Compass Point Issues Pessimistic Forecast for PayPal (NASDAQ:PYPL) Stock Price

PayPal (NASDAQ:PYPL) had its target price reduced by stock analysts at Compass Point from $66.00 to $56.00 in a report released on Tuesday, Marketbeat reports. The firm currently has a “sell” rating on the credit services provider’s stock. Compass Point’s target price indicates a potential downside of 8.44% from the stock’s previous close.

A number of other equities research analysts also recently issued reports on PYPL. BNP Paribas Exane reduced their price target on shares of PayPal from $71.00 to $69.00 and set a “neutral” rating for the company in a research report on Tuesday, December 2nd. Macquarie raised their price objective on PayPal from $95.00 to $100.00 and gave the company an “outperform” rating in a research note on Wednesday, October 29th. The Goldman Sachs Group lifted their price objective on PayPal from $70.00 to $72.00 and gave the stock a “sell” rating in a report on Wednesday, October 29th. Mizuho set a $84.00 target price on PayPal in a report on Thursday, October 30th. Finally, Keefe, Bruyette & Woods raised their price target on PayPal from $85.00 to $90.00 and gave the company an “outperform” rating in a research report on Wednesday, October 29th. Fifteen equities research analysts have rated the stock with a Buy rating, nineteen have assigned a Hold rating and four have assigned a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $80.92.

PayPal Price Performance

PayPal stock opened at $61.16 on Tuesday. The company has a market cap of $57.22 billion, a P/E ratio of 12.26, a price-to-earnings-growth ratio of 0.83 and a beta of 1.43. PayPal has a one year low of $55.85 and a one year high of $93.25. The business has a fifty day moving average of $66.19 and a two-hundred day moving average of $69.28. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.34 and a current ratio of 1.34.

PayPal (NASDAQ:PYPL) last announced its quarterly earnings results on Tuesday, October 28th. The credit services provider reported $1.34 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.20 by $0.14. The business had revenue of $8.42 billion during the quarter, compared to the consensus estimate of $8.21 billion. PayPal had a net margin of 14.96% and a return on equity of 25.64%. The business’s revenue was up 7.3% compared to the same quarter last year. During the same quarter last year, the firm posted $1.20 EPS. PayPal has set its Q4 2025 guidance at 1.270-1.310 EPS and its FY 2025 guidance at 5.350-5.390 EPS. As a group, analysts predict that PayPal will post 5.03 earnings per share for the current fiscal year.

Insider Activity

In related news, EVP Diego Scotti sold 3,838 shares of the company’s stock in a transaction that occurred on Thursday, October 30th. The shares were sold at an average price of $68.97, for a total transaction of $264,706.86. Following the transaction, the executive vice president owned 16,989 shares of the company’s stock, valued at approximately $1,171,731.33. This represents a 18.43% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Aaron Webster sold 9,282 shares of the business’s stock in a transaction 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 completion of the transaction, the executive vice president owned 35,699 shares of the company’s stock, valued at $2,366,486.71. This trade represents a 20.64% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 36,156 shares of company stock worth $2,432,524. Corporate insiders own 0.08% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Saranac Partners Ltd purchased a new stake in PayPal in the third quarter valued at approximately $67,000. IFP Advisors Inc boosted its holdings in shares of PayPal by 3.9% in the 3rd quarter. IFP Advisors Inc now owns 49,166 shares of the credit services provider’s stock valued at $3,297,000 after purchasing an additional 1,833 shares during the last quarter. Swiss Life Asset Management Ltd boosted its holdings in shares of PayPal by 7.0% in the 3rd quarter. Swiss Life Asset Management Ltd now owns 225,198 shares of the credit services provider’s stock valued at $15,102,000 after purchasing an additional 14,746 shares during the last quarter. Strategic Advocates LLC purchased a new stake in shares of PayPal during the 3rd quarter valued at $38,000. Finally, CIBC Bancorp USA Inc. acquired a new stake in shares of PayPal during the 3rd quarter worth $11,109,000. Institutional investors and hedge funds own 68.32% of the company’s stock.

PayPal Company Profile

PayPal Holdings, Inc operates a technology platform that enables digital payments on behalf of merchants and consumers worldwide. It operates a two-sided network at scale that connects merchants and consumers that enables its customers to connect, transact, and send and receive payments through online and in person, as well as transfer and withdraw funds using various funding sources, such as bank accounts, PayPal or Venmo account balance, PayPal and Venmo branded credit products comprising its installment products, credit and debit cards, and cryptocurrencies, as well as other stored value products, including gift cards and eligible rewards.