PayPal (NASDAQ:PYPL) Price Target Raised to $58.00

PayPal (NASDAQ:PYPL) had its price objective lifted by Truist Financial from $53.00 to $58.00 in a research note released on Friday,Benzinga reports. The firm currently has a hold rating on the credit services provider’s stock.

PYPL has been the subject of a number of other research reports. Bank of America started coverage on PayPal in a research report on Thursday, October 15th. They set an “underperform” rating for the company. Morgan Stanley set a $45.00 price target on PayPal in a report on Wednesday, July 29th. Weiss Ratings upgraded PayPal from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday, August 24th. Wells Fargo & Company lifted their price objective on PayPal from $48.00 to $56.00 and gave the stock an “equal weight” rating in a research report on Wednesday, July 29th. Finally, Canaccord Genuity Group reissued a “hold” rating and set a $55.00 price objective on shares of PayPal in a report on Wednesday, July 29th. Nine equities research analysts have rated the stock with a Buy rating, thirty-two have assigned a Hold rating and five have assigned a Sell rating to the company’s stock. According to MarketBeat, PayPal currently has an average rating of “Hold” and a consensus target price of $56.42.

PayPal Stock Performance

PYPL opened at $57.02 on Friday. The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 0.55. The stock has a market capitalization of $48.78 billion, a PE ratio of 10.78, a PEG ratio of 1.27 and a beta of 1.27. PayPal has a 1-year low of $38.46 and a 1-year high of $79.21. The firm has a 50-day moving average price of $55.72 and a two-hundred day moving average price of $51.01.

PayPal (NASDAQ:PYPL) last announced its earnings results on Tuesday, July 28th. The credit services provider reported $1.38 earnings per share for the quarter, topping analysts’ consensus estimates of $1.28 by $0.10. PayPal had a net margin of 14.36% and a return on equity of 24.39%. The company had revenue of $8.68 billion during the quarter, compared to the consensus estimate of $8.47 billion. During the same period in the previous year, the firm posted $1.40 earnings per share. The company’s revenue was up 4.8% on a year-over-year basis. As a group, equities analysts anticipate that PayPal will post 5.39 earnings per share for the current fiscal year.

Insider Buying and Selling at PayPal

In other PayPal news, insider Suzan Kereere sold 4,162 shares of the company’s stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $60.96, for a total transaction of $253,715.52. Following the completion of the sale, the insider owned 30,983 shares in the company, valued at approximately $1,888,723.68. The trade was a 11.84% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. 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 on Thursday, September 3rd. The shares were sold at an average price of $55.43, for a total value of $255,643.16. Following the completion of the transaction, the insider directly owned 41,567 shares in the company, valued at approximately $2,304,058.81. This trade represents a 9.99% 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 ninety days, insiders have sold 14,774 shares of company stock valued at $848,095. 0.63% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in PYPL. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of PayPal in the 2nd quarter valued at about $97,372,000. S&CO Inc. bought a new position in PayPal during the 2nd quarter worth approximately $18,827,000. Swiss National Bank boosted its stake in PayPal by 4.9% during the 1st quarter. Swiss National Bank now owns 2,608,600 shares of the credit services provider’s stock worth $117,987,000 after acquiring an additional 121,400 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in PayPal by 2.0% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 6,593,196 shares of the credit services provider’s stock worth $284,694,000 after acquiring an additional 128,426 shares during the last quarter. Finally, Bank of America Corp DE bought a new position in PayPal during the 2nd quarter worth approximately $975,563,000. 68.32% of the stock is currently owned by institutional investors.

Trending Headlines about PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Truist raises price target: Truist Financial increased its PYPL price target from $53 to $58 while maintaining a “hold” rating. The higher target suggests modest potential upside and reflects somewhat improved expectations, although the neutral rating limits the bullish impact. Truist Financial PayPal rating
• Positive Sentiment: Share repurchases support the valuation: Commentary highlights that PayPal trades at roughly 10 times forward earnings and is buying back shares at a rapid pace. Buybacks can boost earnings per share and signal management’s view that the stock is undervalued. PayPal valuation and buybacks article
• Positive Sentiment: Expanded payout capabilities: A partnership with LianLian Global will allow social-commerce, marketplace and e-commerce customers to send payouts to PayPal accounts globally and Venmo accounts in the United States. The arrangement could increase wallet usage and transaction volume among creators, contractors and online sellers. LianLian Global and PayPal partnership announcement
• Positive Sentiment: PYUSD gaining additional utility: PayPal’s PYUSD stablecoin is available for borrowing in newly launched Aave lending markets. While the direct financial effect is likely limited initially, broader crypto-market integration may improve PYUSD adoption and visibility. Aave V4 PYUSD lending markets article
• Neutral Sentiment: Earnings expectations are in focus: Analysts are examining payment volume, active accounts, transaction margins and other operating metrics ahead of PayPal’s third-quarter results. The stock’s next major catalyst is likely the company’s ability to show accelerating growth and defend margins.
• Negative Sentiment: Cautious analyst stance and growth concerns: Truist’s “hold” rating and the stock’s substantial decline from its 2021 peak underscore continuing concerns about PayPal’s slower growth and competitive pressures. Until earnings provide evidence of a stronger recovery, investors may remain reluctant to bid shares higher.

About PayPal

PayPal Holdings, Inc operates a global digital payments platform that enables consumers and businesses to send, receive, and manage money online and through mobile devices. Its services support online checkout, peer-to-peer payments, money transfers, payment processing, invoicing, and other commerce-related transactions.

The company’s portfolio includes the PayPal and Venmo brands, Braintree’s payment processing technology, and Xoom’s international money transfer service. PayPal also offers merchant tools, digital wallets, payment solutions, and consumer financing products through its platform and related services.

PayPal traces its origins to 1998 and became an independent publicly traded company after separating from eBay in 2015.