PayPal (NASDAQ:PYPL) Trading Up 3.2% – Here’s What Happened

PayPal Holdings, Inc. (NASDAQ:PYPL) traded up 3.2% during mid-day trading on Thursday . The company traded as high as $59.79 and last traded at $59.78. 10,725,090 shares changed hands during mid-day trading, a decline of 44% from the average daily volume of 19,283,207 shares. The stock had previously closed at $57.93.

Trending Headlines about PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal’s board reportedly rejected a $60.50-per-share bid, believed to be from Stripe, suggesting management sees greater value in its long-term prospects. The offer has also reinforced the view that PayPal may be undervalued following its multiyear decline. PayPal to Stripe: The Offer Is Too Low
• Positive Sentiment: Recent quarterly results exceeded expectations, with revenue of $8.68 billion and non-GAAP earnings of $1.38 per share. PayPal also raised its 2026 outlook, while management highlighted efforts to improve checkout, monetize Venmo and restore profitable growth at Braintree. PayPal Acquisition Interest Is a Confirmation of How Undervalued This Resilient Company Is
• Positive Sentiment: An analyst upgrade and Cantor Fitzgerald’s increased $60 price target are providing additional support for PYPL. PayPal Trading Up After Analyst Upgrade
• Positive Sentiment: PayPal plans to establish revenue targets for its three primary business units, potentially improving accountability and giving investors clearer milestones for the turnaround. PayPal Sets First-Ever Revenue Targets

Analysts Set New Price Targets

Several analysts have issued reports on PYPL shares. Morgan Stanley set a $45.00 price target on shares of PayPal in a report on Wednesday, July 29th. William Blair restated a “market perform” rating on shares of PayPal in a report on Wednesday, July 15th. Zacks Research raised PayPal from a “strong sell” rating to a “hold” rating in a report on Friday, April 17th. Canaccord Genuity Group restated a “hold” rating and set a $55.00 price objective on shares of PayPal in a research report on Wednesday, July 29th. Finally, Piper Sandler decreased their price target on shares of PayPal from $46.00 to $42.00 and set a “neutral” rating on the stock in a research note on Monday, June 29th. Nine analysts have rated the stock with a Buy rating, thirty-four have given a Hold rating and four have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $55.72.

PayPal Price Performance

The stock has a market cap of $51.14 billion, a P/E ratio of 11.30, a PEG ratio of 1.43 and a beta of 1.30. The company has a 50 day simple moving average of $47.88 and a 200 day simple moving average of $47.05. The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 0.55.

PayPal (NASDAQ:PYPL) last posted its quarterly earnings results on Tuesday, July 28th. The credit services provider reported $1.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.28 by $0.10. PayPal had a net margin of 14.36% and a return on equity of 24.39%. The firm had revenue of $8.68 billion for the quarter, compared to analyst estimates of $8.47 billion. During the same period in the prior year, the firm posted $1.40 earnings per share. The company’s quarterly revenue was up 4.8% compared to the same quarter last year. Sell-side analysts forecast that PayPal Holdings, Inc. will post 5.36 earnings per share for the current fiscal year.

PayPal Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Stockholders of record on Friday, September 4th will be paid a dividend of $0.14 per share. This represents a $0.56 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date is Friday, September 4th. PayPal’s dividend payout ratio (DPR) is currently 10.59%.

Insider Buying and Selling

In related news, CAO Chris Natali sold 1,337 shares of the company’s stock in a transaction dated Wednesday, July 29th. The shares were sold at an average price of $58.10, for a total value of $77,679.70. Following the transaction, the chief accounting officer owned 2,216 shares in the company, valued at approximately $128,749.60. This represents a 37.63% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 3,379 shares of the company’s stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $42.79, for a total value of $144,587.41. Following the completion of the transaction, the insider directly owned 30,983 shares in the company, valued at $1,325,762.57. The trade was a 9.83% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 10,612 shares of company stock valued at $484,534. Company insiders own 0.63% of the company’s stock.

Institutional Trading of PayPal

A number of institutional investors have recently bought and sold shares of PYPL. Vanguard Group Inc. grew its position in PayPal by 6.5% during the fourth quarter. Vanguard Group Inc. now owns 90,376,927 shares of the credit services provider’s stock worth $5,276,205,000 after buying an additional 5,534,462 shares in the last quarter. Bank of America Corp DE raised its holdings in PayPal by 67.9% in the 1st quarter. Bank of America Corp DE now owns 25,614,720 shares of the credit services provider’s stock valued at $1,158,554,000 after acquiring an additional 10,356,256 shares in the last quarter. Norges Bank bought a new stake in shares of PayPal during the 4th quarter valued at $949,758,000. Amundi grew its holdings in shares of PayPal by 227.6% during the 1st quarter. Amundi now owns 13,804,208 shares of the credit services provider’s stock worth $624,364,000 after purchasing an additional 9,590,488 shares in the last quarter. Finally, Invesco Ltd. grew its holdings in shares of PayPal by 9.7% during the 4th quarter. Invesco Ltd. now owns 12,215,792 shares of the credit services provider’s stock worth $713,158,000 after purchasing an additional 1,083,843 shares in the last quarter. Institutional investors own 68.32% of the company’s stock.

About PayPal

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.