PayPal (NASDAQ:PYPL) Trading 1.4% Higher – Still a Buy?

PayPal Holdings, Inc. (NASDAQ:PYPL) shares were up 1.4% during trading on Wednesday . The stock traded as high as $45.96 and last traded at $44.85. Approximately 14,852,991 shares traded hands during trading, a decline of 40% from the average daily volume of 24,729,199 shares. The stock had previously closed at $44.21.

Trending Headlines about PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal launched PayPal USD across 70 markets — expands its stablecoin/crypto rails and cross‑border settlement options, a potential new revenue/engagement driver. PayPal Holdings (PYPL) Announces the Launch of PayPal USD Across 70 Markets
• Positive Sentiment: Venmo goes global — PayPal said Venmo will be available in 90 countries via PayPal integration, broadening user access and international payment volume potential. PayPal takes Venmo global
• Positive Sentiment: Alyssa Henry (ex‑Square/Square’s Square business) joins PayPal’s board — adds payments product and merchant experience expertise; a governance/strategic positive amid leadership shakeups. Alyssa Henry to Join PayPal’s Board of Directors; Gail J. McGovern to Retire from Board
• Neutral Sentiment: New leveraged ETF exposure — Direxion launched a 2x daily ETF for PYPL, which can amplify flows and intraday volatility but doesn’t change fundamentals. Single Stocks Are Driving the Tape – Direxion Launches Four 2X Bull ETFs
• Neutral Sentiment: Market/valuation takes — several pieces urge reassessment of PayPal after the recent share price slide; signals investor debate over whether current levels reflect a buying opportunity or structural slowdown. Is It Time To Reassess PayPal (PYPL) After Its Recent Share Price Slide?
• Negative Sentiment: Widespread securities‑class actions and lead‑plaintiff solicitations — multiple law firms are filing/alerting investors after a surprise CEO ouster and withdrawal of long‑term targets; this legal overhang has been cited in the recent market cap decline and raises potential litigation costs and management distraction. PYPL ALERT: Hagens Berman Alerts PayPal (PYPL) Investors to Securities Class Action Following CEO Ouster and $10B Market Cap Wipeout
• Negative Sentiment: Executive personal‑liability claims — Levi & Korsinsky warns of Section 20(a) claims naming the CEO and CFO, amplifying downside legal risk and potential individual recoveries. LEVI & KORSINSKY, LLP: PYPL CEO AND CFO FACE PERSONAL LIABILITY IN SECURITIES ACTION
• Negative Sentiment: Bearish analyst/commentary — coverage such as “Don’t Buy PayPal Until These 3 Things Happen” highlights structural concerns (competition, growth execution) that could keep sentiment weak until clearer evidence of durable revenue/GMV recovery. Don’t Buy PayPal’s Stock Until These 3 Things Happen

Analyst Upgrades and Downgrades

Several research analysts have weighed in on the company. Robert W. Baird set a $52.00 target price on PayPal in a research note on Wednesday, February 4th. Sanford C. Bernstein restated a “market perform” rating on shares of PayPal in a research note on Tuesday, February 24th. Morgan Stanley decreased their price target on PayPal from $50.00 to $34.00 and set an “underweight” rating for the company in a report on Wednesday, February 4th. Cantor Fitzgerald lowered their price objective on shares of PayPal from $60.00 to $42.00 and set a “neutral” rating on the stock in a research report on Monday, February 9th. Finally, Wells Fargo & Company dropped their price objective on shares of PayPal from $67.00 to $48.00 and set an “equal weight” rating on the stock in a research note on Wednesday, February 4th. Eight equities research analysts have rated the stock with a Buy rating, thirty-one have issued a Hold rating and six have given a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $59.03.

PayPal Stock Up 1.4%

The company has a debt-to-equity ratio of 0.49, a quick ratio of 1.29 and a current ratio of 1.29. The firm has a fifty day moving average price of $47.05 and a 200 day moving average price of $58.47. The firm has a market capitalization of $41.29 billion, a price-to-earnings ratio of 8.29, a PEG ratio of 1.36 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 earnings per share for the quarter, missing analysts’ consensus estimates of $1.29 by ($0.06). The business had revenue of $8.68 billion for the quarter, compared to analyst estimates of $8.82 billion. PayPal had a return on equity of 25.42% and a net margin of 15.77%.The company’s revenue was up 4.0% on a year-over-year basis. During the same period in the prior year, the company earned $1.19 EPS. As a group, sell-side analysts expect that PayPal Holdings, Inc. will post 5.03 EPS for the current fiscal year.

PayPal Announces Dividend

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

Insider Activity

In other PayPal news, EVP Frank Keller sold 29,581 shares of the company’s 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 transaction, the executive vice president directly owned 51,567 shares in the company, valued at approximately $2,373,113.34. This represents a 36.45% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CAO Chris Natali sold 2,208 shares of the stock in a transaction dated Tuesday, March 3rd. The shares were sold at an average price of $44.73, for a total transaction of $98,763.84. Following the completion of the transaction, the chief accounting officer directly owned 1,140 shares of the company’s stock, valued at approximately $50,992.20. This trade represents a 65.95% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 87,608 shares of company stock worth $3,831,535 in the last 90 days. 0.08% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On PayPal

A number of institutional investors and hedge funds have recently modified their holdings of the company. Bard Associates Inc. acquired a new stake in PayPal in the fourth quarter valued at $25,000. Caitong International Asset Management Co. Ltd raised its stake in shares of PayPal by 15,233.3% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 460 shares of the credit services provider’s stock worth $27,000 after buying an additional 457 shares during the last quarter. Safe Harbor Fiduciary LLC acquired a new position in shares of PayPal during the 4th quarter worth $28,000. Cloud Capital Management LLC purchased a new stake in shares of PayPal in the 3rd quarter worth about $30,000. Finally, Kelleher Financial Advisors acquired a new stake in PayPal in the 3rd quarter valued at about $30,000. Institutional investors and hedge funds own 68.32% of the company’s stock.

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.