PayPal Holdings, Inc. (NASDAQ:PYPL) Receives $55.50 Consensus PT from Brokerages

Shares of PayPal Holdings, Inc. (NASDAQ:PYPL) have been assigned an average rating of “Hold” from the forty-seven brokerages that are presently covering the stock, Marketbeat reports. Four analysts have rated the stock with a sell rating, thirty-four have given a hold rating and nine have assigned a buy rating to the company. The average 1-year target price among analysts that have covered the stock in the last year is $55.50.

Several equities research analysts recently issued reports on PYPL shares. JPMorgan Chase & Co. boosted their price target on PayPal from $46.00 to $65.00 and gave the company a “neutral” rating in a research note on Wednesday. The Goldman Sachs Group set a $50.00 price objective on PayPal in a research note on Tuesday. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $45.00 price objective on shares of PayPal in a report on Wednesday. Clear Str upgraded PayPal to a “hold” rating in a research report on Thursday, July 16th. Finally, Daiwa Securities Group raised PayPal from a “hold” rating to an “outperform” rating in a report on Wednesday, May 6th.

Key Stories Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal’s second-quarter results exceeded expectations, with adjusted earnings per share of $1.38 versus the $1.28 consensus and revenue of $8.68 billion versus $8.47 billion expected. Management also raised its full-year outlook, citing improving branded checkout, Venmo expansion and cost savings. PayPal Shares Pause as Raised Guidance Validates Turnaround Narrative
• Positive Sentiment: Several analysts raised their price targets following the earnings report, including JPMorgan, TD Cowen, Citigroup and Keefe, Bruyette & Woods. The targets—ranging from the mid-$50s to $70—suggest some analysts see additional upside if PayPal sustains its operational improvements. JPMorgan Analyst Says PayPal Stock Could Rise
• Positive Sentiment: Value-focused commentary highlights PYPL’s relatively low earnings multiple, arguing that the valuation could provide support if the company converts its stronger guidance into consistent growth. PayPal: A Steal At Less Than 10x Earnings
• Neutral Sentiment: Analyst opinion remains mixed. Canaccord Genuity maintained a hold rating, while Wells Fargo increased its target to $56 but kept an equal-weight rating. The broader brokerage consensus remains “hold,” reflecting improved results but limited confidence in PayPal’s longer-term growth trajectory. Canaccord Gives PayPal a Hold Rating
• Neutral Sentiment: Speculation about takeover interest, including a reported bid involving Stripe and Advent International, could support valuation, but no transaction is confirmed and investors remain focused on PayPal’s standalone turnaround. Is Takeout Target PayPal a Buy?
• Negative Sentiment: Bearish analysis says PayPal’s substantial share-repurchase program has not translated into sustained stock-price gains, underscoring skepticism about capital allocation and the company’s growth prospects. PayPal’s $17 Billion Bet Against Wall Street
• Negative Sentiment: Investors continue to monitor margin pressure, branded-checkout execution and PayPal’s slower growth relative to major payments peers. Two insiders also sold shares under pre-arranged Rule 10b5-1 plans; the sales are relatively small but may add modest near-term caution. PayPal Insider Selling

Insiders Place Their Bets

In related news, insider Suzan Kereere sold 3,379 shares of PayPal stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $42.79, for a total transaction of $144,587.41. Following the sale, the insider directly owned 30,983 shares of the company’s stock, valued at approximately $1,325,762.57. The trade was a 9.83% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Frank Keller sold 4,612 shares of the company’s stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $42.54, for a total transaction of $196,194.48. Following the transaction, the insider owned 41,567 shares of the company’s stock, valued at $1,768,260.18. This trade represents a 9.99% decrease in their ownership of the stock. 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. Over the last 90 days, insiders sold 10,612 shares of company stock valued at $484,534. 0.63% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On PayPal

A number of hedge funds and other institutional investors have recently made changes to their positions in PYPL. Cary Street Partners Financial LLC boosted its stake in shares of PayPal by 20.1% in the 2nd quarter. Cary Street Partners Financial LLC now owns 4,809 shares of the credit services provider’s stock valued at $208,000 after purchasing an additional 805 shares during the last quarter. Hickory Point Bank & Trust raised its stake in PayPal by 137.9% during the second quarter. Hickory Point Bank & Trust now owns 690 shares of the credit services provider’s stock worth $30,000 after buying an additional 400 shares during the last quarter. Formidable Asset Management LLC raised its stake in PayPal by 17.3% during the second quarter. Formidable Asset Management LLC now owns 30,436 shares of the credit services provider’s stock worth $1,377,000 after buying an additional 4,499 shares during the last quarter. Ballentine Partners LLC lifted its holdings in PayPal by 9.5% in the second quarter. Ballentine Partners LLC now owns 8,686 shares of the credit services provider’s stock valued at $375,000 after buying an additional 753 shares during the period. Finally, Camelot Portfolios LLC lifted its holdings in PayPal by 14.6% in the second quarter. Camelot Portfolios LLC now owns 24,120 shares of the credit services provider’s stock valued at $1,042,000 after buying an additional 3,080 shares during the period. 68.32% of the stock is owned by institutional investors and hedge funds.

PayPal Trading Down 0.8%

PYPL stock opened at $57.21 on Thursday. The company has a debt-to-equity ratio of 0.55, a current ratio of 1.29 and a quick ratio of 1.26. The company has a fifty day moving average price of $47.03 and a two-hundred day moving average price of $47.09. PayPal has a one year low of $38.46 and a one year high of $79.21. The stock has a market cap of $48.94 billion, a price-to-earnings ratio of 10.81, a price-to-earnings-growth ratio of 1.42 and a beta of 1.33.

PayPal (NASDAQ:PYPL) last released its quarterly earnings results on Tuesday, July 28th. The credit services provider reported $1.38 earnings per share for the quarter, beating the consensus estimate of $1.28 by $0.10. The firm had revenue of $8.68 billion for the quarter, compared to analysts’ expectations of $8.47 billion. PayPal had a net margin of 14.36% and a return on equity of 24.39%. The business’s revenue was up 4.8% on a year-over-year basis. During the same period in the prior year, the firm earned $1.40 EPS. Equities analysts anticipate that PayPal will post 5.35 EPS for the current year.

PayPal Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, September 25th. Stockholders of record on Friday, September 4th will be paid a $0.14 dividend. The ex-dividend date is Friday, September 4th. This represents a $0.56 annualized dividend and a dividend yield of 1.0%. PayPal’s dividend payout ratio (DPR) is presently 10.59%.

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.