Kessler Topaz Meltzer & Check, LLP filed a securities fraud class action lawsuit against PayPal Holdings, Inc. on February 20, 2026. The legal action represents investors who purchased PayPal common stock between February 25, 2025, and February 2, 2026. The complaint alleges that PayPal made material misstatements regarding its projected revenue outlook and growth.
PayPal announced a surprise change in its Chief Executive Officer on February 3, 2026. The company reported fourth-quarter and full-year 2025 earnings that fell below consensus estimates. PayPal shares dropped 20.3% to close at $41.70 following the announcements. The company issued a 2026 forecast projecting adjusted earnings per share between a low-single-digit decline and a slight increase.