Clearline Capital LP Sells 45,000 Shares of PayPal Holdings, Inc. $PYPL

Clearline Capital LP reduced its stake in PayPal Holdings, Inc. (NASDAQ:PYPL) by 15.0% in the third quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 255,340 shares of the credit services provider’s stock after selling 45,000 shares during the period. PayPal makes up about 0.8% of Clearline Capital LP’s holdings, making the stock its 23rd largest holding. Clearline Capital LP’s holdings in PayPal were worth $17,123,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds also recently made changes to their positions in the company. Ausdal Financial Partners Inc. increased its position in shares of PayPal by 40.1% during the third quarter. Ausdal Financial Partners Inc. now owns 10,485 shares of the credit services provider’s stock valued at $703,000 after buying an additional 3,000 shares during the period. Banco Bilbao Vizcaya Argentaria S.A. boosted its position in shares of PayPal by 4.1% in the third quarter. Banco Bilbao Vizcaya Argentaria S.A. now owns 586,588 shares of the credit services provider’s stock valued at $39,565,000 after acquiring an additional 23,084 shares during the period. California Public Employees Retirement System grew its stake in PayPal by 3.1% during the third quarter. California Public Employees Retirement System now owns 1,733,583 shares of the credit services provider’s stock valued at $116,254,000 after acquiring an additional 51,324 shares in the last quarter. Chilton Investment Co. Inc. bought a new stake in PayPal during the 3rd quarter worth approximately $714,000. Finally, Boothbay Fund Management LLC increased its holdings in PayPal by 900.3% during the 3rd quarter. Boothbay Fund Management LLC now owns 53,635 shares of the credit services provider’s stock worth $3,597,000 after acquiring an additional 48,273 shares during the period. 68.32% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several brokerages have commented on PYPL. Morgan Stanley cut their price target on shares of PayPal from $50.00 to $34.00 and set an “underweight” rating for the company in a report on Wednesday, February 4th. Needham & Company LLC reissued a “hold” rating on shares of PayPal in a research note on Tuesday, February 3rd. Daiwa Securities Group reduced their target price on PayPal from $61.00 to $42.00 and set a “neutral” rating for the company in a research report on Tuesday, February 10th. BTIG Research restated a “neutral” rating on shares of PayPal in a research note on Tuesday, February 3rd. Finally, Susquehanna dropped their price target on PayPal from $90.00 to $63.00 and set a “positive” rating for the company in a research report on Wednesday, February 4th. Eight investment analysts have rated the stock with a Buy rating, thirty-one have issued a Hold rating and six have issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $59.03.

Trending Headlines about PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal has been included in Mastercard’s new crypto partner program alongside firms like Binance and Ripple, which supports its PYUSD/stablecoin and payments roadmap and could help revenue diversification if partnerships scale. Binance, Ripple, PayPal join Mastercard’s 85+ partner crypto initiative
• Positive Sentiment: Valuation looks attractive to some investors and analysts: recent coverage highlights a low P/E and price targets above current levels, which can attract value buyers if execution stabilizes. Why PayPal’s Rally Faded—And What Could Restart It
• Neutral Sentiment: Macro and crypto market moves are creating mixed flows: regulatory alignment between the CFTC and SEC and episodic crypto volatility are shaping sentiment for payments/crypto plays like PayPal. This is a backdrop rather than an immediate company-specific catalyst. Crypto Currents: CFTC affirms crypto oversight alignment with SEC
• Negative Sentiment: Multiple securities class-action filings and numerous law‑firm alerts allege PayPal misled investors about growth and guidance (class period cited Feb 25, 2025–Feb 2, 2026). Firms are soliciting lead‑plaintiff motions with an April 20, 2026 deadline — this litigation wave increases legal risk, potential costs, and investor uncertainty. PayPal Holdings (PYPL) Faces Securities Class Action Amid $9 Billion Market Cap Wipeout, CEO Departure — Hagens Berman
• Negative Sentiment: Competition and management turnover remain immediate execution risks: coverage notes weak Feb results, cautious guidance, and the CEO departure — all drivers behind the recent selloff and continued skepticism until clear operational improvement is shown. Why PayPal’s Rally Faded—And What Could Restart It
• Negative Sentiment: High-profile commentary suggests competitive pressure from other payment/fintech platforms and actions by industry figures (e.g., Elon Musk) could further compress PayPal’s growth in key consumer/payment corridors. Elon Musk just made things uncomfortable for PayPal and Cash App

PayPal Trading Up 1.2%

Shares of PYPL stock opened at $44.90 on Friday. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 0.49. The business has a 50-day moving average price of $48.91 and a two-hundred day moving average price of $59.75. PayPal Holdings, Inc. has a 12-month low of $38.46 and a 12-month high of $79.50. The firm has a market cap of $41.34 billion, a P/E ratio of 8.30, a price-to-earnings-growth ratio of 1.34 and a beta of 1.43.

PayPal (NASDAQ:PYPL) last announced its quarterly earnings data on Tuesday, February 3rd. The credit services provider reported $1.23 EPS for the quarter, missing the consensus estimate of $1.29 by ($0.06). The firm had revenue of $8.68 billion for the quarter, compared to the consensus estimate of $8.82 billion. PayPal had a net margin of 15.77% and a return on equity of 25.42%. PayPal’s revenue for the quarter was up 4.0% compared to the same quarter last year. During the same quarter last year, the company posted $1.19 earnings per share. Equities analysts anticipate that PayPal Holdings, Inc. will post 5.03 EPS for the current fiscal year.

PayPal Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, March 25th. Shareholders of record on Wednesday, March 4th will be given a dividend of $0.14 per share. This represents a $0.56 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date is Wednesday, March 4th. PayPal’s dividend payout ratio (DPR) is presently 10.35%.

Insiders Place Their Bets

In related news, CAO Chris Natali sold 2,208 shares of the stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $44.73, for a total transaction of $98,763.84. Following the transaction, the chief accounting officer owned 1,140 shares of the company’s stock, valued at approximately $50,992.20. This trade represents a 65.95% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Suzan Kereere sold 37,613 shares of PayPal stock in a transaction on Wednesday, February 18th. The stock was sold at an average price of $41.49, for a total transaction of $1,560,563.37. Following the completion of the transaction, the insider owned 30,983 shares in the company, valued at approximately $1,285,484.67. The trade was a 54.83% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 87,608 shares of company stock valued at $3,831,535. 0.08% of the stock is currently owned by corporate insiders.

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.