PayPal (NASDAQ:PYPL) Shares Down 3.3% Following Insider Selling

PayPal Holdings, Inc. (NASDAQ:PYPL) shares dropped 3.3% during mid-day trading on Thursday after an insider sold shares in the company. The company traded as low as $58.00 and last traded at $58.11. Approximately 20,765,445 shares changed hands during trading, an increase of 68% from the average daily volume of 12,380,355 shares. The stock had previously closed at $60.11.

Specifically, insider Suzan Kereere sold 4,162 shares of PayPal stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $59.84, for a total transaction of $249,054.08. Following the transaction, the insider owned 30,983 shares of the company’s stock, valued at $1,854,022.72. The trade was a 11.84% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on the company. Rothschild & Co Redburn increased their price target on PayPal from $66.00 to $70.00 and gave the company a “neutral” rating in a research report on Tuesday, September 16th. The Goldman Sachs Group upped their target price on shares of PayPal from $70.00 to $72.00 and gave the stock a “sell” rating in a research note on Wednesday, October 29th. Citigroup raised shares of PayPal to a “hold” rating in a research report on Thursday, October 23rd. Keefe, Bruyette & Woods boosted their price target on shares of PayPal from $85.00 to $90.00 and gave the stock an “outperform” rating in a report on Wednesday, October 29th. Finally, Wells Fargo & Company raised shares of PayPal to a “hold” rating in a research report on Wednesday, October 22nd. Fifteen research analysts have rated the stock with a Buy rating, eighteen have assigned a Hold rating and four have issued a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $82.56.

PayPal Stock Performance

The company’s 50-day moving average is $67.74 and its two-hundred day moving average is $70.15. The company has a quick ratio of 1.34, a current ratio of 1.34 and a debt-to-equity ratio of 0.56. The company has a market cap of $56.67 billion, a P/E ratio of 12.14, a price-to-earnings-growth ratio of 0.78 and a beta of 1.45.

PayPal (NASDAQ:PYPL) last released its earnings results on Tuesday, October 28th. The credit services provider reported $1.34 earnings per share for the quarter, beating analysts’ consensus estimates of $1.20 by $0.14. PayPal had a net margin of 14.96% and a return on equity of 25.64%. The firm had revenue of $8.42 billion for the quarter, compared to analysts’ expectations of $8.21 billion. During the same period in the previous year, the company earned $1.20 earnings per share. The company’s quarterly revenue was up 7.3% on a year-over-year basis. PayPal has set its Q4 2025 guidance at 1.270-1.310 EPS. FY 2025 guidance at 5.350-5.390 EPS. Equities analysts predict that PayPal Holdings, Inc. will post 5.03 EPS for the current year.

PayPal Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, December 10th. Shareholders of record on Wednesday, November 19th will be issued a dividend of $0.14 per share. This represents a $0.56 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Wednesday, November 19th. PayPal’s dividend payout ratio is 11.22%.

Institutional Trading of PayPal

Large investors have recently bought and sold shares of the company. AQR Capital Management LLC grew its position in PayPal by 15.8% during the 1st quarter. AQR Capital Management LLC now owns 3,501,936 shares of the credit services provider’s stock worth $224,001,000 after purchasing an additional 476,763 shares during the last quarter. Thompson Investment Management Inc. lifted its stake in shares of PayPal by 2.8% during the second quarter. Thompson Investment Management Inc. now owns 154,991 shares of the credit services provider’s stock worth $11,519,000 after buying an additional 4,165 shares during the period. Kathmere Capital Management LLC purchased a new stake in shares of PayPal during the second quarter valued at $325,000. Allianz SE increased its position in shares of PayPal by 281.8% in the 1st quarter. Allianz SE now owns 30,338 shares of the credit services provider’s stock valued at $1,980,000 after acquiring an additional 22,392 shares during the period. Finally, Nuveen LLC acquired a new position in shares of PayPal in the 1st quarter valued at $529,264,000. 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.