PayPal (NASDAQ:PYPL) Cut to Strong Sell at Rothschild Redb

Rothschild Redb downgraded shares of PayPal (NASDAQ:PYPL) from a hold rating to a strong sell rating in a research report report published on Wednesday morning,Zacks.com reports.

Several other equities research analysts have also recently weighed in on PYPL. Wall Street Zen cut PayPal from a “buy” rating to a “hold” rating in a research report on Sunday, January 18th. Piper Sandler reduced their price target on shares of PayPal from $76.00 to $74.00 and set a “neutral” rating for the company in a report on Wednesday, January 14th. Monness Crespi & Hardt lowered shares of PayPal from a “buy” rating to a “neutral” rating in a research report on Monday, January 5th. Compass Point cut their price objective on shares of PayPal from $56.00 to $55.00 and set a “sell” rating for the company in a research report on Tuesday, January 13th. Finally, Macquarie increased their target price on shares of PayPal from $95.00 to $100.00 and gave the company an “outperform” rating in a research note on Wednesday, October 29th. Twelve research analysts have rated the stock with a Buy rating, twenty-four have assigned a Hold rating and six have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $73.10.

PayPal Trading Down 0.8%

PayPal stock opened at $52.69 on Wednesday. PayPal has a 52 week low of $52.06 and a 52 week high of $90.40. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.34 and a current ratio of 1.34. The firm has a market capitalization of $49.30 billion, a PE ratio of 10.56, a PEG ratio of 0.66 and a beta of 1.42. The business’s 50-day simple moving average is $59.03 and its 200-day simple moving average is $65.50.

PayPal (NASDAQ:PYPL) last announced its earnings results on Tuesday, October 28th. The credit services provider reported $1.34 earnings per share for the quarter, beating the consensus estimate of $1.20 by $0.14. The firm had revenue of $8.42 billion during the quarter, compared to the consensus estimate of $8.21 billion. PayPal had a return on equity of 25.64% and a net margin of 14.96%.The firm’s revenue for the quarter was up 7.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.20 EPS. Equities research analysts forecast that PayPal will post 5.03 earnings per share for the current year.

Insider Activity

In other PayPal news, insider Suzan Kereere sold 12,500 shares of the firm’s stock in a transaction dated Monday, November 3rd. The shares were sold at an average price of $68.87, for a total transaction of $860,875.00. Following the completion of the transaction, the insider owned 30,983 shares in the company, valued at $2,133,799.21. This trade represents a 28.75% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, EVP Aaron Webster sold 9,282 shares of PayPal stock in a transaction that occurred on Monday, November 10th. The shares were sold at an average price of $66.29, for a total value of $615,303.78. Following the sale, the executive vice president directly owned 35,699 shares in the company, valued at $2,366,486.71. The trade was a 20.64% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 25,944 shares of company stock valued at $1,725,233 in the last three months. Company insiders own 0.08% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of PYPL. Hilltop National Bank acquired a new stake in shares of PayPal during the 2nd quarter worth about $27,000. MUFG Securities EMEA plc grew its stake in PayPal by 100.4% during the second quarter. MUFG Securities EMEA plc now owns 385 shares of the credit services provider’s stock worth $29,000 after buying an additional 87,524 shares during the last quarter. Cloud Capital Management LLC bought a new stake in PayPal during the third quarter worth about $30,000. Kelleher Financial Advisors acquired a new stake in shares of PayPal during the third quarter worth approximately $30,000. Finally, Torren Management LLC bought a new position in shares of PayPal in the fourth quarter valued at approximately $31,000. 68.32% of the stock is currently owned by institutional investors and hedge funds.

PayPal News Roundup

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Cantor Fitzgerald upgraded PayPal, offering a near-term supportive data point that some investors may view as a counterbalance to recent negative analyst actions. PayPal (NASDAQ:PYPL) Upgraded at Cantor Fitzgerald
• Positive Sentiment: Bullish commentary (The Motley Fool) argues 2026 could be a breakout year for PayPal driven by a large new partnership and product momentum—this is a thematic positive for longer-term investor sentiment. Prediction: 2026 Will Be the Year of PayPal
• Neutral Sentiment: Analysts and previews emphasize that PayPal’s Q4 earnings (Feb. 3) and forward guidance are the next major catalysts — results could swing the stock either way depending on volumes, margins and guidance. Paypal (PYPL) Q4 Earnings Preview: What You Should Know Beyond the Headline Estimates
• Neutral Sentiment: Coverage highlighting PayPal’s role in shaping the Nasdaq-100 digital commerce narrative underscores strategic importance but is not an immediate price driver. PayPal (NASDAQ:PYPL) Shapes Nasdaq 100 Index Narrative on Digital Commerce
• Neutral Sentiment: Macro and industry discussions (e.g., bitcoin commentary from a former PayPal executive) are interesting context but have limited direct impact on PYPL near-term performance. Bitcoin Could Hit $1.1 Million To $1.5M, Former PayPal President Says
• Negative Sentiment: Rothschild & Co Redburn downgraded PayPal to a Sell/strong-sell stance — a high-profile downgrade that has been cited as a primary driver of the intraday weakness. Rothschild & Co Redburn Downgrades PayPal (NASDAQ:PYPL) to Sell
• Negative Sentiment: Multiple firms have trimmed targets or warned on volumes (HSBC cut its price target; Truist lowered its PT and flagged difficult volume comps), increasing downward pressure on consensus expectations. HSBC Lowers PayPal (NASDAQ:PYPL) Price Target to $72.00
• Negative Sentiment: Analyst-driven sell-side momentum has pushed shares to a new 52-week low and produced several short-term sell calls — accelerating the decline and higher trading volume. PayPal (NASDAQ:PYPL) Hits New 52-Week Low on Analyst Downgrade
• Negative Sentiment: Analysts and commentators note a ~23% three‑month slide driven by competition, tariffs and rising expenses; while product initiatives offer hope, near-term operational headwinds are pressuring multiples. PayPal Plunges 23.3% in 3 Months: Time to Buy, Sell or Hold the 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.