We Sold All of Our Shares in PayPal, We Saw Something Else We Liked Better

posted Feb 2, 2018, 10:15 PM by Intelligent Investor   [ updated Aug 2, 2019, 4:10 PM ]
We dumped PayPal (PYPL). The P/E Ratio is currently at 66 which is very high. The slowdown in earnings and revenue does not justify a P/E Ratio that high. We saw something else we liked better. Phillips 66 (PSX) is owned by Warren Buffett and their earnings seems to be on the upswing. It seems like the oil slump is over.

About more than 10 years ago the prices of oil crashed. So for 10 years oil prices were depressed. The economy seems to be growing at a rapid pace at this point which should stabilize the prices of oil due to increased demand from robust economic activity. We ended up purchasing shares of Phillips 66 (PSX).

Disclosure: We own Phillips 66 (PSX)