Time for a change, PayPal names Enrique Lores as new CEO amid 4th quarter’s results miss estimates

PayPal Holdings, Inc. (NASDAQ: PYPL) shares fell over 16% premarket on Tuesday after the digital payments giant reported fourth quarter earnings and revenue that missed analyst expectations, overshadowing its slightly higher-than-expected guidance for fiscal 2026.

PYPL also announced a significant leadership change, with Enrique Lores appointed as President and CEO effective March 1, 2026, replacing Alex Chriss. Lores has served on PayPal’s Board for nearly five years and as Board Chair since July 2024. Jamie Miller, PayPal’s Chief Financial and Operating Officer, will serve as Interim CEO until Lores assumes the role.

The company reported fourth-quarter adjusted earnings per share of $1.23, falling short of the $1.29 analyst consensus. Revenue came in at $8.68 billion, below the expected $8.79 billion, though it represented a 4% increase YoY. Total payment volume rose 9% to $475.1 billion, or 6% on a currency-neutral basis.

For fiscal 2026, PayPal provided earnings guidance that was modestly above expectations, projecting EPS of $5.75 compared to the consensus estimate of $5.73. However, the company warned of a mid-single-digit decline in first-quarter 2026 earnings.