Danske Bank A S Acquires New Shares in PayPal Holdings, Inc. $PYPL

Danske Bank A S acquired a new position in shares of PayPal Holdings, Inc. (NASDAQ:PYPL) in the second quarter, HoldingsChannel.com reports. The firm acquired 451,249 shares of the credit services provider’s stock, valued at approximately $19,485,000.

Several other large investors have also recently added to or reduced their stakes in the stock. BlackRock Inc. bought a new stake in PayPal in the second quarter valued at $3,236,989,000. Norges Bank bought a new position in shares of PayPal during the fourth quarter worth about $949,758,000. Bank of America Corp DE grew its position in shares of PayPal by 67.9% during the first quarter. Bank of America Corp DE now owns 25,614,720 shares of the credit services provider’s stock worth $1,158,554,000 after acquiring an additional 10,356,256 shares during the last quarter. Amundi increased its stake in shares of PayPal by 227.6% in the first quarter. Amundi now owns 13,804,208 shares of the credit services provider’s stock valued at $624,364,000 after purchasing an additional 9,590,488 shares during the period. Finally, Bank of New York Mellon Corp acquired a new position in shares of PayPal during the second quarter worth approximately $251,215,000. 68.32% of the stock is owned by institutional investors and hedge funds.

PayPal Trading Up 1.7%

Shares of PYPL stock opened at $62.30 on Friday. The stock has a 50-day simple moving average of $51.73 and a 200 day simple moving average of $47.42. PayPal Holdings, Inc. has a fifty-two week low of $38.46 and a fifty-two week high of $79.21. The stock has a market capitalization of $53.30 billion, a P/E ratio of 11.78, a P/E/G ratio of 1.49 and a beta of 1.30. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 0.55.

PayPal (NASDAQ:PYPL) last issued its quarterly earnings results on Tuesday, July 28th. The credit services provider reported $1.38 EPS for the quarter, topping the consensus estimate of $1.28 by $0.10. PayPal had a net margin of 14.36% and a return on equity of 24.39%. The firm had revenue of $8.68 billion for the quarter, compared to analysts’ expectations of $8.47 billion. During the same period in the previous year, the business earned $1.40 earnings per share. PayPal’s revenue for the quarter was up 4.8% compared to the same quarter last year. On average, sell-side analysts expect that PayPal Holdings, Inc. will post 5.38 earnings per share for the current fiscal year.

PayPal Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Investors of record on Friday, September 4th will be issued a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date is Friday, September 4th. PayPal’s payout ratio is presently 10.59%.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on PYPL shares. Mizuho increased their price objective on PayPal from $50.00 to $60.00 and gave the stock a “neutral” rating in a report on Wednesday, July 29th. TD Cowen lifted their target price on PayPal from $48.00 to $59.00 and gave the company a “hold” rating in a research note on Wednesday, July 29th. The Goldman Sachs Group set a $50.00 price target on PayPal in a research report on Tuesday, July 28th. JPMorgan Chase & Co. increased their price target on PayPal from $46.00 to $65.00 and gave the stock a “neutral” rating in a research note on Wednesday, July 29th. Finally, Wells Fargo & Company raised their price target on PayPal from $48.00 to $56.00 and gave the company an “equal weight” rating in a report on Wednesday, July 29th. Nine research analysts have rated the stock with a Buy rating, thirty-four have assigned a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $56.28.

More PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Takeover speculation supported the stock. Deal chatter involving a possible Stripe and Advent International offer resurfaced, encouraging investors to view PayPal as a potential acquisition target. No offer or transaction has been confirmed, so the catalyst remains speculative. PayPal takeover speculation
• Positive Sentiment: Tuition-payment integrations expand PayPal’s potential transaction volume. PayPal and Venmo are now available through Illumia, Nelnet Campus Commerce and TouchNet, with participating schools including Bellarmine University, Butler University, Kansas State University, Michigan State University and Texas Tech. The initiative adds a recurring, high-value payment use case, though its near-term revenue contribution is unclear. PayPal and Venmo tuition-payment expansion
• Positive Sentiment: PayPal outperformed some buy-now-pay-later peers. Klarna and Affirm declined as PayPal remained positive, suggesting investors may be favoring the scale, established customer base and broader financial-services platform of more mature payment companies. PayPal and BNPL stock rotation
• Neutral Sentiment: Options pricing reflects substantial uncertainty. The options market implies a broad potential trading range over the coming year, consistent with uncertainty surrounding PayPal’s turnaround prospects and possible corporate activity. PayPal options outlook
• Neutral Sentiment: An insider sale was a modest cautionary signal. Suzan Kereere sold 4,162 shares worth approximately $253,716 under a pre-arranged Rule 10b5-1 plan. She retained 30,983 shares, reducing the significance of the transaction as an indicator of business prospects. PayPal insider sale filing
• Negative Sentiment: Competitive and valuation risks remain. TikTok is reportedly developing a peer-to-peer payment feature that could challenge Venmo’s social-payments positioning. Jim Cramer also warned that some fintech stocks, including PayPal, may be priced for optimistic outcomes. TikTok peer-to-peer payment report

Insider Buying and Selling

In related news, insider Frank Keller sold 732 shares of the stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $58.10, for a total transaction of $42,529.20. Following the completion of the sale, the insider directly owned 41,567 shares of the company’s stock, valued at $2,415,042.70. This represents a 1.73% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Chris Natali sold 1,337 shares of the firm’s stock in a transaction that occurred on Wednesday, July 29th. The stock was sold at an average price of $58.10, for a total transaction of $77,679.70. Following the sale, the chief accounting officer owned 2,216 shares of the company’s stock, valued at $128,749.60. The trade was a 37.63% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 14,774 shares of company stock worth $738,249 in the last ninety days. 0.63% of the stock is currently owned by corporate insiders.

About PayPal

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.