# PayPal beat expectations in their first quarter 2026 earnings.

*fintech · news · 2026-05-06 · Fortune*

## Key points

- PayPal's Q1 2026 earnings beat expectations but shares fell 10% to $45.50.
- New PayPal CEO Enrique Lores introduced a three-unit operating model and pledged aggressive AI adoption.
- PayPal's growth decelerated from 6% to 1% year-over-year in the last quarter.
- Former president David Marcus admitted optimizing payment volume over differentiation was a critical misstep.
- Many ex-PayPal leaders far surpassed PayPal, founding or funding companies now worth trillions collectively.

**Companies:** PayPal, Tesla, SpaceX, Meta, LinkedIn, Palantir, Braintree, Yelp, YouTube, Affirm
**Countries:** USA

[Read the full story on Fortune](https://fortune.com/2026/05/06/paypal-mafia-earnings-struggling-apple-pay-elon-musk-peter-thiel/)

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