Pre-2Q26 Catchup and Model Update

Deutsche Bank adjusted its 2Q26 model for PayPal, lowering Branded growth expectations to 0.75% constant currency due to headwinds in travel and Europe, despite some improvement in the US market.

Key Takeaways

• 1.Deutsche Bank lowered its 2Q26 Branded growth assumption for PayPal to ~0.75% cc (vs ~1.0% cc prior).
• 2.While US growth appears to be improving, PayPal is experiencing headwinds in travel and Europe, particularly in the UK.
• 3.The firm maintains a Hold rating on PayPal with a price target of $45.00.

Table of Contents

• Pre-2Q26 Catchup and Model Update
• Topics Discussed on Call (1x1 w/IR):
• Appendix 1
• Important Disclosures
• Analyst Certification
• Historical recommendations and target price: PayPal (PYPL.OQ)
• Company rating dispersion and banking relationships
• Additional Information