PayPal (NASDAQ:PYPL) Price Target Cut to $44.00 by Analysts at Truist Financial

PayPal (NASDAQ:PYPL) had its price objective lowered by Truist Financial from $45.00 to $44.00 in a report released on Tuesday, Marketbeat Ratings reports. The firm currently has a sell rating on the credit services provider’s stock.

Several other brokerages have also issued reports on PYPL. Wells Fargo & Company lowered their target price on PayPal from $67.00 to $48.00 and set an “equal weight” rating for the company in a research report on Wednesday, February 4th. Royal Bank Of Canada reaffirmed an “outperform” rating and set a $59.00 target price on shares of PayPal in a research report on Wednesday, May 6th. Canaccord Genuity Group reaffirmed a “hold” rating and set a $42.00 target price (down from $100.00) on shares of PayPal in a research report on Wednesday, February 4th. JPMorgan Chase & Co. lowered their target price on PayPal from $70.00 to $46.00 and set a “neutral” rating for the company in a research report on Wednesday, February 4th. Finally, Susquehanna lowered their target price on PayPal from $90.00 to $63.00 and set a “positive” rating for the company in a research report on Wednesday, February 4th. Eight equities research analysts have rated the stock with a Buy rating, thirty-two have given a Hold rating and five have given a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $55.85.

PayPal Stock Up 0.8%

Shares of NASDAQ:PYPL opened at $45.44 on Tuesday. The firm has a market cap of $40.08 billion, a P/E ratio of 8.53, a P/E/G ratio of 1.13 and a beta of 1.39. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 0.47. PayPal has a 12-month low of $38.46 and a 12-month high of $79.50. The business has a fifty day simple moving average of $46.69 and a 200 day simple moving average of $53.49.

PayPal (NASDAQ:PYPL) last announced its earnings results on Tuesday, May 5th. The credit services provider reported $1.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.27 by $0.07. The business had revenue of $8.35 billion during the quarter, compared to analyst estimates of $8.05 billion. PayPal had a return on equity of 25.02% and a net margin of 15.00%.PayPal’s revenue for the quarter was up 7.2% compared to the same quarter last year. During the same period last year, the company earned $1.33 EPS. Analysts predict that PayPal will post 5.31 earnings per share for the current year.

PayPal Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 25th. Shareholders of record on Thursday, June 4th will be given a dividend of $0.14 per share. The ex-dividend date of this dividend is Thursday, June 4th. This represents a $0.56 dividend on an annualized basis and a yield of 1.2%. PayPal’s dividend payout ratio is 10.51%.

Insider Buying and Selling at PayPal

In other PayPal news, CAO Chris Natali sold 1,337 shares of the company’s stock in a transaction on Wednesday, April 29th. The shares were sold at an average price of $49.46, for a total transaction of $66,128.02. Following the sale, the chief accounting officer owned 1,586 shares of the company’s stock, valued at approximately $78,443.56. This represents a 45.74% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 13,515 shares of the company’s stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $46.02, for a total transaction of $621,960.30. Following the sale, the insider directly owned 30,983 shares in the company, valued at $1,425,837.66. This trade represents a 30.37% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 96,199 shares of company stock valued at $4,294,018. 0.63% of the stock is currently owned by insiders.

Hedge Funds Weigh In On PayPal

Institutional investors and hedge funds have recently made changes to their positions in the stock. Bard Associates Inc. bought a new position in shares of PayPal during the 4th quarter worth about $25,000. Kelleher Financial Advisors bought a new position in shares of PayPal during the 3rd quarter worth about $30,000. Cloud Capital Management LLC bought a new position in shares of PayPal during the 3rd quarter worth about $30,000. Caitong International Asset Management Co. Ltd boosted its position 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 purchasing an additional 457 shares in the last quarter. Finally, Safe Harbor Fiduciary LLC bought a new position in shares of PayPal during the 4th quarter worth about $28,000. Institutional investors own 68.32% of the company’s stock.

Key Headlines Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal announced a multi-year partnership with the Seattle Seahawks, making it the team’s official fan-to-fan payments and digital ticket processing partner. The deal adds ticketing integration, Venmo connectivity, and fan perks, which could help boost usage and engagement across PayPal’s ecosystem. Article Title
• Positive Sentiment: Venmo is rolling out a major app overhaul and privacy update that sets new users’ transactions to “friends only” by default. While framed as a privacy fix, the redesign also shows PayPal is investing in Venmo as a broader social and financial-services platform, which may support longer-term user growth. Article Title
• Neutral Sentiment: PayPal shares are drawing continued investor attention after recent results, with some commentators arguing the stock could be a value opportunity following the post-earnings pullback. This reflects interest in the valuation, but it does not change the near-term operating picture. Article Title
• Negative Sentiment: Truist cut its price target on PayPal to $44 from $45 and kept a Sell rating, citing weakness in cross-border volume. That added to a cautious analyst tone that may be weighing on the stock. Article Title
• Negative Sentiment: The Wall Street Journal reported that PayPal reached a $30 million settlement with the Justice Department over minority funding issues, adding an overhang from regulatory and legal scrutiny. Article Title

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.