PayPal (NASDAQ:PYPL) Stock Rating Lowered by Rothschild Redb

PayPal (NASDAQ:PYPL) was downgraded by equities researchers at Rothschild Redb from a “hold” rating to a “strong sell” rating in a research report issued to clients and investors on Wednesday,Zacks.com reports.

Several other equities analysts have also issued reports on the company. Daiwa Capital Markets lowered PayPal from an “outperform” rating to a “neutral” rating and lowered their price target for the stock from $77.00 to $61.00 in a research report on Tuesday, January 13th. BNP Paribas Exane reduced their price objective on shares of PayPal from $71.00 to $69.00 and set a “neutral” rating for the company in a research note on Tuesday, December 2nd. Royal Bank Of Canada lifted their target price on shares of PayPal from $88.00 to $91.00 and gave the stock an “outperform” rating in a report on Tuesday, October 28th. Sanford C. Bernstein reiterated a “market perform” rating on shares of PayPal in a report on Wednesday, December 17th. Finally, UBS Group reduced their price target on shares of PayPal from $80.00 to $65.00 in a research report on Wednesday, December 24th. Twelve analysts have rated the stock with a Buy rating, twenty-four have given a Hold rating and six have given a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $73.10.

PayPal Stock Down 1.8%

PYPL stock opened at $53.11 on Wednesday. The business has a 50 day moving average of $59.19 and a 200 day moving average of $65.65. The firm has a market cap of $49.69 billion, a PE ratio of 10.64, a price-to-earnings-growth ratio of 0.67 and a beta of 1.42. PayPal has a twelve month low of $52.53 and a twelve month high of $90.93. 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 released its earnings results on Tuesday, October 28th. The credit services provider reported $1.34 EPS for the quarter, topping the consensus estimate of $1.20 by $0.14. PayPal had a return on equity of 25.64% and a net margin of 14.96%.The business had revenue of $8.42 billion for the quarter, compared to the consensus estimate of $8.21 billion. During the same period in the previous year, the company posted $1.20 earnings per share. The company’s revenue for the quarter was up 7.3% compared to the same quarter last year. On average, research analysts forecast that PayPal will post 5.03 EPS for the current fiscal year.

Insider Activity at PayPal

In other PayPal news, insider Suzan Kereere sold 12,500 shares of PayPal stock in a transaction that occurred on Monday, November 3rd. The shares were sold at an average price of $68.87, for a total value of $860,875.00. Following the completion of the sale, 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 position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Aaron Webster sold 9,282 shares of the business’s stock in a transaction on Monday, November 10th. The shares were sold at an average price of $66.29, for a total transaction of $615,303.78. Following the sale, the executive vice president owned 35,699 shares of the company’s stock, valued at approximately $2,366,486.71. This represents a 20.64% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 25,944 shares of company stock valued at $1,725,233 over the last three months. 0.08% of the stock is owned by corporate insiders.

Institutional Trading of PayPal

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

Key Stories Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Bull case: The Motley Fool argues 2026 could be a breakout year for PayPal if new partnerships and initiatives scale, providing a longer‑term growth angle that could support the stock. Prediction: 2026 Will Be the Year of PayPal
• Positive Sentiment: Merchant adoption of crypto: PayPal/NCA survey shows ~40% of U.S. merchants accept crypto at checkout — a market expansion signal that could lift payments volume over time if PayPal monetizes it. Nearly 40% of US merchants now accept crypto at checkout: PayPal
• Neutral Sentiment: Q4 event risk: Multiple previews urge caution ahead of PayPal’s Feb. 3 earnings — watch TPV, active accounts, take rate and guidance rather than just headline EPS/revenue. Results could swing sentiment. PayPal (PYPL) Q4 Earnings Preview
• Neutral Sentiment: Event timing: Several articles recommend pausing ahead of Q4 results because upcoming comps and details on volumes/revenue mix will drive short‑term direction. PayPal Reports Q4 Earnings on Feb. 3. Why You Should Press Pause on PYPL Stock For Now.
• Negative Sentiment: Analyst downgrades piling up: Rothschild/Redburn and others have cut ratings to Sell/Strong Sell and trimmed price targets, pressuring near‑term sentiment. “Heads Up, Investors,” PayPal Stock Hit with Sell Rating
• Negative Sentiment: Price‑target cuts: Truist and HSBC have lowered targets (Truist to $58, HSBC to $72), signaling weaker near‑term expectations and contributing to selling pressure. Truist Anticipates Solid PayPal Q4 Results but Warns of Difficult Volume Comparisons HSBC Lowers PayPal Price Target
• Negative Sentiment: Competitive and macro concerns: Analysis pieces highlight a brutal competitive landscape and macro headwinds that could limit upside absent clear volume/monetization beats. PayPal: A Brutal Competitive Landscape And Changes Yet To Be Seen

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.