PYPL — deposits are stickier than feared (Part 2)

The thesis

Deposit betas are behaving better than the bear case modeled.

Capital return capacity is underappreciated after the stress noise.

What I'm watching

• PYPL NIM vs guide
• net charge-off trend
• A clean move through the level I flag below

Positioning

Neutral / hedged on PYPL, 1-6 months horizon. Conviction: Medium. Rate path swings the NIM story both ways.

Opinion, not investment advice. The author may or may not hold positions discussed.