PayPal’s (PYPL) Neutral Rating Reiterated at BTIG Research

BTIG Research reiterated their neutral rating on shares of PayPal (NASDAQ:PYPL) in a report published on Tuesday,Benzinga reports.

A number of other brokerages have also weighed in on PYPL. Piper Sandler upped their target price on shares of PayPal from $42.00 to $59.00 and gave the stock a “neutral” rating in a research note on Monday, August 17th. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and set a $55.00 target price on shares of PayPal in a report on Friday, September 25th. Cantor Fitzgerald boosted their target price on shares of PayPal from $54.00 to $60.00 and gave the company a “neutral” rating in a research report on Monday, August 3rd. Susquehanna raised their target price on shares of PayPal from $63.00 to $67.00 and gave the company a “positive” rating in a research report on Wednesday, July 29th. Finally, Morgan Stanley set a $45.00 price objective on PayPal in a report on Wednesday, July 29th. Eight investment analysts have rated the stock with a Buy rating, thirty-one have assigned a Hold rating and six have given a Sell rating to the company’s stock. According to data from MarketBeat, PayPal has a consensus rating of “Hold” and an average price target of $55.94.

PayPal Stock Up 0.7%

NASDAQ:PYPL opened at $56.95 on Tuesday. PayPal has a 52-week low of $38.46 and a 52-week high of $70.77. The stock’s fifty day moving average price is $55.47 and its two-hundred day moving average price is $50.04. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.29 and a current ratio of 1.26. The company has a market cap of $47.31 billion, a price-to-earnings ratio of 10.47, a P/E/G ratio of 1.22 and a beta of 1.27.

PayPal (NASDAQ:PYPL) last announced its quarterly earnings data on Tuesday, October 27th. The credit services provider reported $1.45 earnings per share for the quarter, beating the consensus estimate of $1.31 by $0.14. PayPal had a net margin of 13.78% and a return on equity of 24.39%. The business had revenue of $8.58 billion for the quarter, compared to analyst estimates of $8.71 billion. During the same period in the prior year, the business posted $1.34 earnings per share. PayPal’s revenue was up 2.0% compared to the same quarter last year. On average, analysts anticipate that PayPal will post 5.57 EPS for the current year.

PayPal Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, December 24th. Stockholders of record on Friday, December 4th will be given a $0.14 dividend. The ex-dividend date is Friday, December 4th. This represents a $0.56 annualized dividend and a dividend yield of 1.0%. PayPal’s payout ratio is 10.59%.

Insider Transactions at PayPal

In related news, insider Frank Keller sold 4,612 shares of the stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $55.43, for a total value of $255,643.16. Following the sale, the insider owned 41,567 shares in the company, valued at approximately $2,304,058.81. This trade represents a 9.99% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Chris Natali sold 552 shares of the firm’s stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $54.80, for a total transaction of $30,249.60. Following the sale, the chief accounting officer owned 2,400 shares in the company, valued at approximately $131,520. This trade represents a 18.70% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 12,705 shares of company stock valued at $727,886. 0.63% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On PayPal

Several hedge funds have recently made changes to their positions in the business. Allied Private Wealth LLC purchased a new stake in PayPal during the second quarter valued at approximately $25,000. Robinswood Financial LLC acquired a new stake in PayPal in the first quarter valued at approximately $26,000. Mowery & Schoenfeld Wealth Management LLC acquired a new stake in PayPal in the second quarter valued at approximately $27,000. Johnson Financial Group Inc. purchased a new position in PayPal in the second quarter worth $27,000. Finally, Danske Bank A S purchased a new position in PayPal in the second quarter worth $29,000. 68.32% of the stock is owned by hedge funds and other institutional investors.

Key PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal’s third-quarter adjusted EPS of $1.45 exceeded the $1.31 analyst consensus, while transaction revenue increased 3% and total payment volume rose 6% year over year. Management also raised its 2026 earnings outlook and transaction-margin-dollar guidance to $15.7 billion. PayPal Q3 Earnings Call Highlights Growth and 2027 Investments
• Positive Sentiment: Investors continue to see potential value in PYPL’s low valuation, strong free cash flow, expense controls and possible share repurchases. Venmo, Pay Later and financial-services products are cited as early signs of progress in the turnaround. Is PayPal Stock a Value or a Value Trap?
• Positive Sentiment: PayPal is benefiting from a stronger payments-sector backdrop after Mastercard reported revenue and EPS above expectations, prompting gains across major payment networks. Mastercard Rises on Revenue and EPS Beat
• Neutral Sentiment: Analyst opinion remains divided. Needham, BTIG, Bernstein, UBS and Canaccord maintain Hold or Neutral ratings, while some firms modestly raised targets after the earnings report. PayPal also declared a quarterly dividend of $0.14 per share.
• Negative Sentiment: Barclays downgraded PayPal to Underweight and cut its price target to $53, citing slowing core checkout growth, secular pressure on the branded button and reduced takeover potential. Citi likewise lowered its target to $58 and retained a Neutral rating. Barclays Lowers PayPal Stock to Underweight
• Negative Sentiment: PayPal’s quarterly revenue of $8.58 billion missed the $8.71 billion consensus, value-added-services growth remained weak, and management expects continued investment in 2027 before operating leverage improves.

About PayPal

PayPal Holdings, Inc operates a global digital payments platform that enables consumers and businesses to send, receive, and manage money online and through mobile devices. Its services support online checkout, peer-to-peer payments, money transfers, payment processing, invoicing, and other commerce-related transactions.

The company’s portfolio includes the PayPal and Venmo brands, Braintree’s payment processing technology, and Xoom’s international money transfer service. PayPal also offers merchant tools, digital wallets, payment solutions, and consumer financing products through its platform and related services.

PayPal traces its origins to 1998 and became an independent publicly traded company after separating from eBay in 2015.