In line with

PayPal Holdings, Inc.

’s

PYPL

stance against racial discrimination, the company further announced an extra $5 million in grants in a bid to support black and minority-owned businesses, as well as communities in the United States.

In addition to the grant, PayPal and Association for Enterprise Opportunity have partnered with Deloitte,

Facebook


FB

, Guidehouse, Mastercard and Qualtrics to extend webinars, coaching and network benefits to award recipients.

The new grant program comes at an opportune time when small businesses need more support to stay afloat.

Since June, PayPal has made continuous efforts to fulfill its $530-million commitment designed to meet the needs of Black-owned businesses for their survival.

In this regard, the company launched the $10-million PayPal Empowerment Grant program in June. In addition, very recently, PayPal invested $50 million in the Local Initiatives Support Corporation Black Economic Development Fund.

We note that the latest move bodes well for the company as it takes a stand amid strong protests against racial discrimination and economic inequality in the United States.

This bodes well for the internal diversity of PayPal and is crucial to its success in this era.

Further, the pledge will help the company in winning employee confidence, which in turn augurs well for its office operations and commitment toward the welfare of employees.

Bottom Line

By committing an additional $5 million toward the support of black and minority communities, PayPal reaffirmed its intention to take a strong stand against racial discrimination.

In addition to PayPal, Square recently pledged $100 million in a bid to support black and minority-owned businesses, as well as communities in the United States.

Moreover, companies like Bank of America and Goldman Sachs have pledged $1 billion and $10 million, respectively, to address economic inequality and promote racial equity.

Also, technology giants including Amazon, Microsoft and International Business Machines have taken aggressive stance against racial discrimination.

Notably,

Amazon


AMZN

and

Microsoft


MSFT

have implemented moratorium on police use of their respective facial recognition software in order to promote racial equity.

Further, International Business Machines Corporation will reportedly no longer sell or develop facial-recognition software in an effort to curb racial discrimination. Moreover, the company has opposed the use of such technology for mass surveillance and racial profiling.

Given the scenario, we believe that the latest move is likely to aid its brand reputation.

Currently, PayPal carries a Zacks Rank #3 (Hold). You can see


the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here


.

Breakout Biotech Stocks with Triple-Digit Profit Potential

The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.

Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.

See these 7 breakthrough stocks now>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.

Click to get this free report

To read this article on Zacks.com click here.

Zacks Investment Research