Susquehanna Fundamental Investments LLC grew its holdings in shares of PayPal Holdings, Inc. (NASDAQ:PYPL – Free Report) by 137.2% in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 1,304,178 shares of the credit services provider’s stock after buying an additional 754,449 shares during the quarter. PayPal accounts for about 1.1% of Susquehanna Fundamental Investments LLC’s holdings, making the stock its 17th biggest position. Susquehanna Fundamental Investments LLC owned approximately 0.15% of PayPal worth $56,314,000 as of its most recent SEC filing.
Several other hedge funds and other institutional investors also recently made changes to their positions in PYPL. Maia Wealth LLC lifted its position in PayPal by 2.5% in the 3rd quarter. Maia Wealth LLC now owns 6,404 shares of the credit services provider’s stock valued at $424,000 after acquiring an additional 155 shares in the last quarter. GeoWealth Management LLC raised its stake in shares of PayPal by 6.2% in the third quarter. GeoWealth Management LLC now owns 3,214 shares of the credit services provider’s stock worth $216,000 after purchasing an additional 188 shares during the last quarter. Formidable Asset Management LLC raised its stake in shares of PayPal by 0.8% in the first quarter. Formidable Asset Management LLC now owns 25,937 shares of the credit services provider’s stock worth $1,173,000 after purchasing an additional 205 shares during the last quarter. KPP Advisory Services LLC lifted its holdings in shares of PayPal by 3.3% in the first quarter. KPP Advisory Services LLC now owns 6,625 shares of the credit services provider’s stock valued at $300,000 after purchasing an additional 214 shares in the last quarter. Finally, Jackson Thornton Wealth Management LLC lifted its holdings in shares of PayPal by 3.5% in the first quarter. Jackson Thornton Wealth Management LLC now owns 7,110 shares of the credit services provider’s stock valued at $322,000 after purchasing an additional 238 shares in the last quarter. 68.32% of the stock is owned by institutional investors.
Insider Buying and Selling at PayPal
In other PayPal news, insider Suzan Kereere sold 4,162 shares of the business’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $60.96, for a total value of $253,715.52. Following the transaction, the insider directly owned 30,983 shares in the company, valued at $1,888,723.68. The trade was a 11.84% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Frank Keller sold 4,612 shares of the stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $42.54, for a total transaction of $196,194.48. Following the transaction, the insider directly owned 41,567 shares of the company’s stock, valued at $1,768,260.18. This represents a 9.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 14,774 shares of company stock worth $738,249 over the last three months. 0.63% of the stock is currently owned by insiders.
PayPal Price Performance
PayPal (NASDAQ:PYPL – Get Free Report) last announced its earnings results on Tuesday, July 28th. The credit services provider reported $1.38 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.28 by $0.10. The firm had revenue of $8.68 billion during the quarter, compared to analyst estimates of $8.47 billion. PayPal had a return on equity of 24.39% and a net margin of 14.36%.The business’s revenue was up 4.8% compared to the same quarter last year. During the same period last year, the firm posted $1.40 EPS. Analysts expect that PayPal Holdings, Inc. will post 5.38 EPS for the current year.
PayPal Announces Dividend
The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 25th. Shareholders of record on Friday, September 4th will be given a $0.14 dividend. The ex-dividend date of this dividend is Friday, September 4th. This represents a $0.56 annualized dividend and a yield of 1.0%. PayPal’s payout ratio is currently 10.59%.
PayPal News Summary
Here are the key news stories impacting PayPal this week:
- Positive Sentiment: Some market observers argue that PayPal’s board protected potentially greater long-term shareholder value by rejecting the reported $60.50-per-share offer, which valued the company at approximately $53 billion. Options pricing also continues to indicate a bullish bias among some traders. PayPal Drops 12% Overnight on Dead Stripe Deal
- Positive Sentiment: PayPal remains an independent turnaround story, with recent initiatives expanding PayPal and Venmo tuition-payment integrations through campus platforms. Investors will now focus more closely on whether management can improve growth and execution without takeover support. PayPal Tuition Payment Push
- Neutral Sentiment: The failed transaction removes a major change-of-control catalyst and returns attention to PayPal’s standalone fundamentals. The company recently exceeded quarterly earnings and revenue expectations, but revenue growth remained modest and earnings per share declined year over year, leaving execution of its turnaround as the key valuation driver.
- Negative Sentiment: The reported withdrawal eliminates the takeover premium that had supported PYPL during weeks of deal speculation. Reports cited valuation concerns, regulatory hurdles and a breakdown in negotiations; the abrupt reversal has therefore prompted investors to reassess PayPal at its lower standalone valuation. PayPal Shares Fall After Consortium Abandons Takeover Pursuit
- Negative Sentiment: Analysts, including Mizuho, are highlighting risks facing PayPal after the deal collapsed. The heavy trading volume and test of the 50-day moving average indicate heightened uncertainty as investors await evidence that the company can generate sufficient growth independently. Why PayPal Stock Is Down and What Mizuho Thinks Comes Next
Analyst Ratings Changes
Several equities research analysts recently issued reports on PYPL shares. Wells Fargo & Company upped their price target on PayPal from $48.00 to $56.00 and gave the stock an “equal weight” rating in a report on Wednesday, July 29th. BNP Paribas Exane lifted their price objective on shares of PayPal from $43.50 to $52.00 and gave the stock a “neutral” rating in a report on Tuesday, July 21st. Barclays upped their target price on shares of PayPal from $55.00 to $57.00 and gave the stock an “equal weight” rating in a research note on Wednesday, July 29th. Citigroup increased their target price on shares of PayPal from $48.00 to $61.00 and gave the company a “neutral” rating in a report on Wednesday, July 29th. Finally, William Blair reissued a “market perform” rating on shares of PayPal in a research report on Wednesday, July 15th. Nine equities research analysts have rated the stock with a Buy rating, thirty-four have given a Hold rating and four have given a Sell rating to the stock. Based on data from MarketBeat, PayPal presently has an average rating of “Hold” and a consensus target price of $56.14.
Get Our Latest Research Report on PayPal
PayPal Profile
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.
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