QRG Capital Management Inc. Increases Stock Holdings in PayPal Holdings, Inc. $PYPL

QRG Capital Management Inc. increased its holdings in PayPal Holdings, Inc. (NASDAQ:PYPL) by 12.3% during the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 197,321 shares of the credit services provider’s stock after buying an additional 21,666 shares during the period. QRG Capital Management Inc.’s holdings in PayPal were worth $8,520,000 as of its most recent SEC filing.

A number of other large investors have also recently added to or reduced their stakes in PYPL. Bard Associates Inc. purchased a new position in PayPal during the 4th quarter valued at about $25,000. Allied Private Wealth LLC purchased a new stake in shares of PayPal in the second quarter valued at about $25,000. Robinswood Financial LLC acquired a new stake in shares of PayPal in the first quarter valued at approximately $26,000. Caitong International Asset Management Co. Ltd grew its position in shares of PayPal by 15,233.3% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 460 shares of the credit services provider’s stock valued at $27,000 after purchasing an additional 457 shares during the last quarter. Finally, Safe Harbor Fiduciary LLC purchased a new position in shares of PayPal during the 4th quarter worth approximately $28,000. 68.32% of the stock is owned by institutional investors and hedge funds.

More PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Venmo growth supports the recovery story. Venmo’s total payment volume is growing at a mid-teens rate, giving PayPal an important source of transaction growth. Increasing adoption of products such as payments, credit and other monetization tools could help convert that activity into faster revenue growth. PayPal’s Venmo: Can Monetization Sustain Its Mid-Teens Growth?
• Positive Sentiment: Recent earnings and operational improvements remain supportive. PayPal reported quarterly earnings of $1.38 per share, ahead of the $1.28 consensus estimate, while revenue of $8.68 billion also exceeded expectations. Commentary highlighting improvements under CEO Enrique Lores and PayPal’s strong July performance has reinforced the view that the company may be stabilizing after a difficult period. Jim Cramer Examines PayPal Holdings Performance Under Enrique Lores and M&A Speculation
• Neutral Sentiment: Valuation and M&A speculation are influencing sentiment. Analysts and commentators are debating whether PayPal remains undervalued following its recent share-price gains. Reported speculation about a potential buyout proposal has added an additional catalyst, but there is no confirmed transaction, making this a source of volatility rather than a firm fundamental driver. Is PayPal Holdings (PYPL) Undervalued After Earnings And Its Recent Share Price Jump?
• Negative Sentiment: Investors remain concerned about monetization and the sustainability of growth. Venmo’s strong payment-volume expansion will not necessarily produce comparable revenue growth unless PayPal can increase product usage and monetization. After the stock’s sharp recent advance, any evidence that revenue conversion or profitability is lagging expectations could limit further upside. PayPal’s Venmo: Can Monetization Sustain Its Mid-Teens Growth?

Insider Activity at PayPal

In related news, insider Frank Keller sold 732 shares of the company’s stock in a transaction that occurred on 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 of the company’s stock, valued at approximately $2,415,042.70. This represents a 1.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 3,379 shares of the stock in a transaction that occurred on Wednesday, June 3rd. The stock was sold at an average price of $42.79, for a total transaction of $144,587.41. Following the transaction, the insider directly owned 30,983 shares in the company, valued at approximately $1,325,762.57. This represents a 9.83% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 10,612 shares of company stock worth $484,534. 0.63% of the stock is owned by company insiders.

PayPal Stock Performance

NASDAQ PYPL opened at $59.20 on Thursday. The business’s 50-day moving average price is $49.37 and its 200 day moving average price is $47.15. PayPal Holdings, Inc. has a twelve month low of $38.46 and a twelve month high of $79.21. The company has a market capitalization of $50.64 billion, a PE ratio of 11.19, a price-to-earnings-growth ratio of 1.44 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 (NASDAQ:PYPL) last posted its quarterly earnings results on Tuesday, July 28th. The credit services provider reported $1.38 EPS for the quarter, beating the consensus estimate of $1.28 by $0.10. PayPal had a return on equity of 24.39% and a net margin of 14.36%.The company had revenue of $8.68 billion during the quarter, compared to analysts’ expectations of $8.47 billion. During the same quarter in the previous year, the business earned $1.40 EPS. The firm’s revenue was up 4.8% on a year-over-year basis. On average, research analysts predict that PayPal Holdings, Inc. will post 5.37 earnings per share for the current year.

PayPal Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Investors of record on Friday, September 4th will be issued a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a yield of 0.9%. The ex-dividend date is Friday, September 4th. PayPal’s payout ratio is presently 10.59%.

Analysts Set New Price Targets

PYPL has been the subject of several research reports. UBS Group set a $45.00 price objective on PayPal in a research report on Wednesday, July 29th. Keefe, Bruyette & Woods raised their price target on PayPal from $55.00 to $70.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 29th. HSBC initiated coverage on PayPal in a report on Friday, July 24th. They issued a “buy” rating for the company. Citigroup increased their price objective on PayPal from $48.00 to $61.00 and gave the company a “neutral” rating in a research note on Wednesday, July 29th. Finally, Argus set a $70.00 price objective on PayPal in a research report on Wednesday, July 29th. Nine research analysts have rated the stock with a Buy rating, thirty-four have given a Hold rating and four have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $55.72.

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.