Amazon Adds Venmo For Payments: Why PayPal Stock Is Surging Today

PayPal Holdings Inc PYPL shares are trading higher Tuesday after Amazon.com Inc AMZN announced it's adding Venmo as a payment option on its e-commerce platform.

Venmo, which is owned by PayPal, is a popular payments app that allows users to easily send money back and forth. The new payment option is being rolled out in the Amazon app and on Amazon.com starting Tuesday. Venmo is expected to be available on Amazon for U.S. users by Black Friday in late November. 

Users can add a Venmo account as a payment option on their Amazon account and then select Venmo as their payment option during checkout.

More and more online retailers continue to add PayPal's Venmo as a form of payment. Amazon's Venmo launch comes after Shopify Inc SHOP and Lululemon Athletica Inc LULU added the popular payment option in recent years.

Last year, Amazon also gave its customers the option to split the total cost of purchases of $50 or more into simple monthly payments using Affirm Holdings Inc AFRM.

From Yesterday: Why Amazon Shares Are Falling In Monday's After-Hours Session

PYPL Price Action: PayPal has a 52-week high of $196.09 and a 52-week low of $67.58.

The stock was up 6.41% at $88.66 at time of publication, according to Benzinga Pro.

Photo: courtesy of PayPal.