PayPal Holdings (PYPL) - Get PayPal Holdings Inc Report offered disappointing guidance for its fiscal third-quarter after the bell Wednesday even as it topped earnings estimates for the second quarter but missed revenue forecasts.
The payments processor reported non-GAAP earnings of $1.15 a share on revenue of $6.24 billion for the latest quarter. PayPal had been expected to report earnings of $1.12 a share, on sales of $6.3 billion, based on a FactSet survey of 38 analysts.
In the same period a year ago, the company posted earnings of $1.07 a share on sales of $5.3 billion.
PayPal said it expects third-quarter revenue of $6.15 billion to $6.25 billion and non-GAAP earnings of $1.07 a share.
Analysts had been forecasting sales of $6.4 billion and earnings of $1.14 a share.
For the full year, PayPal forecast revenue of $25.75 billion vs. analyst estimates of $25.9 billion.
Shares of PayPal fell sharply in after-hours trading Wednesday following the report. The stock fell $24.66, or 8.2%, to $277.32 in recent action.
PayPal is a holding in Jim Cramer's Action Alerts PLUS member club. On a recent call with members of the club, Cramer discussed the company's position and the possibility that it may be the JPMorgan of 100 years ago.
The stock has risen 24% since the company last reported earnings on May 5.
Elsewhere, FinTech stocks were mixed Wednesday.
Among notable names, 10 rose while six fell.
Among large-cap financial stocks of companies with significant financial tech initiatives, Alibaba (BABA) - Get Alibaba Group Holding Ltd. Sponsored ADR Report shares rose $10.47, or 5.63%, to $196.54.
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The Tortoise Digital Payments ETF (TPAY) - Get Tortoise Digital Payments Infrastructure Fund Report traded flat at $47.07.