PayPal (NASDAQ:PYPL) Shares Up 2.5% – Here’s Why

PayPal Holdings, Inc. (NASDAQ:PYPL)’s share price was up 2.5% during mid-day trading on Monday . The stock traded as high as $45.02 and last traded at $44.67. Approximately 15,893,141 shares traded hands during trading, a decline of 34% from the average daily volume of 24,236,242 shares. The stock had previously closed at $43.59.

Key PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Venmo expansion and monetization upside — Venmo’s user base surpassing 100M, rising TPV and PayPal’s push to turn Venmo into a global commerce engine (launch into ~90 markets) could lift revenue growth and improve monetization over time. This is the primary near-term upside narrative for PYPL. PayPal Expands Venmo
• Neutral Sentiment: Increased investor attention — Zacks notes heightened searches and interest in PYPL, which can amplify volatility but does not by itself change fundamentals. Monitor flows and news volume. PayPal Attracting Investor Attention
• Neutral Sentiment: Competitive landscape — coverage on BNPL rival Affirm and other fintechs highlights competitive risks to PayPal’s consumer-finance products; this is a watch item for margins and market share but not an immediate company-specific shock. Affirm: A Solid Footing or More Volatility Ahead?
• Negative Sentiment: Multiple securities class-action notices — several law firms (Schall, Portnoy, DJS, Rosen, Faruqi & Faruqi) have filed or solicited lead-plaintiff roles alleging securities-law violations for purchases between Feb 25, 2025 and Feb 2, 2026. This increases legal and settlement risk and can pressure sentiment and valuation. Schall Law Firm Notice
• Negative Sentiment: FTC warning over account moderation and “debanking” — the FTC has flagged PayPal’s moderation/policy practices and warned of potential enforcement, adding regulatory risk around core customer access rules. This could prompt policy changes, fines, or operational constraints. FTC Warning Puts PayPal Policies
• Negative Sentiment: Congressional probe into SEC crypto enforcement pullbacks — Senator Blumenthal is seeking SEC records after enforcement changes and the abrupt resignation of the SEC enforcement chief; shifting crypto enforcement dynamics could affect PayPal’s growing crypto/stablecoin initiatives and add regulatory uncertainty. Senator Blumenthal Probes SEC Crypto Case Pullback

Analyst Ratings Changes

A number of equities analysts have recently weighed in on PYPL shares. Raymond James Financial reissued a “market perform” rating on shares of PayPal in a research report on Monday, February 23rd. Citizens Jmp reaffirmed a “market perform” rating on shares of PayPal in a research note on Wednesday, February 4th. Evercore cut their price target on 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 research note on Tuesday, February 3rd. Finally, BTIG Research restated a “neutral” rating on shares of PayPal in a report on Tuesday, February 3rd. Eight analysts have rated the stock with a Buy rating, thirty have assigned a Hold rating and six have issued a Sell rating to the company’s stock. According to MarketBeat, PayPal has an average rating of “Hold” and an average price target of $58.43.

PayPal Trading Up 2.5%

The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 0.49. The business’s fifty day moving average is $46.29 and its 200-day moving average is $57.99. The stock has a market capitalization of $41.13 billion, a PE ratio of 8.26, a P/E/G ratio of 1.30 and a beta of 1.43.

PayPal (NASDAQ:PYPL) last posted its quarterly earnings results on Tuesday, February 3rd. The credit services provider reported $1.23 earnings per share for the quarter, missing analysts’ consensus estimates of $1.29 by ($0.06). The company had revenue of $8.68 billion for the quarter, compared to analysts’ expectations of $8.82 billion. PayPal had a return on equity of 25.42% and a net margin of 15.77%.The business’s revenue for the quarter was up 4.0% on a year-over-year basis. During the same period in the prior year, the business earned $1.19 EPS. As a group, analysts anticipate that PayPal Holdings, Inc. will post 5.03 EPS for the current fiscal year.

PayPal Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, March 25th. Investors of record on Wednesday, March 4th were given a $0.14 dividend. This represents a $0.56 annualized dividend and a dividend yield of 1.3%. The ex-dividend date of this dividend was Wednesday, March 4th. PayPal’s dividend payout ratio (DPR) is 10.35%.

Insiders Place Their Bets

In other news, insider Suzan Kereere sold 13,515 shares of the firm’s stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $46.02, for a total value of $621,960.30. Following the transaction, the insider directly owned 30,983 shares in the company, valued at $1,425,837.66. This trade represents a 30.37% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Chris Natali sold 2,208 shares of the business’s stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $44.73, for a total value of $98,763.84. Following the sale, the chief accounting officer owned 1,140 shares of the company’s stock, valued at $50,992.20. The trade was a 65.95% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 87,608 shares of company stock worth $3,831,535 over the last three months. 0.08% of the stock is owned by insiders.

Institutional Investors Weigh In On PayPal

Several large investors have recently made changes to their positions in PYPL. Bard Associates Inc. purchased a new stake in PayPal during the 4th quarter worth $25,000. Caitong International Asset Management Co. Ltd lifted its stake in shares of PayPal by 15,233.3% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 460 shares of the credit services provider’s stock worth $27,000 after purchasing an additional 457 shares in the last quarter. Safe Harbor Fiduciary LLC purchased a new stake in shares of PayPal in the fourth quarter worth about $28,000. Cloud Capital Management LLC acquired a new stake in shares of PayPal in the third quarter valued at about $30,000. Finally, Kelleher Financial Advisors purchased a new stake in shares of PayPal during the 3rd quarter valued at about $30,000. Institutional investors and hedge funds own 68.32% of the company’s stock.

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.