PayPal (NASDAQ:PYPL) Shares Down 4.5% – Here’s Why

Shares of PayPal Holdings, Inc. (NASDAQ:PYPL) traded down 4.5% during mid-day trading on Friday . The stock traded as low as $83.91 and last traded at $83.95. 3,070,772 shares were traded during trading, a decline of 49% from the average session volume of 6,024,261 shares. The stock had previously closed at $87.94.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on PYPL shares. Royal Bank of Canada restated an “outperform” rating and issued a $100.00 price target on shares of PayPal in a research note on Thursday, December 12th. Needham & Company LLC restated a “hold” rating on shares of PayPal in a research report on Wednesday, October 30th. The Goldman Sachs Group upped their target price on PayPal from $79.00 to $87.00 and gave the stock a “neutral” rating in a research note on Wednesday, October 30th. Wells Fargo & Company lifted their price target on shares of PayPal from $70.00 to $75.00 and gave the company an “equal weight” rating in a research note on Thursday, October 17th. Finally, Mizuho upped their price objective on shares of PayPal from $90.00 to $100.00 and gave the stock an “outperform” rating in a research report on Monday, October 14th. Fourteen equities research analysts have rated the stock with a hold rating, twenty-one have given a buy rating and one has given a strong buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $88.65.

PayPal Price Performance

The company has a quick ratio of 1.25, a current ratio of 1.25 and a debt-to-equity ratio of 0.49. The stock has a fifty day moving average of $86.51 and a two-hundred day moving average of $75.52. The stock has a market cap of $83.07 billion, a price-to-earnings ratio of 19.78, a price-to-earnings-growth ratio of 1.66 and a beta of 1.44.

PayPal (NASDAQ:PYPL) last announced its quarterly earnings results on Tuesday, October 29th. The credit services provider reported $1.20 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.07 by $0.13. The business had revenue of $7.85 billion during the quarter, compared to the consensus estimate of $7.88 billion. PayPal had a net margin of 14.08% and a return on equity of 23.44%. The business’s revenue was up 6.0% compared to the same quarter last year. During the same quarter last year, the firm posted $0.97 EPS. On average, equities research analysts anticipate that PayPal Holdings, Inc. will post 4.57 earnings per share for the current year.

Hedge Funds Weigh In On PayPal

Several hedge funds have recently bought and sold shares of PYPL. Gordian Capital Singapore Pte Ltd purchased a new position in shares of PayPal in the third quarter valued at $26,000. SYSTM Wealth Solutions LLC lifted its holdings in shares of PayPal by 50.6% in the second quarter. SYSTM Wealth Solutions LLC now owns 497 shares of the credit services provider’s stock valued at $29,000 after purchasing an additional 167 shares in the last quarter. Planning Capital Management Corp increased its stake in shares of PayPal by 186.1% during the 3rd quarter. Planning Capital Management Corp now owns 412 shares of the credit services provider’s stock worth $32,000 after purchasing an additional 268 shares in the last quarter. Financial Management Professionals Inc. raised its position in shares of PayPal by 125.3% during the 3rd quarter. Financial Management Professionals Inc. now owns 437 shares of the credit services provider’s stock worth $34,000 after purchasing an additional 243 shares during the last quarter. Finally, Legacy Investment Solutions LLC purchased a new stake in PayPal in the 3rd quarter valued at approximately $36,000. 68.32% of the stock is owned by hedge funds and other institutional investors.

About PayPal

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.