Dan Loeb bullish on PayPal after buying stake in company

Dan Loeb loves online payments.

Loeb’s Third Point hedge fund bought a stake in payments giant PayPal in the second quarter, according to a letter to investors revealed on Monday.

The billionaire hedgie sees PayPal’s stock soaring 50 percent to $125 a share in the next 18 months. The new pickup is a top 10 position for the $18 billion hedge fund, a source told The Post.

Unlike most moves made by the activist investor, PayPal is a friendly investment.

“We see parallels between PayPal and other best-in-class internet platforms like Netflix and Amazon: high and rising market share, untapped pricing power, and significant margin expansion potential,” Loeb wrote.

Loeb also gave credit to PayPal Chief Executive Dan Schulman, calling him “excellent.” But that’s not to say Loeb doesn’t see room for improvement.

PayPal’s revenue can grow through further development of its Venmo payments platform, different pricing models for merchants, and moving deeper into in-store payments, Loeb wrote.

Third Point’s publicly traded fund, which mimics the investments of its main fund, is up only 0.8 percent through June 30 — dragged down by the underperformance of Nestle and DowDupont.

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