PayPal (NASDAQ:PYPL) Trading Up 0.7% – Still a Buy?

PayPal Holdings, Inc. (NASDAQ:PYPL) shares traded up 0.7% during trading on Wednesday . The company traded as high as $69.80 and last traded at $69.33. 1,303,891 shares changed hands during trading, a decline of 88% from the average session volume of 10,913,772 shares. The stock had previously closed at $68.88.

Analyst Upgrades and Downgrades

A number of research firms recently issued reports on PYPL. Barclays raised their price target on PayPal from $92.00 to $110.00 and gave the stock an “overweight” rating in a research note on Tuesday, December 17th. Keefe, Bruyette & Woods raised their price target on PayPal from $92.00 to $104.00 and gave the stock an “outperform” rating in a report on Monday, December 9th. Wells Fargo & Company reiterated an “equal weight” rating on shares of PayPal in a research note on Wednesday, February 5th. StockNews.com raised PayPal from a “hold” rating to a “buy” rating in a report on Tuesday, December 24th. Finally, JPMorgan Chase & Co. reaffirmed an “overweight” rating on shares of PayPal in a report on Tuesday, February 4th. Fourteen investment analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, PayPal presently has an average rating of “Moderate Buy” and a consensus target price of $90.03.

PayPal Price Performance

The company has a market capitalization of $68.63 billion, a price-to-earnings ratio of 17.30, a P/E/G ratio of 1.27 and a beta of 1.52. The company has a fifty day simple moving average of $79.18 and a two-hundred day simple moving average of $80.97. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.26 and a current ratio of 1.26.

PayPal (NASDAQ:PYPL) last released its earnings results on Tuesday, February 4th. The credit services provider reported $1.19 EPS for the quarter, beating the consensus estimate of $1.11 by $0.08. PayPal had a return on equity of 23.67% and a net margin of 13.04%. The firm had revenue of $8.37 billion during the quarter, compared to analyst estimates of $8.27 billion. During the same period in the prior year, the firm posted $1.48 earnings per share. The business’s quarterly revenue was up 4.2% compared to the same quarter last year. As a group, research analysts anticipate that PayPal Holdings, Inc. will post 5.03 earnings per share for the current year.

Insider Transactions at PayPal

In related news, Director Gail J. Mcgovern sold 2,446 shares of PayPal stock in a transaction on Thursday, February 27th. The stock was sold at an average price of $72.15, for a total value of $176,478.90. Following the transaction, the director now owns 29,734 shares in the company, valued at approximately $2,145,308.10. This trade represents a 7.60 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.14% of the company’s stock.

Hedge Funds Weigh In On PayPal

Large investors have recently modified their holdings of the company. Relyea Zuckerberg Hanson LLC increased its position in PayPal by 113.8% during the 4th quarter. Relyea Zuckerberg Hanson LLC now owns 7,470 shares of the credit services provider’s stock worth $638,000 after purchasing an additional 3,976 shares in the last quarter. World Investment Advisors LLC acquired a new stake in shares of PayPal in the third quarter worth $387,435,000. Nikko Asset Management Americas Inc. raised its stake in shares of PayPal by 2.7% in the 4th quarter. Nikko Asset Management Americas Inc. now owns 697,077 shares of the credit services provider’s stock valued at $59,489,000 after acquiring an additional 18,172 shares during the period. Fortem Financial Group LLC lifted its holdings in shares of PayPal by 28.0% during the 4th quarter. Fortem Financial Group LLC now owns 33,302 shares of the credit services provider’s stock valued at $2,842,000 after acquiring an additional 7,291 shares in the last quarter. Finally, Franklin Resources Inc. boosted its position in PayPal by 120.3% during the 3rd quarter. Franklin Resources Inc. now owns 1,555,240 shares of the credit services provider’s stock worth $125,461,000 after purchasing an additional 849,311 shares during the period. 68.32% of the stock is currently owned by hedge funds and other institutional investors.

PayPal Company Profile

PayPal Holdings, Inc operates a technology platform that enables digital payments on behalf of merchants and consumers worldwide. It operates a two-sided network at scale that connects merchants and consumers that enables its customers to connect, transact, and send and receive payments through online and in person, as well as transfer and withdraw funds using various funding sources, such as bank accounts, PayPal or Venmo account balance, PayPal and Venmo branded credit products comprising its installment products, credit and debit cards, and cryptocurrencies, as well as other stored value products, including gift cards and eligible rewards.