PayPal (NASDAQ:PYPL) Shares Up 3.4% – Here’s Why

Shares of PayPal Holdings, Inc. (NASDAQ:PYPL) shot up 3.4% during mid-day trading on Monday . The company traded as high as $45.74 and last traded at $45.49. 21,229,711 shares changed hands during mid-day trading, a decline of 15% from the average session volume of 24,999,172 shares. The stock had previously closed at $44.01.

Key Stories Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Venmo expands globally by connecting with PayPal’s network, allowing Venmo users to send/receive money with hundreds of millions of PayPal users across ~90 markets — materially increasing Venmo’s addressable market and the upside for cross-border P2P volume. Venmo Expands Reach of P2P Payments via PayPal Network
• Positive Sentiment: Coverage highlighting PayPal’s low valuation (single‑digit P/E) and “cheap” thesis is drawing investor interest — these narratives can attract value-oriented buyers and support near‑term share strength. PayPal: Mr. Market Is Ignoring Just How Cheap It Is
• Neutral Sentiment: Long‑term investor pieces reiterate PayPal’s compound value story and network effects — helpful for medium/long‑term sentiment but less likely to move short‑term fundamentals. Here’s How PayPal Holdings (PYPL) Compounds the Value Over the Long Term
• Negative Sentiment: Hagens Berman alerted investors to a securities class action tied to the CEO ouster and a multi‑billion dollar market‑cap drop — legal exposure and reputational risk could pressure multiples and create headline volatility. PYPL ALERT: Hagens Berman Alerts PayPal (PYPL) Investors to Securities Class Action
• Negative Sentiment: Multiple plaintiff law firms (Rosen, Schall and others) are soliciting investors and reminding them of an April 20 lead‑plaintiff deadline — proliferation of suits increases legal costs and distracts management. ROSEN Encourages PayPal Investors to Secure Counsel
• Negative Sentiment: Additional firm notices (Schall Law Firm reminder) repeat the same class‑action window and may keep legal headlines in the news cycle. Schall Law Firm: Opportunity to Lead PayPal Securities Fraud Lawsuit

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on the company. UBS Group restated a “neutral” rating and issued a $44.00 target price on shares of PayPal in a research note on Wednesday, February 4th. Cantor Fitzgerald dropped their price target on PayPal from $60.00 to $42.00 and set a “neutral” rating on the stock in a report on Monday, February 9th. Daiwa Securities Group cut their price objective on PayPal from $61.00 to $42.00 and set a “neutral” rating on the stock in a research report on Tuesday, February 10th. Citizens Jmp reaffirmed a “market perform” rating on shares of PayPal in a research report on Wednesday, February 4th. Finally, HSBC cut PayPal from a “buy” rating to a “hold” rating and set a $47.00 target price on the stock. in a research note on Wednesday, February 4th. Eight investment analysts have rated the stock with a Buy rating, thirty-one have given a Hold rating and six have issued a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $59.03.

PayPal Trading Up 3.4%

The firm has a 50 day moving average of $47.53 and a 200 day moving average of $58.80. The firm has a market cap of $41.88 billion, a PE ratio of 8.41, a P/E/G ratio of 1.31 and a beta of 1.43. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 0.49.

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

PayPal Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 25th. Investors of record on Wednesday, March 4th will be paid a $0.14 dividend. 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 payout ratio is currently 10.35%.

Insider Buying and Selling at PayPal

In other PayPal news, EVP Frank Keller sold 29,581 shares of the stock in a transaction dated Tuesday, March 3rd. The shares were sold at an average price of $46.02, for a total transaction of $1,361,317.62. Following the completion of the transaction, the executive vice president owned 51,567 shares in the company, valued at $2,373,113.34. This trade represents a 36.45% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Suzan Kereere sold 13,515 shares of PayPal stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $46.02, for a total transaction of $621,960.30. Following the completion of the transaction, the insider owned 30,983 shares of the company’s stock, valued at $1,425,837.66. The trade was a 30.37% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 87,608 shares of company stock valued at $3,831,535 over the last three months. 0.08% of the stock is currently owned by insiders.

Institutional Investors Weigh In On PayPal

A number of hedge funds and other institutional investors have recently bought and sold shares of PYPL. Wedmont Private Capital raised its stake in shares of PayPal by 1.6% during the 3rd quarter. Wedmont Private Capital now owns 9,157 shares of the credit services provider’s stock valued at $614,000 after purchasing an additional 142 shares during the period. Dakota Community Bank & Trust NA boosted its stake in PayPal by 8.7% in the 2nd quarter. Dakota Community Bank & Trust NA now owns 1,840 shares of the credit services provider’s stock worth $137,000 after purchasing an additional 147 shares during the period. Maia Wealth LLC grew its holdings in PayPal by 2.5% during the 3rd quarter. Maia Wealth LLC now owns 6,404 shares of the credit services provider’s stock valued at $424,000 after buying an additional 155 shares in the last quarter. Transatlantique Private Wealth LLC increased its position in shares of PayPal by 2.9% during the third quarter. Transatlantique Private Wealth LLC now owns 5,698 shares of the credit services provider’s stock valued at $382,000 after buying an additional 159 shares during the period. Finally, WCG Wealth Advisors LLC increased its position in shares of PayPal by 1.1% during the second quarter. WCG Wealth Advisors LLC now owns 14,285 shares of the credit services provider’s stock valued at $1,062,000 after buying an additional 162 shares during the period. Institutional investors own 68.32% of the company’s 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.