PayPal Holdings Inc (NASDAQ:PYPL) reported better-than-expected second-quarter earnings and unveiled a US$15bn stock buyback programme.
The buyback will represent about 15% of the digital payment company's market cap, with US$4bn expected in stock repurchases in 2022, and the rest spilling over into next year.
It has also entered into an information sharing agreement with activist investor Elliot Management after it invested US$2bn in the company following a 70% decline in PayPal's stock over the past year.
Total payment volumes up 9% to US$340bn in the quarter.
Revenue came in at US$6.8bn, versus analyst expectations of US$6.78bn, and adjusted earnings per share were US$0.93 as compared to analyst estimates of US$0.86.
In its fiscal 2022 guidance, PayPal expects earnings between US$3.87 and US$3.97 per share.