PayPal (NASDAQ:PYPL) Shares Down 1.9% – Here’s Why

PayPal Holdings, Inc. (NASDAQ:PYPL)’s stock price traded down 1.9% during mid-day trading on Tuesday . The stock traded as low as $89.57 and last traded at $90.04. 3,612,360 shares traded hands during trading, a decline of 55% from the average session volume of 8,021,630 shares. The stock had previously closed at $91.81.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on the company. Macquarie raised their price objective on PayPal from $95.00 to $115.00 and gave the company an “outperform” rating in a report on Tuesday, December 17th. Piper Sandler reissued a “neutral” rating and set a $88.00 price target on shares of PayPal in a research note on Friday, November 22nd. Oppenheimer began coverage on PayPal in a research note on Tuesday, October 1st. They issued a “market perform” rating for the company. Phillip Securities reiterated an “accumulate” rating and set a $90.00 target price (up from $80.00) on shares of PayPal in a research report on Friday, November 1st. Finally, The Goldman Sachs Group upped their price target on shares of PayPal from $79.00 to $87.00 and gave the company a “neutral” rating in a research report on Wednesday, October 30th. Fourteen research analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $89.32.

PayPal Trading Down 2.4 %

The company has a current ratio of 1.25, a quick ratio of 1.25 and a debt-to-equity ratio of 0.49. The firm’s 50-day moving average is $87.50 and its 200-day moving average is $77.20. The firm has a market cap of $89.79 billion, a price-to-earnings ratio of 21.39, a P/E/G ratio of 1.57 and a beta of 1.44.

PayPal (NASDAQ:PYPL) last issued its quarterly earnings data on Tuesday, October 29th. The credit services provider reported $1.20 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.07 by $0.13. PayPal had a net margin of 14.08% and a return on equity of 23.44%. The firm had revenue of $7.85 billion during the quarter, compared to analysts’ expectations of $7.88 billion. During the same period last year, the company earned $0.97 earnings per share. The business’s revenue was up 6.0% on a year-over-year basis. As a group, sell-side analysts anticipate that PayPal Holdings, Inc. will post 4.57 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the stock. Relyea Zuckerberg Hanson LLC lifted its stake in PayPal by 113.8% during the 4th quarter. Relyea Zuckerberg Hanson LLC now owns 7,470 shares of the credit services provider’s stock valued at $638,000 after acquiring an additional 3,976 shares in the last quarter. World Investment Advisors LLC purchased a new stake in shares of PayPal in the third quarter valued at about $387,435,000. United Advisor Group LLC bought a new position in shares of PayPal during the third quarter valued at about $810,000. FCG Investment Co purchased a new position in PayPal during the third quarter worth about $1,079,000. Finally, Equity Investment Corp grew its position in PayPal by 3.5% in the 3rd quarter. Equity Investment Corp now owns 1,998,298 shares of the credit services provider’s stock worth $155,927,000 after purchasing an additional 67,497 shares in the last quarter. Institutional investors own 68.32% of the company’s stock.

PayPal Company Profile

PayPal Holdings, Inc operates a technology platform that enables digital payments on behalf of merchants and consumers worldwide. It operates a two-sided network at scale that connects merchants and consumers that enables its customers to connect, transact, and send and receive payments through online and in person, as well as transfer and withdraw funds using various funding sources, such as bank accounts, PayPal or Venmo account balance, PayPal and Venmo branded credit products comprising its installment products, credit and debit cards, and cryptocurrencies, as well as other stored value products, including gift cards and eligible rewards.