PayPal’s (PYPL) Hold Rating Reiterated at Canaccord Genuity Group

Canaccord Genuity Group reiterated their hold rating on shares of PayPal (NASDAQ:PYPL) in a report published on Wednesday,Benzinga reports. They currently have a $55.00 price objective on the credit services provider’s stock.

Several other brokerages also recently issued reports on PYPL. Loop Capital reduced their price objective on PayPal from $62.00 to $50.00 and set a “hold” rating for the company in a research note on Friday, August 28th. BTIG Research reaffirmed a “neutral” rating on shares of PayPal in a research note on Tuesday. Evercore set a $45.00 target price on PayPal in a report on Tuesday. Needham & Company LLC reissued a “hold” rating on shares of PayPal in a research report on Tuesday. Finally, Morgan Stanley raised their price target on shares of PayPal from $45.00 to $46.00 and gave the stock an “underweight” rating in a report on Wednesday. Eight analysts have rated the stock with a Buy rating, thirty-one have assigned a Hold rating and six have assigned a Sell rating to the company’s stock. According to data from MarketBeat, PayPal presently has an average rating of “Hold” and a consensus target price of $55.94.

PayPal Trading Up 0.1%

PayPal stock opened at $57.01 on Wednesday. PayPal has a 52 week low of $38.46 and a 52 week high of $70.35. 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 firm has a market capitalization of $47.36 billion, a price-to-earnings ratio of 10.55, a P/E/G ratio of 1.20 and a beta of 1.27. The company has a 50 day moving average price of $55.36 and a 200 day moving average price of $50.04.

PayPal (NASDAQ:PYPL) last announced its earnings results on Tuesday, October 27th. The credit services provider reported $1.45 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.31 by $0.14. The company had revenue of $8.58 billion for the quarter, compared to the consensus estimate of $8.71 billion. PayPal had a net margin of 13.78% and a return on equity of 24.39%. The company’s revenue was up 2.0% on a year-over-year basis. During the same period in the previous year, the business earned $1.34 EPS. Research analysts forecast that PayPal will post 5.58 EPS for the current year.

PayPal Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 24th. Investors of record on Friday, December 4th will be given a dividend of $0.14 per share. The ex-dividend date of this dividend is Friday, December 4th. This represents a $0.56 dividend on an annualized basis and a yield of 1.0%. PayPal’s dividend payout ratio (DPR) is presently 10.69%.

Insider Buying and Selling at PayPal

In other PayPal news, CAO Chris Natali sold 552 shares of the company’s stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $54.80, for a total value of $30,249.60. Following the transaction, the chief accounting officer directly owned 2,400 shares of the company’s stock, valued at $131,520. This represents a 18.70% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 4,162 shares of the firm’s stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $60.96, for a total value of $253,715.52. Following the sale, the insider directly owned 30,983 shares of the company’s stock, valued at $1,888,723.68. This trade represents a 11.84% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 13,437 shares of company stock worth $768,417 over the last 90 days. 0.63% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On PayPal

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Allied Private Wealth LLC bought a new position in shares of PayPal during the 2nd quarter worth approximately $25,000. Robinswood Financial LLC acquired a new stake in PayPal in the 1st quarter valued at $26,000. Mowery & Schoenfeld Wealth Management LLC bought a new stake in PayPal in the second quarter valued at $27,000. Johnson Financial Group Inc. bought a new stake in PayPal in the second quarter valued at $27,000. Finally, Danske Bank A S acquired a new position in PayPal during the second quarter worth $29,000. Institutional investors own 68.32% of the company’s stock.

More PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal’s earnings-call commentary highlighted progress in diversifying beyond its traditional checkout business, including growth in financial services, strong Venmo engagement, product expansion and continued cost discipline. These developments suggest improving operating execution and helped support the stock. The 5 most interesting analyst questions from PayPal’s Q3 earnings call
• Positive Sentiment: PayPal remains viewed as a potentially attractive value stock: commentary points to ongoing revenue growth, robust free cash flow and substantial share-repurchase capacity. Its relatively low valuation could provide downside support if the turnaround gains traction. Is PayPal Stock a Value or a Value Trap?
• Neutral Sentiment: KeyCorp raised its 2027 EPS forecasts for the first and third quarters but lowered its fourth-quarter estimate, leaving the overall earnings outlook mixed rather than materially changed.
• Neutral Sentiment: PayPal is included among financial-transaction companies that could benefit from resilient consumer spending, cross-border payments and strategic acquisitions. However, rising technology costs and inflation remain industry-wide risks. 5 Financial Transaction Stocks to Watch Amid Cost and Inflation Pressure
• Negative Sentiment: Barclays downgraded PayPal to Underweight and cut its price target to $53 from $56, citing slowing growth in core checkout, secular pressure on the branded button and a lower likelihood of a takeover. Barclays lowers PayPal stock to Underweight on slowing fundamentals
• Negative Sentiment: Several firms, including Canaccord Genuity, Needham, BTIG and Bernstein, maintained Hold or Neutral views, while Citigroup lowered its expectations. The broad lack of bullish analyst conviction continues to weigh on sentiment.

PayPal Company Profile

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.