PayPal (NASDAQ:PYPL) Stock Price Down 1.5% Following Analyst Downgrade

PayPal Holdings, Inc. (NASDAQ:PYPL) shares fell 1.5% during mid-day trading on Monday after Baird R W downgraded the stock from a strong-buy rating to a hold rating. The stock traded as low as $60.63 and last traded at $60.74. 17,711,855 shares traded hands during mid-day trading, an increase of 41% from the average session volume of 12,536,821 shares. The stock had previously closed at $61.66.

PYPL has been the subject of a number of other research reports. Dbs Bank reduced their price target on PayPal from $75.00 to $70.00 and set a “hold” rating for the company in a research report on Thursday, November 13th. Keefe, Bruyette & Woods increased their target price on shares of PayPal from $85.00 to $90.00 and gave the stock an “outperform” rating in a report on Wednesday, October 29th. The Goldman Sachs Group raised their target price on shares of PayPal from $70.00 to $72.00 and gave the company a “sell” rating in a research report on Wednesday, October 29th. KeyCorp reissued a “hold” rating on shares of PayPal in a research report on Wednesday, October 22nd. Finally, Compass Point reduced their price objective on shares of PayPal from $66.00 to $56.00 and set a “sell” rating for the company in a research note on Tuesday, December 9th. Twelve equities research analysts have rated the stock with a Buy rating, twenty-two have given a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $78.97.

Insider Activity

In other news, CAO Chris Natali sold 1,374 shares of the firm’s stock in a transaction that occurred on Thursday, October 30th. The stock was sold at an average price of $69.13, for a total value of $94,984.62. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Aaron Webster sold 9,282 shares of the business’s stock in a transaction that occurred on Monday, November 10th. The stock was sold at an average price of $66.29, for a total value of $615,303.78. Following the transaction, the executive vice president directly owned 35,699 shares in the company, valued at $2,366,486.71. The trade was a 20.64% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 36,156 shares of company stock valued at $2,432,524 in the last 90 days. 0.08% of the stock is owned by company insiders.

Hedge Funds Weigh In On PayPal

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in PYPL. Gordian Capital Singapore Pte Ltd lifted its stake in shares of PayPal by 41.2% during the 1st quarter. Gordian Capital Singapore Pte Ltd now owns 473 shares of the credit services provider’s stock worth $31,000 after buying an additional 138 shares during the last quarter. GSB Wealth Management LLC lifted its position in PayPal by 1.7% during the second quarter. GSB Wealth Management LLC now owns 8,160 shares of the credit services provider’s stock worth $606,000 after acquiring an additional 140 shares during the last quarter. CreativeOne Wealth LLC lifted its position in PayPal by 1.5% during the first quarter. CreativeOne Wealth LLC now owns 9,387 shares of the credit services provider’s stock worth $613,000 after acquiring an additional 142 shares during the last quarter. Wedmont Private Capital boosted its holdings in shares of PayPal by 1.6% during the third quarter. Wedmont Private Capital now owns 9,157 shares of the credit services provider’s stock worth $614,000 after acquiring an additional 142 shares during the period. Finally, Pitti Group Wealth Management LLC boosted its holdings in shares of PayPal by 1.5% during the second quarter. Pitti Group Wealth Management LLC now owns 10,233 shares of the credit services provider’s stock worth $761,000 after acquiring an additional 147 shares during the period. 68.32% of the stock is owned by institutional investors.

PayPal Stock Performance

The company has a market cap of $56.83 billion, a P/E ratio of 12.17, a price-to-earnings-growth ratio of 0.84 and a beta of 1.43. The stock has a 50 day moving average price of $65.68 and a two-hundred day moving average price of $69.07. The company has a quick ratio of 1.34, a current ratio of 1.34 and a debt-to-equity ratio of 0.56.

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. On average, research analysts predict that PayPal Holdings, Inc. will post 5.03 earnings per share for the current fiscal year.

PayPal Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, December 10th. Shareholders of record on Wednesday, November 19th were paid a $0.14 dividend. The ex-dividend date was Wednesday, November 19th. This represents a $0.56 annualized dividend and a yield of 0.9%. PayPal’s payout ratio is 11.22%.

PayPal Company Profile

PayPal Holdings, Inc operates a technology platform that enables digital payments on behalf of merchants and consumers worldwide. It operates a two-sided network at scale that connects merchants and consumers that enables its customers to connect, transact, and send and receive payments through online and in person, as well as transfer and withdraw funds using various funding sources, such as bank accounts, PayPal or Venmo account balance, PayPal and Venmo branded credit products comprising its installment products, credit and debit cards, and cryptocurrencies, as well as other stored value products, including gift cards and eligible rewards.