PayPal (PYPL) - Get Free Report announced that its mobile payment app, Venmo, has an agreement with Amazon (AMZN) - Get Free Report to become one of its approved payment options. The date of the rollout is not set but could come in the first quarter of 2022.
Venmo's popularity has been increasing with over 80 million customers, putting it on course for $900 million in revenue this year.
PayPal CEO Dan Schulman was enthusiastic about the deal with Amazon during a recent Q3 earnings call, “This agreement with Amazon is the start of an exciting journey with them,". Schulman called the agreement “a meaningful moment on Venmo’s monetization efforts.”
PayPal's third-quarter earnings were lower than expected with revenue for the period rising $6.18 billion from $5.46 billion, but analysts had expected $6.23 billion. PayPal’s stock has declined 18% over the past three months.