Two beat-up fintech companies, (NASDAQ: PYPL) and Western Union (NYSE: WU), have likely attracted attention from value investors lately. Both stocks' valuations look appealing relative to underlying business fundamentals. Even more, both companies are buying back stock in droves, suggesting management thinks shares are undervalued.

With both PayPal and Western Union having just reported earnings, it's a good time to compare these value stocks to see which one is a better buy.

Riddled by worries about increasing competition in the online checkout space, PayPal stock has fallen an incredible 75% over the past three years. Interestingly, however, the company's top line has continued to grow steadily. Total revenue in 2022 and 2023, for instance, increased 7% and 8% year over year, respectively. Further, revenue in the first and second quarters of 2024 rose 9% and 8%, respectively.

Continue reading

Source Fool.com