Traders Buy High Volume of Call Options on PayPal Holdings (PYPL)
PayPal Holdings, Inc. (NASDAQ:PYPL) was the target of unusually large options trading activity on Wednesday. Stock investors bought 3,225 call options on the company. This is an increase of 657% compared to the typical volume of 426 call options.
In other PayPal Holdings news, COO William J. Ready sold 90,000 shares of PayPal Holdings stock in a transaction on Monday, July 31st. The shares were sold at an average price of $59.25, for a total value of $5,332,500.00. Following the completion of the transaction, the chief operating officer now directly owns 29,252 shares of the company’s stock, valued at approximately $1,733,181. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director John J. Donahoe sold 170,000 shares of PayPal Holdings stock in a transaction on Thursday, August 10th. The stock was sold at an average price of $58.18, for a total transaction of $9,890,600.00. Following the completion of the transaction, the director now directly owns 124,516 shares of the company’s stock, valued at $7,244,340.88. The disclosure for this sale can be found here. Insiders sold a total of 265,852 shares of company stock valued at $15,543,798 over the last three months. Corporate insiders own 6.00% of the company’s stock.
Hedge funds have recently modified their holdings of the stock. Thompson Davis & CO. Inc. boosted its stake in shares of PayPal Holdings by 36.7% in the first quarter. Thompson Davis & CO. Inc. now owns 2,415 shares of the credit services provider’s stock valued at $104,000 after buying an additional 649 shares during the period. Crestwood Advisors Group LLC purchased a new stake in shares of PayPal Holdings during the first quarter valued at $106,000. Stelac Advisory Services LLC purchased a new stake in shares of PayPal Holdings during the first quarter valued at $119,000. Clean Yield Group purchased a new stake in shares of PayPal Holdings during the first quarter valued at $127,000. Finally, Archford Capital Strategies LLC boosted its stake in shares of PayPal Holdings by 65.4% in the first quarter. Archford Capital Strategies LLC now owns 3,241 shares of the credit services provider’s stock valued at $139,000 after buying an additional 1,281 shares during the period. 81.54% of the stock is currently owned by hedge funds and other institutional investors.
PYPL has been the subject of a number of recent research reports. BTIG Research lifted their price objective on shares of PayPal Holdings from $48.00 to $53.00 and gave the stock a “buy” rating in a research note on Friday, April 28th. Sanford C. Bernstein raised shares of PayPal Holdings from a “market perform” rating to an “outperform” rating and lifted their price objective for the stock from $46.00 to $61.00 in a research note on Monday, July 10th. Monness Crespi & Hardt lifted their price objective on shares of PayPal Holdings from $50.00 to $54.00 and gave the stock a “buy” rating in a research note on Thursday, April 27th. Vetr raised shares of PayPal Holdings from a “hold” rating to a “buy” rating and set a $51.23 price objective for the company in a research note on Wednesday, May 17th. Finally, Cowen and Company lifted their price objective on shares of PayPal Holdings from $39.00 to $42.00 and gave the stock a “market perform” rating in a research note on Friday, April 28th. One analyst has rated the stock with a sell rating, eleven have assigned a hold rating, thirty have given a buy rating and two have given a strong buy rating to the company. The company has an average rating of “Buy” and an average price target of $59.49.
PayPal Holdings (PYPL) opened at 59.44 on Friday. The stock has a 50 day moving average of $57.84 and a 200-day moving average of $49.13. The stock has a market cap of $71.47 billion, a P/E ratio of 47.94 and a beta of 0.99. PayPal Holdings has a 12 month low of $36.30 and a 12 month high of $61.30.
PayPal Holdings (NASDAQ:PYPL) last issued its earnings results on Wednesday, July 26th. The credit services provider reported $0.46 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.43 by $0.03. The firm had revenue of $3.14 billion for the quarter, compared to analysts’ expectations of $3.09 billion. PayPal Holdings had a net margin of 12.82% and a return on equity of 11.10%. The firm’s revenue was up 18.3% compared to the same quarter last year. During the same quarter last year, the company earned $0.36 earnings per share. On average, equities analysts forecast that PayPal Holdings will post $1.83 EPS for the current fiscal year.
PayPal Holdings announced that its Board of Directors has authorized a stock buyback plan on Wednesday, April 26th that permits the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization permits the credit services provider to reacquire up to 9.3% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s leadership believes its shares are undervalued.
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PayPal Holdings Company Profile
PayPal Holdings, Inc is a technology platform and digital payments company that enables digital and mobile payments on behalf of consumers and merchants. The Company’s combined payment solutions, including its PayPal, PayPal Credit, Braintree, Venmo, Xoom and Paydiant products, compose its Payments Platform.
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