Red Spruce Capital LLC Trims Position in PayPal Holdings, Inc. $PYPL

Red Spruce Capital LLC decreased its holdings in PayPal Holdings, Inc. (NASDAQ:PYPL) by 24.6% in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 37,703 shares of the credit services provider’s stock after selling 12,297 shares during the quarter. Red Spruce Capital LLC’s holdings in PayPal were worth $1,628,000 at the end of the most recent quarter.

Several other institutional investors also recently made changes to their positions in the stock. Bard Associates Inc. acquired a new stake in shares of PayPal in the fourth quarter valued at about $25,000. Kelleher Financial Advisors bought a new stake in shares of PayPal in the third quarter worth $30,000. Caitong International Asset Management Co. Ltd raised its stake in shares of PayPal by 15,233.3% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 460 shares of the credit services provider’s stock valued at $27,000 after purchasing an additional 457 shares in the last quarter. Safe Harbor Fiduciary LLC acquired a new position in PayPal in the fourth quarter worth about $28,000. Finally, Advocate Investing Services LLC bought a new stake in PayPal in the fourth quarter valued at about $30,000. 68.32% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling

In related news, CAO Chris Natali sold 1,337 shares of the stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $58.10, for a total transaction of $77,679.70. Following the completion of the sale, the chief accounting officer directly owned 2,216 shares of the company’s stock, valued at $128,749.60. This represents a 37.63% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 3,379 shares of the company’s stock in a transaction on Wednesday, June 3rd. The shares were sold at an average price of $42.79, for a total value of $144,587.41. Following the completion of the transaction, the insider directly owned 30,983 shares in the company, valued at $1,325,762.57. This represents a 9.83% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 10,612 shares of company stock worth $484,534 in the last ninety days. 0.63% of the stock is currently owned by corporate insiders.

Key PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Potentially higher takeover offer: PayPal’s board reportedly rejected a $60.50-per-share proposal from Stripe and Advent International as too low. The stock remains below that level, leaving potential upside if the bidders return with an improved offer. PayPal Still Trades Below the $60.50 Bid Its Board Turned Down
• Positive Sentiment: Analyst support: PayPal attracted an analyst upgrade, while Cantor Fitzgerald raised its price target to $60. These actions reinforce the view that the stock’s valuation may not fully reflect its earnings and cash-generation potential. PayPal Trading Up After Analyst Upgrade
• Positive Sentiment: Operational improvement: PayPal exceeded second-quarter expectations with $8.68 billion in revenue and $1.38 in adjusted earnings per share, and raised its 2026 outlook. Investors are watching for progress in branded checkout, Venmo monetization and a return to profitable growth at Braintree. Acquisition Interest Is a Confirmation of How Undervalued This Resilient Company Is
• Positive Sentiment: Greater business-line accountability: Management plans to establish revenue targets for its three core units for the first time, potentially giving investors clearer benchmarks for evaluating the turnaround. PayPal Sets First-Ever Revenue Targets
• Neutral Sentiment: Valuation debate: PayPal screens as inexpensive after a steep multiyear decline, but Wall Street is taking a “prove it” approach. Investors need sustained growth and successful execution before assigning the company a higher valuation. PayPal Stock Looks Undervalued on Earnings but Weaker on Growth
• Negative Sentiment: Growth and margin risks remain: Slower revenue growth, higher technology costs and pressure on consumer spending could limit margins and make it harder for PayPal to justify a materially higher share price.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on PYPL. Bank of America lowered their price target on PayPal from $55.00 to $53.00 and set a “neutral” rating for the company in a report on Wednesday, May 6th. Robert W. Baird raised their price target on shares of PayPal from $50.00 to $57.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 29th. Daiwa Securities Group raised shares of PayPal from a “hold” rating to an “outperform” rating in a research report on Wednesday, May 6th. William Blair restated a “market perform” rating on shares of PayPal in a research note on Wednesday, July 15th. Finally, Barclays increased their price target on PayPal from $55.00 to $57.00 and gave the stock an “equal weight” rating in a research report on Wednesday, July 29th. Nine research analysts have rated the stock with a Buy rating, thirty-four have issued a Hold rating and four have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $55.72.

PayPal Trading Up 3.2%

NASDAQ:PYPL opened at $59.78 on Friday. PayPal Holdings, Inc. has a 1 year low of $38.46 and a 1 year high of $79.21. The stock has a market cap of $51.14 billion, a price-to-earnings ratio of 11.30, a PEG ratio of 1.41 and a beta of 1.30. The business has a fifty day moving average of $48.18 and a 200-day moving average of $47.07. The company has a debt-to-equity ratio of 0.55, a quick ratio of 1.29 and a current ratio of 1.29.

PayPal (NASDAQ:PYPL) last posted its quarterly earnings data on Tuesday, July 28th. The credit services provider reported $1.38 EPS for the quarter, beating analysts’ consensus estimates of $1.28 by $0.10. PayPal had a net margin of 14.36% and a return on equity of 24.39%. The business had revenue of $8.68 billion for the quarter, compared to analyst estimates of $8.47 billion. During the same quarter last year, the business earned $1.40 earnings per share. The business’s revenue for the quarter was up 4.8% on a year-over-year basis. Equities analysts predict that PayPal Holdings, Inc. will post 5.37 earnings per share for the current year.

PayPal Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Investors of record on Friday, September 4th will be issued a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date is Friday, September 4th. PayPal’s payout ratio is presently 10.59%.

PayPal Profile

PayPal Holdings, Inc operates a global digital payments platform that enables consumers and merchants to send and receive payments online, on mobile devices and at the point of sale. The company provides a broad set of payment solutions, including a digital wallet, merchant payment processing, checkout services, invoicing and fraud-management tools. PayPal’s platform is designed to support e-commerce, in-person retail and person-to-person transfers, targeting both individual consumers and businesses of varying sizes.

Key products and services in PayPal’s portfolio include the PayPal wallet and checkout ecosystem, the Venmo peer-to-peer mobile app, Braintree’s developer-focused payment gateway, Xoom for international money transfers, and PayPal Credit and buy-now-pay-later options.