PayPal Target of Unusually High Options Trading (NASDAQ:PYPL)

PayPal Holdings, Inc. (NASDAQ:PYPL) was the recipient of some unusual options trading on Wednesday. Stock traders bought 124,402 call options on the company. This represents an increase of 35% compared to the typical daily volume of 92,203 call options.

PayPal Stock Performance

NASDAQ PYPL traded up $6.54 during trading hours on Wednesday, hitting $63.95. The company had a trading volume of 22,321,659 shares, compared to its average volume of 11,429,418. The business has a 50 day moving average of $71.77 and a 200-day moving average of $80.20. The company has a market cap of $63.26 billion, a PE ratio of 15.95, a price-to-earnings-growth ratio of 1.27 and a beta of 1.60. PayPal has a 1-year low of $55.85 and a 1-year high of $93.66. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.26 and a current ratio of 1.26.

PayPal (NASDAQ:PYPL) last announced its earnings results on Tuesday, February 4th. The credit services provider reported $1.19 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.11 by $0.08. The firm had revenue of $8.37 billion during the quarter, compared to analysts’ expectations of $8.27 billion. PayPal had a return on equity of 23.67% and a net margin of 13.04%. The business’s revenue was up 4.2% on a year-over-year basis. During the same period in the prior year, the firm earned $1.48 EPS. As a group, equities research analysts expect that PayPal will post 5.03 EPS for the current year.

Insider Activity at PayPal

In other PayPal news, Director Gail J. Mcgovern sold 2,446 shares of PayPal stock in a transaction on Thursday, February 27th. The stock was sold at an average price of $72.15, for a total value of $176,478.90. Following the sale, the director now owns 29,734 shares in the company, valued at $2,145,308.10. The trade was a 7.60 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 0.14% of the stock is currently owned by insiders.

Hedge Funds Weigh In On PayPal

A number of institutional investors have recently modified their holdings of PYPL. RFG Advisory LLC lifted its holdings in shares of PayPal by 161.3% during the first quarter. RFG Advisory LLC now owns 23,026 shares of the credit services provider’s stock worth $1,502,000 after purchasing an additional 14,215 shares during the period. Merit Financial Group LLC lifted its stake in shares of PayPal by 11.5% in the 1st quarter. Merit Financial Group LLC now owns 138,773 shares of the credit services provider’s stock worth $9,055,000 after acquiring an additional 14,276 shares during the period. Paladin Wealth LLC boosted its holdings in shares of PayPal by 14.0% in the first quarter. Paladin Wealth LLC now owns 9,844 shares of the credit services provider’s stock valued at $642,000 after acquiring an additional 1,209 shares in the last quarter. Gradient Investments LLC increased its stake in shares of PayPal by 20.3% during the first quarter. Gradient Investments LLC now owns 347,529 shares of the credit services provider’s stock worth $22,676,000 after acquiring an additional 58,629 shares during the period. Finally, NBC Securities Inc. increased its stake in shares of PayPal by 99,209.1% during the first quarter. NBC Securities Inc. now owns 10,924 shares of the credit services provider’s stock worth $712,000 after acquiring an additional 10,913 shares during the period. 68.32% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on the stock. Needham & Company LLC restated a “hold” rating on shares of PayPal in a report on Wednesday, February 26th. Barclays boosted their price target on shares of PayPal from $92.00 to $110.00 and gave the company an “overweight” rating in a research note on Tuesday, December 17th. Monness Crespi & Hardt lowered their price objective on shares of PayPal from $120.00 to $90.00 and set a “buy” rating for the company in a research report on Tuesday. Piper Sandler cut their target price on PayPal from $85.00 to $76.00 and set a “neutral” rating on the stock in a research report on Wednesday, February 26th. Finally, Citigroup reaffirmed an “outperform” rating on shares of PayPal in a research note on Wednesday, February 5th. Fifteen investment analysts have rated the stock with a hold rating, twenty-one have given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $88.32.

PayPal Company Profile

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.