PayPal (NASDAQ:PYPL) Sets New 12-Month Low – Time to Sell?

PayPal Holdings, Inc. (NASDAQ:PYPL)’s stock price reached a new 52-week low on Tuesday . The company traded as low as $55.02 and last traded at $55.6450, with a volume of 7022610 shares traded. The stock had previously closed at $56.89.

Key Stories Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal announced a partnership with embedded tax platform april to offer free DIY federal and state tax filing for U.S. PayPal Debit Mastercard customers — a low-cost benefit that can increase debit-card activation, customer stickiness and cross-sell opportunities. PayPal Introduces Free DIY Tax Filing for PayPal Debit Card Customers
• Positive Sentiment: Retail investor media (The Motley Fool) lists PayPal among fintechs to buy for the long term, which can support longer-term inflows from momentum/retail buyers if the thesis gains traction. 2 Fintech Stocks to Buy Hand Over Fist in 2026 and Hold for 10 Years
• Neutral Sentiment: Seeking Alpha published an earnings-preview piece framing PayPal as near a trough (“darkest before the dawn”) — useful for investors assessing risk/reward ahead of upcoming results but not new company-level data. PayPal: It’s Darkest Before The Dawn (Earnings Preview)
• Neutral Sentiment: Another Seeking Alpha piece examines PayPal’s outlook after hitting multi-year lows — helpful context for longer-term investors but largely thematic rather than catalytic. PayPal: Outlook After Hitting 5-Year Low
• Neutral Sentiment: Comparative coverage on stablecoins (Payoneer vs. PayPal) discusses strategic paths into tokenization — important for long-term competitive positioning but unlikely to move the stock immediately. Payoneer vs PayPal: Which Payment Processor Wins the Stablecoin War?
• Negative Sentiment: Wedgewood Partners trimmed its PayPal holdings per its investor letter — an institutional reduction that can weigh on sentiment and suggests some investor caution about growth/valuation. Wedgewood Partners trimmed its holdings in PayPal Holdings (PYPL)
• Negative Sentiment: Reports show insiders sold roughly $2.4M of PYPL shares and some price targets were lowered — insider selling plus analyst downgrades/target cuts typically add downward pressure on the stock. PayPal (PYPL) Stock: Insiders Sell $2.4M in Shares as Price Targets Drop

Analyst Ratings Changes

Several research firms have commented on PYPL. KGI Securities decreased their price target on shares of PayPal from $85.00 to $80.00 in a research note on Monday, November 10th. Keefe, Bruyette & Woods increased their target price on shares of PayPal from $85.00 to $90.00 and gave the company an “outperform” rating in a report on Wednesday, October 29th. JPMorgan Chase & Co. reiterated a “neutral” rating and issued a $70.00 target price (down previously from $85.00) on shares of PayPal in a research report on Thursday, December 4th. Dbs Bank lowered their price target on shares of PayPal from $75.00 to $70.00 and set a “hold” rating for the company in a research note on Thursday, November 13th. Finally, Baird R W cut PayPal from a “strong-buy” rating to a “hold” rating in a research note on Friday, December 12th. Twelve research analysts have rated the stock with a Buy rating, twenty-seven have given a Hold rating and four have issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $75.84.

PayPal Trading Down 3.2%

The company has a debt-to-equity ratio of 0.56, a current ratio of 1.34 and a quick ratio of 1.34. The firm’s 50 day moving average price is $60.38 and its 200 day moving average price is $66.61. The stock has a market capitalization of $51.54 billion, a P/E ratio of 11.04, a P/E/G ratio of 0.71 and a beta of 1.42.

PayPal (NASDAQ:PYPL) last posted its earnings results on Tuesday, October 28th. The credit services provider reported $1.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.20 by $0.14. The company had revenue of $8.42 billion for the quarter, compared to analysts’ expectations of $8.21 billion. PayPal had a return on equity of 25.64% and a net margin of 14.96%.PayPal’s quarterly revenue was up 7.3% on a year-over-year basis. During the same period last year, the firm earned $1.20 earnings per share. PayPal has set its Q4 2025 guidance at 1.270-1.310 EPS and its FY 2025 guidance at 5.350-5.390 EPS. As a group, equities research analysts expect that PayPal Holdings, Inc. will post 5.03 earnings per share for the current fiscal year.

PayPal Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, December 10th. Stockholders of record on Wednesday, November 19th were paid a dividend of $0.14 per share. The ex-dividend date of this dividend was Wednesday, November 19th. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.0%. PayPal’s payout ratio is presently 11.22%.

Insider Activity at PayPal

In related news, insider Suzan Kereere sold 12,500 shares of the stock in a transaction dated 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 transaction, the insider directly owned 30,983 shares of the company’s stock, valued at $2,133,799.21. This represents a 28.75% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, EVP Aaron Webster sold 9,282 shares of the firm’s stock in a transaction dated Monday, November 10th. The stock was sold at an average price of $66.29, for a total transaction of $615,303.78. Following the completion of the sale, the executive vice president owned 35,699 shares of the company’s stock, valued at $2,366,486.71. This trade 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 36,156 shares of company stock worth $2,432,524 over the last ninety days. Corporate insiders own 0.08% of the company’s stock.

Institutional Investors Weigh In On PayPal

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Brighton Jones LLC increased its stake in shares of PayPal by 15.2% in the 4th quarter. Brighton Jones LLC now owns 6,989 shares of the credit services provider’s stock worth $596,000 after acquiring an additional 924 shares in the last quarter. Revolve Wealth Partners LLC purchased a new stake in PayPal in the fourth quarter worth about $248,000. Sivia Capital Partners LLC increased its stake in shares of PayPal by 41.5% during the second quarter. Sivia Capital Partners LLC now owns 4,470 shares of the credit services provider’s stock valued at $332,000 after purchasing an additional 1,310 shares in the last quarter. Wealth Enhancement Advisory Services LLC lifted its holdings in shares of PayPal by 41.6% during the second quarter. Wealth Enhancement Advisory Services LLC now owns 164,944 shares of the credit services provider’s stock valued at $12,633,000 after purchasing an additional 48,475 shares during the last quarter. Finally, Kingstone Capital Partners Texas LLC bought a new stake in shares of PayPal in the 2nd quarter worth approximately $3,513,000. 68.32% of the stock is owned by hedge funds and other institutional investors.

PayPal Company 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.