Royal Bank Of Canada Has Lowered Expectations for PayPal (NASDAQ:PYPL) Stock Price

PayPal (NASDAQ:PYPL) had its price target lowered by Royal Bank Of Canada from $91.00 to $59.00 in a research report issued on Wednesday, Marketbeat reports. The brokerage presently has an “outperform” rating on the credit services provider’s stock. Royal Bank Of Canada’s target price would indicate a potential upside of 47.87% from the company’s previous close.

Several other equities research analysts have also weighed in on PYPL. HSBC lowered PayPal from a “buy” rating to a “hold” rating and set a $47.00 target price for the company. in a report on Wednesday. Deutsche Bank Aktiengesellschaft decreased their price objective on shares of PayPal from $75.00 to $65.00 and set a “hold” rating for the company in a report on Friday, December 5th. Rothschild Redb lowered shares of PayPal from a “hold” rating to a “strong sell” rating in a research note on Wednesday, January 28th. Sanford C. Bernstein reissued a “market perform” rating on shares of PayPal in a research report on Wednesday, December 17th. Finally, Wall Street Zen cut shares of PayPal from a “buy” rating to a “hold” rating in a report on Sunday, January 18th. Ten investment analysts have rated the stock with a Buy rating, thirty-one have assigned a Hold rating and five have assigned a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and an average price target of $62.88.

PayPal Stock Performance

Shares of PYPL opened at $39.90 on Wednesday. The firm has a market cap of $36.73 billion, a price-to-earnings ratio of 7.38, a price-to-earnings-growth ratio of 0.64 and a beta of 1.43. The company’s fifty day moving average is $57.62 and its 200-day moving average is $64.67. The company has a quick ratio of 1.34, a current ratio of 1.29 and a debt-to-equity ratio of 0.49. PayPal has a 12 month low of $38.88 and a 12 month high of $79.74.

PayPal (NASDAQ:PYPL) last issued its quarterly earnings data on Tuesday, February 3rd. The credit services provider reported $1.23 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.29 by ($0.06). PayPal had a return on equity of 25.42% and a net margin of 15.77%.The business had revenue of $8.68 billion during the quarter, compared to the consensus estimate of $8.82 billion. During the same quarter in the prior year, the company posted $1.19 earnings per share. The company’s revenue for the quarter was up 4.0% on a year-over-year basis. Equities analysts expect that PayPal will post 5.03 EPS for the current fiscal year.

Insider Activity

In other PayPal news, insider Suzan Kereere sold 4,162 shares of the firm’s stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $59.84, for a total value of $249,054.08. Following the completion of the sale, the insider owned 30,983 shares in the company, valued at approximately $1,854,022.72. This trade represents a 11.84% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Aaron Webster sold 9,282 shares of the business’s stock in a transaction that occurred on Monday, November 10th. The shares were sold at an average price of $66.29, for a total value of $615,303.78. Following the sale, the executive vice president owned 35,699 shares in the company, 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. 0.08% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On PayPal

A number of institutional investors have recently bought and sold shares of PYPL. Thompson Investment Management Inc. increased its stake in PayPal by 2.8% in the second quarter. Thompson Investment Management Inc. now owns 154,991 shares of the credit services provider’s stock valued at $11,519,000 after purchasing an additional 4,165 shares in the last quarter. National Pension Service grew its holdings in shares of PayPal by 1.8% in the 3rd quarter. National Pension Service now owns 2,855,897 shares of the credit services provider’s stock valued at $191,516,000 after buying an additional 51,268 shares during the period. Merit Financial Group LLC increased its position in shares of PayPal by 15.5% in the 3rd quarter. Merit Financial Group LLC now owns 164,901 shares of the credit services provider’s stock valued at $11,058,000 after buying an additional 22,139 shares in the last quarter. Nordea Investment Management AB raised its stake in PayPal by 7.9% during the 3rd quarter. Nordea Investment Management AB now owns 4,292,583 shares of the credit services provider’s stock worth $291,338,000 after buying an additional 313,180 shares during the period. Finally, Rakuten Investment Management Inc. bought a new position in PayPal during the third quarter worth about $13,210,000. Institutional investors and hedge funds own 68.32% of the company’s stock.

PayPal News Roundup

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Company announced discretionary buybacks and a new dividend, which provide near-term support for the stock and signal management willingness to return capital to shareholders. PayPal: Double-Digit Buybacks…
• Positive Sentiment: Some value-focused analysts and commentary argue the stock is deeply oversold and presents a buying opportunity at current depressed multiples. Should You Buy The Dip In PayPal Stock?
• Neutral Sentiment: PayPal remains a core fintech name within the Nasdaq/sector narrative, meaning it could benefit from any tech/fintech rotation back into the space. PayPal Remains Central…
• Neutral Sentiment: Recent analyst research reports vary — some maintain Hold/Neutral with reduced targets while others keep positive stances after trimming forecasts; this divergence is contributing to volatile intraday trading. Analyst Report: PayPal Holdings Inc
• Negative Sentiment: Q4 results missed EPS and revenue expectations and management issued a materially lower 2026 profit outlook — the core catalyst that started the rout. PayPal Replaces CEO…
• Negative Sentiment: Board ousted CEO Alex Chriss and appointed new leadership (reports name HP’s Enrique Lores), creating near-term execution uncertainty. PayPal replaces CEO Alex Chriss…
• Negative Sentiment: Multiple firms cut price targets and downgraded the stock following the miss/CEO change — increasing selling pressure and reducing analyst support. These PayPal Analysts Downgrade…
• Negative Sentiment: Shareholder class-action / securities-fraud investigations have been announced by multiple law firms tied to the gap between prior guidance and results, which can increase legal overhang and investor risk. Investigation Examines Gap…
• Negative Sentiment: Momentum/technical damage: PYPL has hit multiyear lows, with heavy volume and a cascade of retail/quant selling amplifying downside. Reaches New 12-Month Low After Earnings Miss

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.