American Express vs. PayPal: Which Stock Does Wall Street Expect to Grow Faster Through 2027?

PayPal reduced its shares outstanding by 9% to 837 million by September 30, 2026, through $6.1 billion in buybacks. Q3 adjusted EPS rose 8% to $1.45, while revenue grew 2% and net income fell 3%. Management raised 2026 non-GAAP EPS guidance to $5.60, up from $5.38, and plans a $0.14 quarterly dividend.

Five companies—PayPal, General Motors, EPAM Systems, Lam Research, and Airbnb—are aggressively buying back their own stock amid market sell-offs. PayPal has spent $6 billion on buybacks in the past year, while General Motors authorized a $20 billion program. EPAM Systems raised its buyback authorization to $1.8 billion, Lam Research announced a $25 billion plan, and Airbnb authorized a $12 billion buyback.

American Express has acquired TheFork, a restaurant booking platform with 55,000 partners and 50 million downloads, from Tripadvisor. TheFork will keep its brand, and the deal expands American Express's presence in the restaurant and hospitality sector.

Greg Abel, successor to Warren Buffett at Berkshire Hathaway, has maintained a concentrated portfolio, with seven stocks making up 71% of its $362 billion investments. Key holdings include Apple, American Express, and Coca-Cola, which have been long-term Buffett favorites. Abel has also significantly increased Berkshire's stake in Alphabet and focuses on energy stocks like Chevron and Occidental Petroleum.

Robinhood (HOOD) fell 10% and SoFi (SOFI) dropped 8% as Bitcoin slid, affecting fintech stocks. Robinhood's revenue is heavily tied to trading. Analysts expect its normalized EPS to rise from $2.42 in 2026 to $4.37 in 2028. PayPal (PYPL) and Block (SQ) declined less, as their revenue is more diversified.

PayPal has reportedly offered to acquire Pinterest for $45 billion, according to sources familiar with the matter. The deal could signal a shift in PayPal's strategy towards digital content and social commerce.