If you have been shopping online, then the name PayPal should sound familiar to you – as some of the merchants make use of the digital payment platform to accept payments from their customers.
This post was originally posted here. The writer, Lim Jun Yuan is a veteran community member and blogger on InvestingNote, with username known as ljunyuan and has 1386 followers.
Before you continue reading today’s post, a disclaimer: I am currently invested in the company I am going to talk about today – PayPal Holdings Inc. (NASDAQ:PYPL). But having said that, as always, rest assured I will be impartial in my analysis of the company.
I’m sure the name PayPal is not one that’s alien to you – especially to those of you who have shopped online before, you should have come across it when making payments, as some merchants make use of its digital payment platform to accept payments from their customers (for a small fee.)
From my understanding in its FY2019 annual report (for the financial year ended 31 December 2019), the company currently has 281 million customer active accounts and 24 million merchant active accounts across more than 200 markets worldwide. The company also owns Braintree (a company based in Chicago in the United States that specializes in mobile and web payment systems for e-commerce companies, which was acquired by PayPal in September 2013), Venmo (a mobile payment service that allows for the transfer of funds between its app users), and Xoom (a platform that facilitates the sending of money, paying of bills, and reloading of mobile phones from the United States and Canada to 131 countries worldwide; the company was acquired by PayPal in November 2015.)
Among the various means that PayPal Holdings Inc. generates its revenue from include: …
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Whenever I shortlist for a list of companies to invest in, one of my many criteria is that the company must have a simple-to-understand business.
This post was originally posted here. The writer, Lim Jun Yuan is a veteran community member and blogger on InvestingNote, with username known as ljunyuan and has 1241 followers.
One of the companies under my investment radar is social media conglomerate Facebook Inc. (NASDAQ:FB), which is listed in the United States.
Unless you have been living under a rock all these while, you should know its business – chief of which is its namesake social networking site (many of you should have a personal Facebook account which you use to keep in touch with your loved ones.)
Apart from Facebook, the conglomerate also owns Instagram, Messenger, as well as WhatsApp – all of them you should be familiar with as well, so I shall not further elaborate. Another business which it owns which you may not be familiar with is a company by the name of Oculus (https://www.oculus.com), which produces virtual reality products (the company was acquired by Facebook Inc. in March 2014.)
In terms of revenue, it comes from selling ad placements (on Facebook, Instagram, Messenger, and other third-party applications and websites) to marketers (where they have the option of selecting their target audiences based on a variety of factors including age, gender, location, interests, and behaviours.) …
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