Shares of PayPal Holdings, Inc. (NASDAQ:PYPL – Get Free Report) have received a consensus rating of “Hold” from the forty-five research firms that are currently covering the firm, MarketBeat.com reports. Six investment analysts have rated the stock with a sell recommendation, thirty-two have given a hold recommendation and seven have given a buy recommendation to the company. The average 1 year price target among brokerages that have updated their coverage on the stock in the last year is $53.9054.
PYPL has been the topic of a number of recent research reports. Truist Financial lowered their target price on PayPal from $45.00 to $44.00 and set a “sell” rating on the stock in a research note on Tuesday, May 12th. Weiss Ratings restated a “hold (c-)” rating on shares of PayPal in a report on Friday, May 8th. Barclays started coverage on shares of PayPal in a research note on Tuesday. They issued an “underweight” rating and a $42.00 target price for the company. Daiwa Securities Group raised shares of PayPal from a “hold” rating to an “outperform” rating in a research report on Wednesday, May 6th. Finally, Cantor Fitzgerald increased their price target on shares of PayPal from $42.00 to $54.00 and gave the stock a “neutral” rating in a research note on Tuesday, May 5th.
View Our Latest Report on PYPL
PayPal Price Performance
PayPal (NASDAQ:PYPL – Get Free Report) last posted its quarterly earnings data on Tuesday, May 5th. The credit services provider reported $1.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.27 by $0.07. The firm had revenue of $8.35 billion for the quarter, compared to the consensus estimate of $8.05 billion. PayPal had a return on equity of 25.02% and a net margin of 15.00%.The business’s revenue for the quarter was up 7.2% compared to the same quarter last year. During the same quarter in the previous year, the company earned $1.33 EPS. Equities research analysts predict that PayPal will post 5.32 earnings per share for the current fiscal year.
PayPal Announces Dividend
The business also recently announced a quarterly dividend, which was paid on Thursday, June 25th. Shareholders of record on Thursday, June 4th were given a dividend of $0.14 per share. The ex-dividend date of this dividend was Thursday, June 4th. This represents a $0.56 dividend on an annualized basis and a yield of 1.2%. PayPal’s dividend payout ratio is presently 10.51%.
Key Stories Impacting PayPal
Here are the key news stories impacting PayPal this week:
- Positive Sentiment: Analysts say PayPal still has support from rising payment volumes, Venmo growth, and ongoing technology upgrades, which could help long-term earnings and transaction growth. Is PYPL Stock Worth Retaining in Your Portfolio for the Long Run?
- Positive Sentiment: PayPal’s PYUSD stablecoin launching natively on Polygon is boosting interest in the company’s digital assets strategy and could strengthen its payments ecosystem over time. PayPal boosts its stablecoin as banks prepare to launch a shared one
- Neutral Sentiment: Several articles note conflicting analyst views on PayPal, suggesting the stock still has divided Wall Street support rather than a clear consensus. Analysts Have Conflicting Sentiments on These Financial Companies: American Express (AXP), Robinhood (HOOD) and PayPal Holdings (PYPL)
- Neutral Sentiment: PayPal is still being viewed as a value stock by some investors, but commentary suggests the turnaround is not complete and the market remains cautious on execution. 2 Value Stocks for Long-Term Investors and 1 We Avoid
- Negative Sentiment: Barclays reportedly upgraded PayPal to “strong sell,” reinforcing concerns about near-term pressure and helping explain the stock’s weaker performance trend. Zacks.com
- Negative Sentiment: TipRanks noted PayPal is down nearly 22% year to date, reflecting investor skepticism about the pace of its turnaround and ongoing competitive/macro risks. PayPal (PYPL) Stock Is Down 22% YTD; Let’s Look at Who Owns the Stock?
Insider Activity at PayPal
In other news, CAO Chris Natali sold 1,337 shares of the firm’s stock in a transaction on Wednesday, April 29th. The shares were sold at an average price of $49.46, for a total value of $66,128.02. Following the sale, the chief accounting officer owned 1,586 shares in the company, valued at approximately $78,443.56. This trade represents a 45.74% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Frank Keller sold 10,732 shares of the business’s stock in a transaction dated Wednesday, April 29th. The stock was sold at an average price of $49.96, for a total transaction of $536,170.72. Following the transaction, the insider owned 41,567 shares in the company, valued at approximately $2,076,687.32. The trade was a 20.52% 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. In the last three months, insiders have sold 20,612 shares of company stock worth $966,623. 0.63% of the stock is owned by insiders.
Hedge Funds Weigh In On PayPal
A number of hedge funds have recently made changes to their positions in PYPL. Ramsey Quantitative Systems bought a new stake in PayPal in the second quarter valued at about $108,000. Tema ETFs LLC boosted its holdings in PayPal by 10.5% during the second quarter. Tema ETFs LLC now owns 18,352 shares of the credit services provider’s stock worth $792,000 after buying an additional 1,740 shares during the last quarter. Doliver Advisors LP bought a new position in PayPal during the second quarter worth about $488,000. Bay Colony Advisory Group Inc d b a Bay Colony Advisors acquired a new position in shares of PayPal during the 2nd quarter worth about $312,000. Finally, Wealthcare Advisory Partners LLC grew its position in shares of PayPal by 26.1% during the 2nd quarter. Wealthcare Advisory Partners LLC now owns 29,158 shares of the credit services provider’s stock worth $1,259,000 after buying an additional 6,040 shares during the period. Institutional investors and hedge funds own 68.32% of the company’s stock.
PayPal Company 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.
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