PayPal Names Ex-HP CEO Lores; paypal stock Plunges Amid Q4 Miss, Muted 2026 Outlook

PayPal Holdings Inc. has appointed former HP chief Enrique Lores as its new CEO. The announcement coincided with a sharp drop in paypal stock after disappointing fourth-quarter earnings and a weak 2026 profit outlook, intensifying investor scrutiny. PayPal shares declined sharply following its fourth-quarter earnings report, which missed analyst expectations. The company also issued a lower-than-expected profit forecast for 2026, collectively fueling significant investor concern. Why this matters now: The market's immediate reaction underscores investor anxieties regarding PayPal's growth trajectory and profitability. This occurs within an increasingly competitive digital payments landscape. Enrique Lores replaces Alex Chriss as head of the company. The leadership change also impacted HP, with its stock declining 6% following Lores's departure from his CEO role there. Market analysts are now closely scrutinizing PayPal's strategic direction under new leadership. The board's reported rationale for Lores's appointment, citing 'slow progress,' signals a mandate for accelerated growth and innovation for paypal stock. Lores faces the immediate challenge of restoring investor confidence and articulating a clear strategy. This strategy must improve financial performance and market share by capitalizing on evolving digital payment trends. This leadership transition marks a pivotal moment for PayPal as it navigates heightened scrutiny and investor skepticism. Its ability to execute a renewed growth strategy under Lores will be crucial for future valuation and competitive standing.