PayPal versus Visa

I am a subscriber to Seeking Alpha which during the day updates its readers with many blurbs about what the Wall Street research is telling their readers.

This morning, September 21, 2022, I received the following:

  • Bank of America has added PayPal Holdings (NASDAQ:PYPL) and removed Visa (NYSE:V) to its US 1 list, which represents the firms best investment ideas from its Buy-rated, U.S.-listed stocks. BofA keeps its buy rating on Visa.

  • In Wednesday premarket trading, PayPal (PYPL) has gained 0.6%, and Visa (V) was up 0.2%.

  • By contrast, SA’s Quant system, which historically outperforms the market, has a Hold rating on PayPal (PYPL) as well as on Visa (V).

I have charted the relative performance of PYPL vs V over the last few monthe with the results below.

The swap between PYPL and V should have happened on July 22, 2022

 

PayPal

Paypal has been one of the more active stocks for the last few weeks.

Obviously, someone or a group of someone had a head start on the decline.

The following graph of the weekly activity should be helpful in coming to that conclusion.

In October of 2021, the decline began.

The daily chart should through further light.

As in all previous charts, the red line signifies SELL, the Green line, BUY, and the Blue line indicates close out the previous position