PayPal (NASDAQ:PYPL) Price Target Cut to $59.00 by Analysts at Royal Bank Of Canada

PayPal (NASDAQ:PYPL) had its target price cut by Royal Bank Of Canada from $91.00 to $59.00 in a research note published on Wednesday morning, Marketbeat.com reports. They currently have an outperform rating on the credit services provider’s stock.

A number of other research analysts have also weighed in on the company. Argus raised their target price on PayPal from $81.00 to $87.00 and gave the company a “buy” rating in a report on Wednesday, October 29th. KGI Securities lowered their price target on PayPal from $85.00 to $80.00 in a research report on Monday, November 10th. William Blair reaffirmed a “market perform” rating on shares of PayPal in a report on Tuesday. Weiss Ratings reiterated a “hold (c)” rating on shares of PayPal in a research note on Thursday, January 22nd. Finally, Canaccord Genuity Group reissued a “hold” rating and set a $42.00 price target (down from $100.00) on shares of PayPal in a research report on Wednesday. Ten analysts have rated the stock with a Buy rating, thirty have issued a Hold rating and five have assigned a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $62.88.

PayPal Stock Performance

Shares of PYPL stock opened at $41.03 on Wednesday. The company has a current ratio of 1.29, a quick ratio of 1.34 and a debt-to-equity ratio of 0.49. The firm has a fifty day simple moving average of $58.06 and a two-hundred day simple moving average of $64.85. PayPal has a 12 month low of $39.96 and a 12 month high of $79.74. The firm has a market capitalization of $38.39 billion, a PE ratio of 7.58, a price-to-earnings-growth ratio of 0.52 and a beta of 1.43.

PayPal (NASDAQ:PYPL) last released 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 during the quarter, compared to the consensus estimate of $8.82 billion. PayPal had a net margin of 15.77% and a return on equity of 25.42%. The firm’s quarterly revenue was up 4.0% on a year-over-year basis. During the same period last year, the business posted $1.19 earnings per share. Analysts forecast that PayPal will post 5.03 EPS for the current fiscal year.

PayPal Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 25th. Investors of record on Wednesday, March 4th will be issued a dividend of $0.14 per share. This represents a $0.56 dividend on an annualized basis and a yield of 1.4%. The ex-dividend date is Wednesday, March 4th. PayPal’s dividend payout ratio (DPR) is 11.22%.

Insider Transactions at PayPal

In other PayPal news, EVP Aaron Webster sold 9,282 shares of the stock in a transaction on Monday, November 10th. The stock was sold at an average price of $66.29, for a total transaction of $615,303.78. Following the completion of the transaction, the executive vice president directly owned 35,699 shares of the company’s stock, valued at approximately $2,366,486.71. This represents a 20.64% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 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 value of $249,054.08. Following the completion of the sale, the insider directly owned 30,983 shares of the company’s stock, valued at $1,854,022.72. This represents a 11.84% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.08% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Thompson Investment Management Inc. boosted its stake in PayPal by 2.8% during the second quarter. Thompson Investment Management Inc. now owns 154,991 shares of the credit services provider’s stock valued at $11,519,000 after buying an additional 4,165 shares during the period. National Pension Service raised its holdings in shares of PayPal by 1.8% in the 3rd quarter. National Pension Service now owns 2,855,897 shares of the credit services provider’s stock valued at $191,516,000 after acquiring an additional 51,268 shares in the last quarter. Merit Financial Group LLC boosted its position in shares of PayPal by 15.5% during the 3rd quarter. Merit Financial Group LLC now owns 164,901 shares of the credit services provider’s stock valued at $11,058,000 after acquiring an additional 22,139 shares during the last quarter. Nordea Investment Management AB grew its holdings in shares of PayPal by 7.9% during the third quarter. Nordea Investment Management AB now owns 4,292,583 shares of the credit services provider’s stock worth $291,338,000 after purchasing an additional 313,180 shares in the last quarter. Finally, Rakuten Investment Management Inc. bought a new position in shares of PayPal in the third quarter worth approximately $13,210,000. 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: Some investors/analysts flag a potential buying opportunity because PYPL is deeply oversold after the sell‑off; contrarian pieces and technical analyses argue support levels could attract buyers. Should You Buy The Dip In PayPal Stock?
• Positive Sentiment: A handful of firms kept constructive views (or less bearish stances) despite cuts to targets, arguing PayPal’s cash flow, buyback capacity and long‑term position in payments give upside if execution restores growth. Analyst notes and reiterations
• Neutral Sentiment: Board appointed Enrique Lores (former HP CEO and PayPal board chair) as incoming CEO (effective March 1) with Jamie Miller interim — a major leadership shift whose impact is uncertain: it may reassure some investors but also signals the board’s dissatisfaction with past execution. PayPal Appoints Enrique Lores as CEO
• Neutral Sentiment: PayPal announced a modest quarterly dividend (small yield) — positive for income‑seeking holders but unlikely to move the stock materially given current execution concerns.
• Negative Sentiment: Q4 results missed expectations (adjusted EPS $1.23 vs. ~$1.29 est.; revenue ~$8.68B vs. ~$8.8B) and management lowered near‑term profit guidance for 2026 — the primary catalyst for the price decline. Q4 results and call
• Negative Sentiment: Multiple analysts cut price targets or downgraded ratings after the quarter and CEO change, increasing sell pressure and reducing near‑term institutional support. Analyst downgrades and price‑target changes
• Negative Sentiment: Shareholder/legal risk rose: several law firms have opened securities‑fraud investigations probing the gap between prior outlooks and results, adding uncertainty and potential headline risk. Securities investigation notice
• Negative Sentiment: Public criticism from former PayPal leaders and commentary about slowing branded‑checkout and transactions‑per‑account growth have amplified concerns that PayPal’s core growth engine is stalling. Former exec criticism

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.