PayPal (NASDAQ:PYPL) Trading Down 1.3% – Should You Sell?

PayPal Holdings, Inc. (NASDAQ:PYPLGet Free Report) traded down 1.3% during trading on Tuesday . The stock traded as low as $44.56 and last traded at $44.87. 10,232,934 shares were traded during trading, a decline of 56% from the average session volume of 23,404,279 shares. The stock had previously closed at $45.48.

PayPal News Summary

Here are the key news stories impacting PayPal this week:

Analysts Set New Price Targets

Several research firms have recently commented on PYPL. Truist Financial reduced their price objective on PayPal from $58.00 to $39.00 and set a “sell” rating for the company in a research note on Tuesday, February 10th. Bank of America began coverage on PayPal in a research note on Thursday, March 5th. They issued a “neutral” rating and a $48.00 price objective for the company. Citigroup reduced their price objective on PayPal from $60.00 to $42.00 and set a “neutral” rating for the company in a research note on Wednesday, February 4th. Canaccord Genuity Group restated a “hold” rating and issued a $42.00 price objective (down from $100.00) on shares of PayPal in a research note on Wednesday, February 4th. Finally, Mizuho set a $60.00 price objective on PayPal in a research note on Wednesday, February 4th. Eight equities research analysts have rated the stock with a Buy rating, thirty-one have given a Hold rating and six have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $58.11.

View Our Latest Research Report on PYPL

PayPal Price Performance

The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 0.49. The stock has a market capitalization of $41.31 billion, a PE ratio of 8.29, a price-to-earnings-growth ratio of 1.35 and a beta of 1.40. The firm has a 50 day moving average price of $44.94 and a 200 day moving average price of $57.04.

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

PayPal Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, March 25th. Shareholders of record on Wednesday, March 4th were paid a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date was Wednesday, March 4th. PayPal’s dividend payout ratio is presently 10.35%.

Insiders Place Their Bets

In other PayPal news, EVP Frank Keller sold 29,581 shares of the stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $46.02, for a total value of $1,361,317.62. Following the completion of the sale, the executive vice president owned 51,567 shares in the company, valued at approximately $2,373,113.34. This represents a 36.45% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Suzan Kereere sold 13,515 shares of the stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $46.02, for a total value of $621,960.30. Following the completion of the sale, the insider owned 30,983 shares of the company’s stock, valued at $1,425,837.66. The trade was a 30.37% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 87,608 shares of company stock worth $3,831,535. Corporate insiders own 0.08% of the company’s stock.

Institutional Investors Weigh In On PayPal

Institutional investors have recently bought and sold shares of the business. Bard Associates Inc. purchased a new stake in PayPal in the 4th quarter worth $25,000. Kelleher Financial Advisors bought a new position in shares of PayPal during the 3rd quarter valued at about $30,000. Cloud Capital Management LLC bought a new position in shares of PayPal during the 3rd quarter valued at about $30,000. Caitong International Asset Management Co. Ltd boosted its holdings in shares of PayPal by 15,233.3% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 460 shares of the credit services provider’s stock valued at $27,000 after purchasing an additional 457 shares during the last quarter. Finally, Safe Harbor Fiduciary LLC bought a new position in shares of PayPal during the 4th quarter valued at about $28,000. Hedge funds and other institutional investors own 68.32% of the company’s stock.

PayPal Company Profile

(Get Free Report)

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.

Further Reading

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