PayPal Holdings, Inc. (NASDAQ:PYPL – Get Free Report) shares dropped 1.7% during mid-day trading on Tuesday . The company traded as low as $55.00 and last traded at $55.85. Approximately 14,147,331 shares changed hands during mid-day trading, a decline of 29% from the average daily volume of 19,817,729 shares. The stock had previously closed at $56.82.
Analyst Ratings Changes
A number of brokerages have commented on PYPL. Daiwa Securities Group upgraded shares of PayPal from a “hold” rating to an “outperform” rating in a research note on Wednesday, May 6th. BMO Capital Markets assumed coverage on shares of PayPal in a report on Tuesday, April 21st. They set a “market perform” rating and a $52.00 price objective for the company. BTIG Research reissued a “neutral” rating on shares of PayPal in a research report on Wednesday, July 15th. Canaccord Genuity Group upped their target price on shares of PayPal from $42.00 to $55.00 and gave the stock a “hold” rating in a report on Thursday, July 16th. Finally, Piper Sandler dropped their price target on shares of PayPal from $46.00 to $42.00 and set a “neutral” rating on the stock in a research report on Monday, June 29th. Seven investment analysts have rated the stock with a Buy rating, thirty-four have assigned a Hold rating and five have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $54.61.
Check Out Our Latest Stock Analysis on PayPal
PayPal Stock Down 0.8%
PayPal (NASDAQ:PYPL – Get Free Report) last announced its earnings results on Tuesday, May 5th. The credit services provider reported $1.34 EPS for the quarter, beating the consensus estimate of $1.27 by $0.07. PayPal had a net margin of 15.00% and a return on equity of 25.02%. The company had revenue of $8.35 billion during the quarter, compared to the consensus estimate of $8.05 billion. During the same quarter in the prior year, the company posted $1.33 earnings per share. The firm’s revenue for the quarter was up 7.2% on a year-over-year basis. As a group, sell-side analysts forecast that PayPal Holdings, Inc. will post 5.32 EPS for the current fiscal year.
PayPal Dividend Announcement
The company also recently disclosed a quarterly dividend, which was paid on Thursday, June 25th. Shareholders of record on Thursday, June 4th were paid a $0.14 dividend. The ex-dividend date was Thursday, June 4th. This represents a $0.56 annualized dividend and a yield of 1.0%. PayPal’s dividend payout ratio (DPR) is 10.51%.
Insiders Place Their Bets
In related news, CAO Chris Natali sold 1,337 shares of PayPal stock in a transaction on Wednesday, April 29th. The stock was sold at an average price of $49.46, for a total transaction of $66,128.02. Following the sale, the chief accounting officer directly owned 1,586 shares in the company, valued at approximately $78,443.56. This trade 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 link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Frank Keller sold 10,732 shares of the business’s stock in a transaction on Wednesday, April 29th. The stock was sold at an average price of $49.96, for a total value of $536,170.72. Following the completion of the transaction, the insider directly owned 41,567 shares in the company, valued at approximately $2,076,687.32. This represents a 20.52% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 20,612 shares of company stock valued at $966,623 in the last 90 days. 0.63% of the stock is currently owned by corporate insiders.
Institutional Investors Weigh In On PayPal
Hedge funds have recently made changes to their positions in the business. Cary Street Partners Financial LLC grew its position in PayPal by 20.1% during the second quarter. Cary Street Partners Financial LLC now owns 4,809 shares of the credit services provider’s stock valued at $208,000 after buying an additional 805 shares during the period. Hickory Point Bank & Trust raised its position in PayPal by 137.9% in the second quarter. Hickory Point Bank & Trust now owns 690 shares of the credit services provider’s stock worth $30,000 after acquiring an additional 400 shares during the period. Formidable Asset Management LLC raised its position in PayPal by 17.3% in the second quarter. Formidable Asset Management LLC now owns 30,436 shares of the credit services provider’s stock worth $1,377,000 after acquiring an additional 4,499 shares during the period. Ballentine Partners LLC boosted its stake in PayPal by 9.5% in the second quarter. Ballentine Partners LLC now owns 8,686 shares of the credit services provider’s stock valued at $375,000 after acquiring an additional 753 shares during the last quarter. Finally, Camelot Portfolios LLC increased its stake in shares of PayPal by 14.6% during the 2nd quarter. Camelot Portfolios LLC now owns 24,120 shares of the credit services provider’s stock worth $1,042,000 after purchasing an additional 3,080 shares during the last quarter. 68.32% of the stock is currently owned by institutional investors.
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.
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