Montag A & Associates Inc. lessened its stake in shares of PayPal Holdings, Inc. (NASDAQ:PYPL – Free Report) by 96.1% during the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 987 shares of the credit services provider’s stock after selling 24,387 shares during the period. Montag A & Associates Inc.’s holdings in PayPal were worth $45,000 at the end of the most recent reporting period.
A number of other hedge funds also recently bought and sold shares of the company. Norges Bank acquired a new stake in shares of PayPal during the fourth quarter valued at approximately $949,758,000. Vanguard Group Inc. boosted its stake in PayPal by 6.5% in the 4th quarter. Vanguard Group Inc. now owns 90,376,927 shares of the credit services provider’s stock worth $5,276,205,000 after purchasing an additional 5,534,462 shares during the period. SG Americas Securities LLC boosted its stake in PayPal by 355.1% in the 1st quarter. SG Americas Securities LLC now owns 4,967,170 shares of the credit services provider’s stock worth $224,665,000 after purchasing an additional 3,875,688 shares during the period. AQR Capital Management LLC grew its position in PayPal by 143.4% during the 4th quarter. AQR Capital Management LLC now owns 5,089,586 shares of the credit services provider’s stock worth $297,130,000 after purchasing an additional 2,998,286 shares in the last quarter. Finally, Voloridge Investment Management LLC grew its position in PayPal by 261.5% during the 4th quarter. Voloridge Investment Management LLC now owns 2,291,213 shares of the credit services provider’s stock worth $133,761,000 after purchasing an additional 1,657,458 shares in the last quarter. 68.32% of the stock is owned by hedge funds and other institutional investors.
Analysts Set New Price Targets
A number of analysts have recently issued reports on the company. Cantor Fitzgerald increased their target price on PayPal from $42.00 to $54.00 and gave the company a “neutral” rating in a report on Tuesday, May 5th. Citigroup upped their price target on PayPal from $42.00 to $48.00 and gave the company a “neutral” rating in a research report on Wednesday, April 8th. Daiwa Securities Group raised PayPal from a “hold” rating to an “outperform” rating in a research note on Wednesday, May 6th. Loop Capital began coverage on PayPal in a research report on Tuesday, March 31st. They set a “hold” rating and a $46.00 price objective for the company. Finally, Barclays initiated coverage on PayPal in a research note on Tuesday. They set an “underweight” rating and a $42.00 target price on the stock. Seven research analysts have rated the stock with a Buy rating, thirty-two have given a Hold rating and six have given a Sell rating to the stock. Based on data from MarketBeat.com, PayPal currently has an average rating of “Hold” and a consensus price target of $53.91.
Key PayPal News
Here are the key news stories impacting PayPal this week:
- Positive Sentiment: PayPal expanded PYUSD to Polygon, giving its stablecoin native access to a large settlement network and potentially improving transaction utility for merchants and users. PayPal boosts its stablecoin as banks prepare to launch a shared one
- Positive Sentiment: Analysts and market commentary suggest the PYUSD launch on Polygon is helping sentiment around PYPL, as the move could increase stablecoin adoption and reinforce PayPal’s crypto strategy. PayPal Stock (PYPL) Ticks Up as PYUSD Goes Native on Polygon
- Positive Sentiment: PayPal’s continued PYUSD expansion via Paxos and Polygon highlights efforts to build a broader stablecoin settlement network, which may support future growth in payments and fintech services. PayPal’s PYUSD Stablecoin Arrives Natively on Polygon via Paxos Partnership
- Neutral Sentiment: PayPal also received a bearish analyst initiation from Barclays, but the rating change does not appear to be the main driver of today’s trading action. PayPal Holdings (PYPL) Gets a Sell from Barclays
- Neutral Sentiment: Broader market risk-off pressure weighed on financial stocks after geopolitical headlines, which may have created some short-term volatility in PYPL. PayPal, Ameriprise Financial, and Ally Financial Shares Are Falling, What You Need To Know
- Neutral Sentiment: PayPal is also being discussed for its AI-driven cost savings and BNPL growth strategy, but these items are more long-term than immediate stock catalysts. PayPal AI Push: Will $1.5B Savings Drive Faster Growth Ahead?
PayPal Trading Up 1.8%
PayPal stock opened at $45.32 on Friday. PayPal Holdings, Inc. has a 12 month low of $38.46 and a 12 month high of $79.50. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 0.47. The stock has a market cap of $39.98 billion, a P/E ratio of 8.50, a P/E/G ratio of 1.11 and a beta of 1.33. The company’s fifty day simple moving average is $44.10 and its 200-day simple moving average is $47.48.
PayPal (NASDAQ:PYPL – Get Free Report) last announced its quarterly earnings data on Tuesday, May 5th. The credit services provider reported $1.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.27 by $0.07. The business had revenue of $8.35 billion during the quarter, compared to analyst estimates of $8.05 billion. PayPal had a return on equity of 25.02% and a net margin of 15.00%.PayPal’s quarterly revenue was up 7.2% compared to the same quarter last year. During the same period last year, the company earned $1.33 earnings per share. As a group, sell-side analysts forecast that PayPal Holdings, Inc. will post 5.32 EPS for the current fiscal year.
PayPal Announces Dividend
The company also recently declared a quarterly dividend, which was paid on Thursday, June 25th. Stockholders of record on Thursday, June 4th were paid a dividend of $0.14 per share. The ex-dividend date of this dividend was Thursday, June 4th. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.2%. PayPal’s dividend payout ratio (DPR) is 10.51%.
Insider Transactions at PayPal
In related news, CAO Chris Natali sold 1,337 shares of the stock in a transaction that occurred on Wednesday, April 29th. The stock was sold at an average price of $49.46, for a total value of $66,128.02. Following the transaction, the chief accounting officer owned 1,586 shares in the company, valued at approximately $78,443.56. This represents a 45.74% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Frank Keller sold 4,612 shares of the firm’s stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $42.54, for a total transaction of $196,194.48. Following the transaction, the insider directly owned 41,567 shares in the company, valued at approximately $1,768,260.18. The trade was a 9.99% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 20,612 shares of company stock valued at $966,623 in the last three months. Corporate insiders own 0.63% 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.
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