PayPal Shares Tumble Premarket After Disappointing Outlook

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PayPal Shares Tumble Premarket After Disappointing Outlook
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PayPal shares fell sharply ahead of the market open after the company issued lackluster guidance for the year and said inflation’s effect on consumers will hit transaction volumes

PayPal Holdings Inc. shares fell sharply ahead of the market open after the online payments company issued lackluster guidance for the year and said rising inflation’s effect on consumers will hit transaction volumes.

Shares sank as much as 17% in premarket trading. PayPal issued a revenue-growth forecast below last year’s and said it expected to earn between $4.60 and $4.75 per share under its preferred profit measure in the fiscal year 2022, below analyst expectations of $5.21, according to FactSet.

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