of margin expansion and over 15% in EPS growth.