1 Number That Proves PayPal's Dominance

As a result of massive government stimulus and heightened consumer interest in online shopping during the pandemic, PayPal Holdings (NASDAQ: PYPL) benefited greatly. The business grew revenue 20.7% and 18.3% in 2020 and 2021, respectively, and generated an outstanding $10.4 billion in free cash flow over the two-year period. However, shareholders are wondering how successful PayPal can be in a more normalized world where physical retail shows strength again.

When the company reported mixed financial results for Q4 2021, as well as weaker-than-expected revenue guidance for the current year on Feb. 1, the stock took an immediate hit. Since that financial release, shares are down roughly 35% (as of Feb. 15), a clear sign that investors have soured on the digital-payments behemoth.

Despite investor pessimism, this fintech pioneer is still a dominant business. Let's take a look at one number that proves why.

Source Fool.com