PayPal: It's Better To Face The Reality Than Remain Delusional (Downgrade)

Regrettably, it's time to downgrade PayPal Holdings, Inc. as structural growth challenges persist despite a new CEO and cost-cutting initiatives. Q2 guidance signals the worst isn't over, with revenue and transaction margin growth stuck in low single digits. I didn't discern enough conviction from management and slow progress on platform integration to dampen prospects for a near-term turnaround.