Convergence Investment Partners LLC Invests $1.20 Million in PayPal Holdings, Inc. $PYPL

Convergence Investment Partners LLC acquired a new position in shares of PayPal Holdings, Inc. (NASDAQ:PYPL) in the 4th quarter, according to its most recent filing with the Securities & Exchange Commission. The fund acquired 20,532 shares of the credit services provider’s stock, valued at approximately $1,199,000.

Other institutional investors and hedge funds have also made changes to their positions in the company. Kelleher Financial Advisors acquired a new stake in shares of PayPal during the third quarter worth $30,000. Cloud Capital Management LLC purchased a new position in shares of PayPal during the third quarter worth $30,000. Torren Management LLC purchased a new position in shares of PayPal during the fourth quarter worth $31,000. Strategic Advocates LLC purchased a new position in shares of PayPal during the third quarter worth $38,000. Finally, Steph & Co. raised its holdings in shares of PayPal by 103.1% during the fourth quarter. Steph & Co. now owns 656 shares of the credit services provider’s stock worth $38,000 after purchasing an additional 333 shares during the last quarter. 68.32% of the stock is currently owned by institutional investors and hedge funds.

Insider Transactions at PayPal

In other news, CAO Chris Natali sold 1,337 shares of the business’s stock in a transaction dated Wednesday, April 29th. The shares were sold at an average price of $49.46, for a total transaction of $66,128.02. Following the completion of the sale, the chief accounting officer owned 1,586 shares of the company’s stock, valued at $78,443.56. The trade was a 45.74% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 13,515 shares of the business’s stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $46.02, for a total transaction of $621,960.30. Following the sale, the insider directly owned 30,983 shares of the company’s stock, valued at $1,425,837.66. This represents a 30.37% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 96,199 shares of company stock valued at $4,294,018 over the last 90 days. Corporate insiders own 0.63% of the company’s stock.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on PYPL. Sanford C. Bernstein reissued a “market perform” rating on shares of PayPal in a report on Tuesday, February 24th. BNP Paribas Exane raised their target price on shares of PayPal from $41.00 to $43.50 and gave the stock a “neutral” rating in a report on Friday, April 10th. Evercore reduced their target price on shares of PayPal from $65.00 to $40.00 and set an “in-line” rating for the company in a report on Tuesday, February 3rd. Needham & Company LLC reissued a “hold” rating on shares of PayPal in a report on Tuesday, May 5th. Finally, Royal Bank Of Canada reissued an “outperform” rating and set a $59.00 target price on shares of PayPal in a report on Wednesday, May 6th. Eight research analysts have rated the stock with a Buy rating, thirty-two have given a Hold rating and five have assigned a Sell rating to the stock. According to data from MarketBeat, PayPal currently has an average rating of “Hold” and a consensus price target of $55.85.

PayPal Stock Down 1.4%

PYPL stock opened at $44.41 on Friday. The stock has a market capitalization of $39.17 billion, a P/E ratio of 8.33, a P/E/G ratio of 1.11 and a beta of 1.39. The firm has a 50-day simple moving average of $46.61 and a 200-day simple moving average of $53.08. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 0.47. PayPal Holdings, Inc. has a 52 week low of $38.46 and a 52 week high of $79.50.

PayPal (NASDAQ:PYPL) last released its earnings results on Tuesday, May 5th. The credit services provider reported $1.34 EPS for the quarter, topping analysts’ consensus estimates of $1.27 by $0.07. The business had revenue of $8.35 billion during the quarter, compared to analysts’ expectations of $8.05 billion. PayPal had a net margin of 15.00% and a return on equity of 25.02%. The company’s quarterly revenue was up 7.2% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.33 earnings per share. Equities analysts forecast that PayPal Holdings, Inc. will post 5.3 earnings per share for the current fiscal year.

PayPal Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, June 25th. Stockholders of record on Thursday, June 4th will be paid a dividend of $0.14 per share. The ex-dividend date of this dividend is Thursday, June 4th. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.3%. PayPal’s payout ratio is currently 10.51%.

Trending Headlines about PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Analysts and commentary point to PayPal trading at a discounted valuation, with support from Venmo growth, AI-commerce initiatives, and international expansion; several pieces argue the stock may be too cheap if execution improves. Article Title
• Positive Sentiment: PayPal’s Q1 results beat expectations on revenue and profit, and the company is leaning into a new strategy under its CEO, including AI tools for small businesses and a fee-waiver push that could support merchant growth. Article Title
• Positive Sentiment: PayPal’s partnership with Anthropic to bring AI services to small businesses reinforces its effort to modernize the platform and build new revenue opportunities. Article Title
• Neutral Sentiment: The company reached a $30 million DOJ settlement over a past DEI-related program, removing a legal overhang but also highlighting governance and compliance scrutiny. Article Title
• Neutral Sentiment: Reports that UK regulators are investigating PayPal alongside Mastercard and Visa over digital-wallet competition add uncertainty, but the direct financial impact is still unclear. Article Title
• Negative Sentiment: Some analysts remain skeptical after the earnings call, citing margin pressure, transformation risk, and slower confidence in the turnaround story. Article Title
• Negative Sentiment: Investor reaction to the quarter was muted despite the revenue beat, suggesting the market is still focused on margin trends and execution risk rather than near-term growth. Article Title

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.