TD Cowen Cuts PayPal (NASDAQ:PYPL) Price Target to $65.00

PayPal (NASDAQ:PYPL) had its target price lowered by TD Cowen from $80.00 to $65.00 in a research note released on Monday morning,MarketScreener reports. The brokerage currently has a hold rating on the credit services provider’s stock.

Several other analysts have also recently weighed in on PYPL. Cowen reiterated a “mixed” rating on shares of PayPal in a research note on Wednesday, October 29th. Royal Bank Of Canada lifted their price target on shares of PayPal from $88.00 to $91.00 and gave the company an “outperform” rating in a research report on Tuesday, October 28th. Piper Sandler cut their price target on PayPal from $76.00 to $74.00 and set a “neutral” rating for the company in a research note on Wednesday. JPMorgan Chase & Co. restated a “neutral” rating and set a $70.00 price objective (down previously from $85.00) on shares of PayPal in a research note on Thursday, December 4th. Finally, Compass Point dropped their price objective on PayPal from $56.00 to $55.00 and set a “sell” rating for the company in a report on Tuesday. Twelve research analysts have rated the stock with a Buy rating, twenty-seven have assigned a Hold rating and four have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $76.36.

PayPal Stock Performance

Shares of NASDAQ PYPL traded down $0.92 during trading hours on Monday, reaching $56.74. 16,378,344 shares of the stock were exchanged, compared to its average volume of 15,701,349. The firm has a market capitalization of $53.09 billion, a price-to-earnings ratio of 11.37, a P/E/G ratio of 0.69 and a beta of 1.42. The stock’s fifty day simple moving average is $60.94 and its 200 day simple moving average is $67.07. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.34 and a current ratio of 1.34. PayPal has a 52 week low of $55.85 and a 52 week high of $93.25.

PayPal (NASDAQ:PYPL) last issued its quarterly earnings data on Tuesday, October 28th. The credit services provider reported $1.34 EPS for the quarter, beating analysts’ consensus estimates of $1.20 by $0.14. PayPal had a return on equity of 25.64% and a net margin of 14.96%.The firm had revenue of $8.42 billion for the quarter, compared to analyst estimates of $8.21 billion. During the same period in the prior year, the firm posted $1.20 EPS. The company’s revenue for the quarter was up 7.3% on a year-over-year basis. PayPal has set its Q4 2025 guidance at 1.270-1.310 EPS and its FY 2025 guidance at 5.350-5.390 EPS. Sell-side analysts predict that PayPal will post 5.03 EPS for the current year.

PayPal Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, December 10th. Investors of record on Wednesday, November 19th were paid a $0.14 dividend. The ex-dividend date of this dividend was Wednesday, November 19th. This represents a $0.56 annualized dividend and a yield of 1.0%. PayPal’s dividend payout ratio (DPR) is 11.22%.

Insiders Place Their Bets

In other PayPal news, insider Suzan Kereere sold 12,500 shares of the business’s stock in a transaction dated Monday, November 3rd. The stock was sold at an average price of $68.87, for a total transaction of $860,875.00. Following the completion of the transaction, the insider owned 30,983 shares of the company’s stock, valued at approximately $2,133,799.21. The trade was a 28.75% 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. Also, CAO Chris Natali sold 1,374 shares of PayPal stock in a transaction that occurred on Thursday, October 30th. The shares were sold at an average price of $69.13, for a total transaction of $94,984.62. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 36,156 shares of company stock worth $2,432,524. Insiders own 0.08% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of PYPL. Hilltop National Bank acquired a new position in shares of PayPal in the 2nd quarter valued at about $27,000. MUFG Securities EMEA plc lifted its stake in PayPal by 100.4% in the second quarter. MUFG Securities EMEA plc now owns 385 shares of the credit services provider’s stock valued at $29,000 after buying an additional 87,524 shares during the period. Cloud Capital Management LLC bought a new position in shares of PayPal during the 3rd quarter worth approximately $30,000. Kelleher Financial Advisors acquired a new stake in shares of PayPal during the 3rd quarter worth approximately $30,000. Finally, True Wealth Design LLC increased its stake in shares of PayPal by 285.3% in the 3rd quarter. True Wealth Design LLC now owns 524 shares of the credit services provider’s stock valued at $35,000 after acquiring an additional 388 shares in the last quarter. 68.32% of the stock is currently owned by institutional investors.

Key PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Piper Sandler trimmed its price target to $74 (from $76) but kept a neutral rating — the new target still implies sizable upside, providing a counterweight to negative headlines. Read More.
• Neutral Sentiment: A proposed California “billionaires’ tax” is creating political and regulatory uncertainty for tech firms broadly; the impact on PayPal is indirect but raises macro risk for high-valuation tech stocks. Read More.
• Neutral Sentiment: Market reports and coverage note recent share weakness and trading below recent moving averages, reinforcing the negative momentum but not providing new company-specific catalysts. Read More.
• Negative Sentiment: Compass Point cut its price target to $55 (from $56) and maintains a sell rating — the target sits below the current market level, which can pressure sentiment and selling flows. Read More.
• Negative Sentiment: Daiwa Capital/Daiwa America downgraded PayPal from strong-buy to hold, reducing a formerly bullish broker support and adding to the downdraft in analyst sentiment. Read More.
• Negative Sentiment: TD Cowen lowered its price target to $65 (from $80) and kept a hold rating — a meaningful cut that signals reduced conviction on near-term upside and contributes to downward pressure. Read More.

About PayPal

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.