Rothschild & Co Redburn Downgrades PayPal (NASDAQ:PYPL) to Sell

Posted by ABMN Staff on Jan 30th, 2026

PayPal (NASDAQ:PYPL – Get Free Report) was downgraded by equities research analysts at Rothschild & Co Redburn from a “neutral” rating to a “sell” rating in a report released on Wednesday, MarketBeat reports. They presently have a $50.00 target price on the credit services provider’s stock. Rothschild & Co Redburn’s price target would indicate a potential downside of 5.86% from the stock’s previous close.

PYPL has been the topic of several other reports. Keefe, Bruyette & Woods lifted their price target on shares of PayPal from $85.00 to $90.00 and gave the stock an “outperform” rating in a report on Wednesday, October 29th. Morgan Stanley reissued an “underweight” rating and issued a $50.00 price objective on shares of PayPal in a research report on Wednesday. Deutsche Bank Aktiengesellschaft reduced their target price on PayPal from $75.00 to $65.00 and set a “hold” rating on the stock in a research report on Friday, December 5th. Citigroup lowered their price target on PayPal from $78.00 to $60.00 and set a “neutral” rating for the company in a report on Monday, January 5th. Finally, KGI Securities dropped their price target on PayPal from $85.00 to $80.00 in a research note on Monday, November 10th. Twelve equities research analysts have rated the stock with a Buy rating, twenty-four have assigned a Hold rating and six have given a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $73.10.

Get Our Latest Stock Report on PYPL

PayPal Stock Down 1.8%

NASDAQ:PYPL opened at $53.11 on Wednesday. The company’s 50-day simple moving average is $59.19 and its 200-day simple moving average is $65.65. 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 has a fifty-two week low of $52.53 and a fifty-two week high of $90.93. The stock has a market capitalization of $49.69 billion, a P/E ratio of 10.64, a P/E/G ratio of 0.67 and a beta of 1.42.

PayPal (NASDAQ:PYPL – Get Free Report) last posted its quarterly earnings data on Tuesday, October 28th. The credit services provider reported $1.34 EPS for the quarter, topping the consensus estimate of $1.20 by $0.14. PayPal had a net margin of 14.96% and a return on equity of 25.64%. The firm had revenue of $8.42 billion during the quarter, compared to analyst estimates of $8.21 billion. During the same quarter in the previous year, the business posted $1.20 EPS. PayPal’s revenue was up 7.3% on a year-over-year basis. On average, equities analysts anticipate that PayPal will post 5.03 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, EVP Aaron Webster sold 9,282 shares of the 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 sale, the executive vice president owned 35,699 shares in the company, valued at $2,366,486.71. This represents a 20.64% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Suzan Kereere sold 4,162 shares of the firm’s stock in a transaction on Wednesday, November 19th. The stock was sold at an average price of $59.84, for a total transaction of $249,054.08. Following the transaction, the insider directly owned 30,983 shares of the company’s stock, valued at approximately $1,854,022.72. This trade represents a 11.84% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 25,944 shares of company stock worth $1,725,233. 0.08% of the stock is owned by insiders.

Hedge Funds Weigh In On PayPal

Institutional investors have recently modified their holdings of the stock. Brighton Jones LLC lifted its holdings in PayPal by 15.2% in the fourth quarter. Brighton Jones LLC now owns 6,989 shares of the credit services provider’s stock valued at $596,000 after acquiring an additional 924 shares during the period. Revolve Wealth Partners LLC acquired a new stake in shares of PayPal during the 4th quarter worth approximately $248,000. Sivia Capital Partners LLC increased its holdings in shares of PayPal by 41.5% during the 2nd quarter. Sivia Capital Partners LLC now owns 4,470 shares of the credit services provider’s stock valued at $332,000 after purchasing an additional 1,310 shares in the last quarter. Sound Income Strategies LLC lifted its stake in shares of PayPal by 48.9% in the 2nd quarter. Sound Income Strategies LLC now owns 1,017 shares of the credit services provider’s stock valued at $76,000 after purchasing an additional 334 shares during the period. Finally, GC Wealth Management RIA LLC purchased a new stake in PayPal during the second quarter worth $654,000. Hedge funds and other institutional investors own 68.32% of the company’s stock.

PayPal News Roundup

Here are the key news stories impacting PayPal this week:

Positive Sentiment: Bull case: The Motley Fool argues 2026 could be a breakout year for PayPal if new partnerships and initiatives scale, providing a longer‑term growth angle that could support the stock. Prediction: 2026 Will Be the Year of PayPal
Positive Sentiment: Merchant adoption of crypto: PayPal/NCA survey shows ~40% of U.S. merchants accept crypto at checkout — a market expansion signal that could lift payments volume over time if PayPal monetizes it. Nearly 40% of US merchants now accept crypto at checkout: PayPal
Neutral Sentiment: Q4 event risk: Multiple previews urge caution ahead of PayPal’s Feb. 3 earnings — watch TPV, active accounts, take rate and guidance rather than just headline EPS/revenue. Results could swing sentiment. PayPal (PYPL) Q4 Earnings Preview
Neutral Sentiment: Event timing: Several articles recommend pausing ahead of Q4 results because upcoming comps and details on volumes/revenue mix will drive short‑term direction. PayPal Reports Q4 Earnings on Feb. 3. Why You Should Press Pause on PYPL Stock For Now.
Negative Sentiment: Analyst downgrades piling up: Rothschild/Redburn and others have cut ratings to Sell/Strong Sell and trimmed price targets, pressuring near‑term sentiment. “Heads Up, Investors,” PayPal Stock Hit with Sell Rating
Negative Sentiment: Price‑target cuts: Truist and HSBC have lowered targets (Truist to $58, HSBC to $72), signaling weaker near‑term expectations and contributing to selling pressure. Truist Anticipates Solid PayPal Q4 Results but Warns of Difficult Volume Comparisons HSBC Lowers PayPal Price Target
Negative Sentiment: Competitive and macro concerns: Analysis pieces highlight a brutal competitive landscape and macro headwinds that could limit upside absent clear volume/monetization beats. PayPal: A Brutal Competitive Landscape And Changes Yet To Be Seen

PayPal Company Profile

(Get Free Report)

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.