Rakuten Securities Inc. Purchases New Holdings in PayPal Holdings, Inc. $PYPL

Rakuten Securities Inc. purchased a new stake in PayPal Holdings, Inc. (NASDAQ:PYPL) in the second quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm purchased 13,944 shares of the credit services provider’s stock, valued at approximately $602,000.

Several other institutional investors have also recently made changes to their positions in the stock. Brighton Jones LLC boosted its holdings in shares of PayPal by 15.2% in the 4th quarter. Brighton Jones LLC now owns 6,989 shares of the credit services provider’s stock valued at $596,000 after buying an additional 924 shares during the last quarter. Revolve Wealth Partners LLC acquired a new position in PayPal during the fourth quarter worth $248,000. Sivia Capital Partners LLC increased its holdings in PayPal by 41.5% during the second quarter. Sivia Capital Partners LLC now owns 4,470 shares of the credit services provider’s stock worth $332,000 after buying an additional 1,310 shares during the last quarter. United Bank raised its position in PayPal by 40.1% during the second quarter. United Bank now owns 17,388 shares of the credit services provider’s stock worth $1,292,000 after acquiring an additional 4,974 shares in the last quarter. Finally, Federated Hermes Inc. raised its position in PayPal by 17.9% during the second quarter. Federated Hermes Inc. now owns 18,909 shares of the credit services provider’s stock worth $1,405,000 after acquiring an additional 2,865 shares in the last quarter. Institutional investors and hedge funds own 68.32% of the company’s stock.

PayPal Price Performance

Shares of NASDAQ PYPL opened at $61.55 on Friday. The firm has a market cap of $52.65 billion, a P/E ratio of 11.64, a price-to-earnings-growth ratio of 1.52 and a beta of 1.30. The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 0.55. PayPal Holdings, Inc. has a 1-year low of $38.46 and a 1-year high of $79.21. The business’s 50 day moving average is $52.13 and its 200-day moving average is $47.51.

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, topping the consensus estimate of $1.28 by $0.10. The business had revenue of $8.68 billion during the quarter, compared to analysts’ expectations of $8.47 billion. PayPal had a return on equity of 24.39% and a net margin of 14.36%.The firm’s revenue for the quarter was up 4.8% compared to the same quarter last year. During the same period last year, the firm posted $1.40 EPS. Equities research analysts predict that PayPal Holdings, Inc. will post 5.38 earnings per share for the current year.

PayPal Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Stockholders of record on Friday, September 4th will be issued a dividend of $0.14 per share. The ex-dividend date of this dividend is Friday, September 4th. This represents a $0.56 dividend on an annualized basis and a dividend yield of 0.9%. PayPal’s dividend payout ratio (DPR) is currently 10.59%.

Insider Transactions at PayPal

In other news, insider Suzan Kereere sold 4,162 shares of the business’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $60.96, for a total value of $253,715.52. Following the completion of the sale, the insider owned 30,983 shares of the company’s stock, valued at approximately $1,888,723.68. The trade was a 11.84% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Frank Keller sold 732 shares of the company’s stock in a transaction dated Wednesday, July 29th. The shares were sold at an average price of $58.10, for a total transaction of $42,529.20. Following the completion of the transaction, the insider owned 41,567 shares in the company, valued at $2,415,042.70. This trade represents a 1.73% 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 14,774 shares of company stock valued at $738,249. 0.63% of the stock is currently owned by corporate insiders.

Key Stories Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Venmo’s expansion into college tuition payments could increase transaction volume. PayPal and Venmo are now being integrated with Illumia, Nelnet Campus Commerce and TouchNet, allowing students and families at participating universities to pay tuition and fees through the digital wallets. The initiative adds a potentially recurring, higher-value use case, although transaction fees and adoption will vary by school. PayPal, Venmo connect to colleges
• Positive Sentiment: Agentic payments offer a longer-term growth narrative. PayPal is positioning its platform around AI-enabled commerce, digital identity and automated payments, potentially allowing software agents to complete transactions on behalf of consumers. The strategy could strengthen PayPal’s relevance as commerce evolves, but commercialization and competitive execution remain uncertain. PayPal Agentic Payments: Can They Reshape the Future of Commerce?
• Positive Sentiment: Technical momentum and investor interest remain supportive. PayPal has formed a bullish “golden cross,” while David Einhorn’s reported $61.5 million stake provides additional visibility and may reinforce the turnaround case. David Einhorn’s PayPal Bet Just Flashed a Golden Cross
• Neutral Sentiment: Takeover chatter is supporting the shares but remains unconfirmed. Reports have revived speculation about a potential sale process involving Stripe and Advent International. No offer or transaction has been announced, so any takeover premium is speculative. PayPal Stock Closes Higher Thursday
• Negative Sentiment: The recent rally has increased valuation and execution concerns. Investors are questioning whether PayPal can sustain momentum amid modest underlying revenue growth and intense competition in digital payments and buy-now-pay-later services. A director’s $253,716 sale under a pre-arranged Rule 10b5-1 plan adds a mild cautionary signal, though it is not necessarily an indication of deteriorating business prospects. PayPal Insider Selling

Wall Street Analyst Weigh In

A number of brokerages have commented on PYPL. Mizuho increased their price target on shares of PayPal from $50.00 to $60.00 and gave the company a “neutral” rating in a research note on Wednesday, July 29th. Bank of America lowered their price objective on shares of PayPal from $55.00 to $53.00 and set a “neutral” rating on the stock in a research note on Wednesday, May 6th. Argus set a $70.00 target price on shares of PayPal in a report on Wednesday, July 29th. Clear Str upgraded shares of PayPal to a “hold” rating in a research note on Thursday, July 16th. Finally, Susquehanna lifted their price target on PayPal from $63.00 to $67.00 and gave the stock a “positive” rating in a report on Wednesday, July 29th. Nine equities research analysts have rated the stock with a Buy rating, thirty-four have assigned a Hold rating and four have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $56.28.

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.