PayPal (PYPL, Financial) registered +29% revenue growth (constant currency) on +46% growth in total payment volume of $285 billion which is on top of a +19% growth rate a year ago. The Company has been a key enabler for the digitization of commerce, a trend that has accelerated since the outbreak of COVID-19. PayPal’s platforms are approaching 400 million active accounts that average over 40 transactions per year. The ubiquity of PayPal’s platforms among online shoppers is an increasingly attractive piece of the value proposition to small and medium-size online businesses, helping drive higher conversion rates and sales while allowing the Company to raise prices and capture a portion of this value creation. We continue to own PayPal in size as a core position, given the exceptional returns and attractive position in the large and expanding e-commerce addressable market.
From David Rolfe (Trades, Portfolio)'s Wedgewood Partners second-quarter 2021 shareholder letter.
