PayPal (NASDAQ:PYPL) Stock Price Down 9.1% – What’s Next?

PayPal Holdings, Inc. (NASDAQ:PYPL)’s share price traded down 9.1% on Thursday . The stock traded as low as $60.95 and last traded at $61.03. 6,896,617 shares changed hands during mid-day trading, a decline of 38% from the average session volume of 11,196,747 shares. The stock had previously closed at $67.15.

Wall Street Analysts Forecast Growth

Several equities research analysts recently commented on PYPL shares. BTIG Research reiterated a “neutral” rating on shares of PayPal in a research report on Tuesday, February 4th. Royal Bank of Canada reiterated an “outperform” rating and set a $100.00 target price on shares of PayPal in a report on Thursday, December 12th. Keefe, Bruyette & Woods cut their price target on PayPal from $104.00 to $85.00 and set an “outperform” rating for the company in a report on Monday. Barclays upped their price objective on shares of PayPal from $92.00 to $110.00 and gave the company an “overweight” rating in a research note on Tuesday, December 17th. Finally, Morgan Stanley raised their price objective on PayPal from $79.00 to $80.00 and gave the stock an “equal weight” rating in a report on Wednesday, February 26th. Sixteen investment analysts have rated the stock with a hold rating, twenty have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $89.13.

PayPal Stock Down 8.1 %

The stock has a market capitalization of $61.05 billion, a price-to-earnings ratio of 15.39, a PEG ratio of 1.27 and a beta of 1.60. The firm’s fifty day moving average is $74.82 and its 200-day moving average is $80.74. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.26 and a quick ratio of 1.26.

PayPal (NASDAQ:PYPL) last announced its quarterly earnings data on Tuesday, February 4th. The credit services provider reported $1.19 earnings per share for the quarter, beating the consensus estimate of $1.11 by $0.08. PayPal had a return on equity of 23.67% and a net margin of 13.04%. The firm had revenue of $8.37 billion during the quarter, compared to analyst estimates of $8.27 billion. During the same period in the previous year, the company earned $1.48 earnings per share. PayPal’s quarterly revenue was up 4.2% on a year-over-year basis. On average, sell-side analysts predict that PayPal Holdings, Inc. will post 5.03 earnings per share for the current year.

Insider Buying and Selling

In other news, Director Gail J. Mcgovern sold 2,446 shares of the firm’s stock in a transaction dated Thursday, February 27th. The shares were sold at an average price of $72.15, for a total value of $176,478.90. Following the transaction, the director now directly owns 29,734 shares in the company, valued at approximately $2,145,308.10. This trade represents a 7.60 % decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. 0.14% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On PayPal

A number of large investors have recently bought and sold shares of the business. Relyea Zuckerberg Hanson LLC boosted its position 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 purchasing an additional 3,976 shares during the period. World Investment Advisors LLC bought a new stake in PayPal in the third quarter valued at $387,435,000. Nikko Asset Management Americas Inc. boosted its holdings in shares of PayPal by 2.7% during the fourth quarter. Nikko Asset Management Americas Inc. now owns 697,077 shares of the credit services provider’s stock valued at $59,489,000 after acquiring an additional 18,172 shares during the period. Fortem Financial Group LLC grew its position in shares of PayPal by 28.0% during the fourth quarter. Fortem Financial Group LLC now owns 33,302 shares of the credit services provider’s stock worth $2,842,000 after acquiring an additional 7,291 shares during the last quarter. Finally, Franklin Resources Inc. increased its holdings in shares of PayPal by 120.3% in the 3rd quarter. Franklin Resources Inc. now owns 1,555,240 shares of the credit services provider’s stock worth $125,461,000 after acquiring an additional 849,311 shares during the period. 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.