Chapin Davis Inc. Has $484,000 Stock Position in PayPal Holdings, Inc. $PYPL

Chapin Davis Inc. decreased its position in shares of PayPal Holdings, Inc. (NASDAQ:PYPL) by 53.7% during the 2nd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 11,216 shares of the credit services provider’s stock after selling 13,000 shares during the quarter. Chapin Davis Inc.’s holdings in PayPal were worth $484,000 at the end of the most recent reporting period.

Other hedge funds have also added to or reduced their stakes in the company. Wellington Management Group LLP lifted its holdings in shares of PayPal by 10.2% during the second quarter. Wellington Management Group LLP now owns 88,379 shares of the credit services provider’s stock worth $3,816,000 after purchasing an additional 8,154 shares during the period. Kingsview Wealth Management LLC bought a new stake in shares of PayPal during the 2nd quarter valued at about $649,000. Beacon Pointe Advisors LLC bought a new position in shares of PayPal during the 2nd quarter worth approximately $6,472,000. Livforsakringsbolaget Skandia Omsesidigt bought a new position in PayPal during the second quarter worth $260,000. Finally, Rakuten Investment Management Inc. bought a new position in shares of PayPal during the 2nd quarter worth about $9,362,000. 68.32% of the stock is currently owned by institutional investors and hedge funds.

PayPal Stock Down 12.7%

Shares of NASDAQ PYPL opened at $53.66 on Friday. 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 Holdings, Inc. has a 12 month low of $38.46 and a 12 month high of $79.21. The firm has a market capitalization of $45.90 billion, a price-to-earnings ratio of 10.14, a PEG ratio of 1.50 and a beta of 1.30. The business has a 50-day moving average of $53.88 and a 200-day moving average of $48.11.

PayPal (NASDAQ:PYPL) last issued its quarterly earnings results on Tuesday, July 28th. The credit services provider reported $1.38 EPS for the quarter, topping analysts’ consensus estimates of $1.28 by $0.10. The firm had revenue of $8.68 billion for the quarter, compared to analyst estimates of $8.47 billion. PayPal had a net margin of 14.36% and a return on equity of 24.39%. The business’s revenue for the quarter was up 4.8% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.40 EPS. Sell-side analysts expect that PayPal Holdings, Inc. will post 5.38 earnings per share for the current fiscal year.

PayPal Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Shareholders of record on Friday, September 4th will be paid a $0.14 dividend. The ex-dividend date of this dividend is Friday, September 4th. This represents a $0.56 annualized dividend and a yield of 1.0%. PayPal’s dividend payout ratio is currently 10.59%.

Insider Activity

In related news, CAO Chris Natali sold 1,337 shares of the firm’s stock in a transaction that occurred on Wednesday, July 29th. The stock was sold at an average price of $58.10, for a total transaction of $77,679.70. Following the transaction, the chief accounting officer directly owned 2,216 shares in the company, valued at $128,749.60. This trade represents a 37.63% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 4,162 shares of the firm’s stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $60.96, for a total transaction of $253,715.52. Following the completion of the transaction, the insider owned 30,983 shares in the company, valued at $1,888,723.68. This represents a 11.84% 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. In the last 90 days, insiders sold 14,774 shares of company stock valued at $738,249. Corporate insiders own 0.63% of the company’s stock.

Wall Street Analyst Weigh In

A number of equities analysts recently issued reports on PYPL shares. Keefe, Bruyette & Woods increased their target price on PayPal from $55.00 to $70.00 and gave the stock an “outperform” rating in a report on Wednesday, July 29th. Barclays boosted their target price on PayPal from $55.00 to $57.00 and gave the stock an “equal weight” rating in a research note on Wednesday, July 29th. Argus set a $70.00 price target on shares of PayPal in a research report on Wednesday, July 29th. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and set a $45.00 price objective on shares of PayPal in a report on Wednesday, July 29th. Finally, Robert W. Baird increased their target price on shares of PayPal from $50.00 to $57.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 29th. Nine research analysts have rated the stock with a Buy rating, thirty-four have issued a Hold rating and four have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $56.14.

Key Stories Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Some market observers argue that PayPal’s board protected potentially greater long-term shareholder value by rejecting the reported $60.50-per-share offer, which valued the company at approximately $53 billion. Options pricing also continues to indicate a bullish bias among some traders. PayPal Drops 12% Overnight on Dead Stripe Deal
• Positive Sentiment: PayPal remains an independent turnaround story, with recent initiatives expanding PayPal and Venmo tuition-payment integrations through campus platforms. Investors will now focus more closely on whether management can improve growth and execution without takeover support. PayPal Tuition Payment Push
• Neutral Sentiment: The failed transaction removes a major change-of-control catalyst and returns attention to PayPal’s standalone fundamentals. The company recently exceeded quarterly earnings and revenue expectations, but revenue growth remained modest and earnings per share declined year over year, leaving execution of its turnaround as the key valuation driver.
• Negative Sentiment: The reported withdrawal eliminates the takeover premium that had supported PYPL during weeks of deal speculation. Reports cited valuation concerns, regulatory hurdles and a breakdown in negotiations; the abrupt reversal has therefore prompted investors to reassess PayPal at its lower standalone valuation. PayPal Shares Fall After Consortium Abandons Takeover Pursuit
• Negative Sentiment: Analysts, including Mizuho, are highlighting risks facing PayPal after the deal collapsed. The heavy trading volume and test of the 50-day moving average indicate heightened uncertainty as investors await evidence that the company can generate sufficient growth independently. Why PayPal Stock Is Down and What Mizuho Thinks Comes Next

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.