Cetera Investment Advisers decreased its position in PayPal Holdings, Inc. (NASDAQ:PYPL – Free Report) by 15.8% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 179,314 shares of the credit services provider’s stock after selling 33,758 shares during the quarter. Cetera Investment Advisers’ holdings in PayPal were worth $8,110,000 as of its most recent SEC filing.
A number of other large investors also recently added to or reduced their stakes in PYPL. Bard Associates Inc. acquired a new stake in shares of PayPal in the fourth quarter valued at $25,000. Caitong International Asset Management Co. Ltd raised its holdings in shares of PayPal by 15,233.3% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 460 shares of the credit services provider’s stock valued at $27,000 after buying an additional 457 shares during the period. Safe Harbor Fiduciary LLC acquired a new position in PayPal during the 4th quarter worth about $28,000. Kelleher Financial Advisors acquired a new position in PayPal during the 3rd quarter worth about $30,000. Finally, Advocate Investing Services LLC purchased a new position in PayPal during the 4th quarter valued at about $30,000. 68.32% of the stock is currently owned by institutional investors and hedge funds.
Analysts Set New Price Targets
Several equities analysts have weighed in on the company. BTIG Research reaffirmed a “neutral” rating on shares of PayPal in a research report on Wednesday, July 15th. William Blair reissued a “market perform” rating on shares of PayPal in a research note on Wednesday, July 15th. TD Cowen lifted their price objective on shares of PayPal from $48.00 to $59.00 and gave the company a “hold” rating in a report on Wednesday. HSBC started coverage on shares of PayPal in a research note on Friday, July 24th. They set a “buy” rating on the stock. Finally, BMO Capital Markets began coverage on shares of PayPal in a report on Tuesday, April 21st. They set a “market perform” rating and a $52.00 target price on the stock. Nine investment analysts have rated the stock with a Buy rating, thirty-four have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $55.50.
Insider Buying and Selling
In related news, insider Suzan Kereere sold 3,379 shares of the stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $42.79, for a total value of $144,587.41. Following the transaction, the insider owned 30,983 shares of the company’s stock, valued at $1,325,762.57. This represents a 9.83% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Chris Natali sold 1,337 shares of the firm’s stock in a transaction on Wednesday, July 29th. The shares were sold at an average price of $58.10, for a total value of $77,679.70. Following the completion of the sale, the chief accounting officer owned 2,216 shares in the company, valued at approximately $128,749.60. This represents a 37.63% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 10,612 shares of company stock worth $484,534. Corporate insiders own 0.63% of the company’s stock.
PayPal Stock Down 0.8%
Shares of NASDAQ:PYPL opened at $57.21 on Friday. The firm’s 50 day moving average price is $47.03 and its 200 day moving average price is $47.09. The stock has a market cap of $48.94 billion, a price-to-earnings ratio of 10.81, a price-to-earnings-growth ratio of 1.43 and a beta of 1.33. PayPal Holdings, Inc. has a fifty-two week low of $38.46 and a fifty-two week high of $79.21. The company has a quick ratio of 1.26, a current ratio of 1.29 and a debt-to-equity ratio of 0.55.
PayPal (NASDAQ:PYPL – Get Free Report) last posted its quarterly earnings results on Tuesday, July 28th. The credit services provider reported $1.38 EPS for the quarter, topping the consensus estimate of $1.28 by $0.10. PayPal had a net margin of 14.36% and a return on equity of 24.39%. The company had revenue of $8.68 billion during the quarter, compared to analysts’ expectations of $8.47 billion. During the same quarter in the previous year, the business posted $1.40 EPS. The firm’s revenue was up 4.8% on a year-over-year basis. As a group, equities research analysts predict that PayPal Holdings, Inc. will post 5.35 earnings per share for the current fiscal year.
PayPal Announces Dividend
The company also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Investors of record on Friday, September 4th will be paid a dividend of $0.14 per share. The ex-dividend date is Friday, September 4th. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.0%. PayPal’s payout ratio is presently 10.59%.
Trending Headlines about PayPal
Here are the key news stories impacting PayPal this week:
- Positive Sentiment: PayPal’s second-quarter results exceeded expectations, with adjusted earnings per share of $1.38 versus the $1.28 consensus and revenue of $8.68 billion versus $8.47 billion expected. Management also raised its full-year outlook, citing improving branded checkout, Venmo expansion and cost savings. PayPal Shares Pause as Raised Guidance Validates Turnaround Narrative
- Positive Sentiment: Several analysts raised their price targets following the earnings report, including JPMorgan, TD Cowen, Citigroup and Keefe, Bruyette & Woods. The targets—ranging from the mid-$50s to $70—suggest some analysts see additional upside if PayPal sustains its operational improvements. JPMorgan Analyst Says PayPal Stock Could Rise
- Positive Sentiment: Value-focused commentary highlights PYPL’s relatively low earnings multiple, arguing that the valuation could provide support if the company converts its stronger guidance into consistent growth. PayPal: A Steal At Less Than 10x Earnings
- Neutral Sentiment: Analyst opinion remains mixed. Canaccord Genuity maintained a hold rating, while Wells Fargo increased its target to $56 but kept an equal-weight rating. The broader brokerage consensus remains “hold,” reflecting improved results but limited confidence in PayPal’s longer-term growth trajectory. Canaccord Gives PayPal a Hold Rating
- Neutral Sentiment: Speculation about takeover interest, including a reported bid involving Stripe and Advent International, could support valuation, but no transaction is confirmed and investors remain focused on PayPal’s standalone turnaround. Is Takeout Target PayPal a Buy?
- Negative Sentiment: Bearish analysis says PayPal’s substantial share-repurchase program has not translated into sustained stock-price gains, underscoring skepticism about capital allocation and the company’s growth prospects. PayPal’s $17 Billion Bet Against Wall Street
- Negative Sentiment: Investors continue to monitor margin pressure, branded-checkout execution and PayPal’s slower growth relative to major payments peers. Two insiders also sold shares under pre-arranged Rule 10b5-1 plans; the sales are relatively small but may add modest near-term caution. PayPal Insider Selling
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.
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