PayPal Holdings (PYPL) stock sank 14% in Tuesday premarket trading after its board named HP Inc. veteran Enrique Lores as president and CEO, effective March 1, 2026, succeeding Alex Chriss, who held the role for two and a half years. At the same time, the payment technology company turned in weaker-than-expected Q4 earnings.
The move came after the board conducted an evaluation of the current position of the company in relation to its competition and the broader industry. “While some progress has been made in a number of areas over the last two years, the pace of change and execution was not in line with the board’s expectations,” the company said in a statement.
The company also named David W. Dorman independent board chair, effective immediately. Jamie Miller, current chief financial officer and operating officer, will serve as interim CEO until Lores assumes the CEO and president role.
Lores, who served as PayPal’s chair since July 2024, comes to PayPal (PYPL) after more than six years as president and CEO of HP Inc. While there, he led the company through a period of transition and innovation, expanding the business beyond its traditional PC and printing roots into services, subscriptions, and future-of-work solutions. He also led and built on the HP/HPE separation.
PayPal’s board gave Chriss credit for monetizing Venmo and building up the Buy Now, Pay Later business. “Now is the right time to make a transition to a seasoned leader who can take the company through its next phase of transformation,” Chriss said.