PayPal Holdings Inc. (NASDAQ:PYPL) is one of the undervalued S&P 500 stocks to buy according to hedge funds. On June 26, PayPal announced multi-year partnerships with the Big Ten and Big 12 Conferences to revolutionize the distribution of institutional payments from universities directly to student-athletes under a new revenue-sharing model.

The Big 12's agreement is worth nearly $100 million over five years and was born in 2024 after PayPal entered into discussions to buy naming rights for the conference, sources told CBS Sports. The Big 12 opted not to pursue selling its naming rights, but this partnership was the result.

Thousands of student-athletes will be able to receive university revenue-sharing payments through PayPal, as the payments platform announced an agreement with two of the major NCAA conferences on Thursday.