Gradient Investments LLC Boosts Holdings in PayPal Holdings, Inc. $PYPL

Gradient Investments LLC lifted its position in shares of PayPal Holdings, Inc. (NASDAQ:PYPL) by 14.5% during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 491,736 shares of the credit services provider’s stock after purchasing an additional 62,309 shares during the period. Gradient Investments LLC’s holdings in PayPal were worth $21,233,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also made changes to their positions in the company. Bard Associates Inc. purchased a new position in PayPal in the 4th quarter valued at about $25,000. Robinswood Financial LLC purchased a new stake in shares of PayPal during the first quarter worth about $26,000. Caitong International Asset Management Co. Ltd increased its position in shares of PayPal by 15,233.3% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 460 shares of the credit services provider’s stock worth $27,000 after acquiring an additional 457 shares during the last quarter. Safe Harbor Fiduciary LLC acquired a new position in shares of PayPal in the fourth quarter worth about $28,000. Finally, Elevation Wealth Partners LLC lifted its stake in shares of PayPal by 85.0% in the second quarter. Elevation Wealth Partners LLC now owns 690 shares of the credit services provider’s stock worth $30,000 after acquiring an additional 317 shares in the last quarter. 68.32% of the stock is currently owned by hedge funds and other institutional investors.

PayPal Trading Down 1.2%

Shares of NASDAQ PYPL opened at $59.07 on Friday. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 0.55. The stock’s 50 day moving average price is $48.47 and its two-hundred day moving average price is $47.15. PayPal Holdings, Inc. has a 52-week low of $38.46 and a 52-week high of $79.21. The stock has a market capitalization of $50.53 billion, a P/E ratio of 11.17, a PEG ratio of 1.46 and a beta of 1.30.

PayPal (NASDAQ:PYPL) last issued its 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 return on equity of 24.39% and a net margin of 14.36%.The company had revenue of $8.68 billion during the quarter, compared to analyst estimates of $8.47 billion. During the same quarter last year, the firm earned $1.40 EPS. The business’s revenue was up 4.8% on a year-over-year basis. On average, analysts anticipate that PayPal Holdings, Inc. will post 5.37 earnings per share for the current fiscal year.

PayPal Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, September 25th. Shareholders of record on Friday, September 4th will be issued a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a yield of 0.9%. The ex-dividend date of this dividend is Friday, September 4th. PayPal’s payout ratio is currently 10.59%.

PayPal News Roundup

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal continues to screen as a value opportunity after its substantial multiyear decline. Analysts point to relatively attractive valuation metrics, earnings performance above consensus, and ongoing cost-efficiency and turnaround efforts as potential catalysts. Here’s Why PayPal Is a Strong Value Stock
• Positive Sentiment: PayPal was highlighted in a payments-industry outlook alongside Visa, Mastercard, Fidelity and WEX, keeping attention on the company’s potential relative value and competitive position. Zacks Industry Outlook: Visa, Mastercard, PayPal, Fidelity and WEX
• Positive Sentiment: An analyst upgrade provided additional support for PayPal’s investment case, reinforcing the view that the shares may be undervalued following their long-term decline. PayPal Trading Up After Analyst Upgrade
• Neutral Sentiment: Activist investor Carl Icahn is urging eBay to overhaul its board and spin off PayPal, citing governance concerns and potential conflicts. A separation could increase PayPal’s strategic independence, but the proposal remains uncertain and primarily targets eBay. What Does eBay Face After Carl Icahn Demands a Board Overhaul?
• Negative Sentiment: PayPal’s shares remain below the $60.50 bid previously rejected by its board, signaling that investors are skeptical a transaction will materialize or that the company can justify a higher valuation without further operational proof. PayPal Still Trades Below the $60.50 Bid Its Board Turned Down
• Negative Sentiment: Although PayPal appears inexpensive on earnings, analysts also flag weaker growth, leaving investors dependent on successful execution of the turnaround and cost-cutting plans. PayPal Stock Looks Undervalued on Earnings but Weaker on Growth

Insiders Place Their Bets

In other news, insider Suzan Kereere sold 3,379 shares of the firm’s stock in a transaction dated Wednesday, June 3rd. The shares were sold at an average price of $42.79, for a total value of $144,587.41. Following the transaction, the insider directly owned 30,983 shares in the company, valued at approximately $1,325,762.57. This trade represents a 9.83% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. 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 dated Wednesday, July 29th. The stock was sold at an average price of $58.10, for a total transaction of $77,679.70. Following the completion of the transaction, the chief accounting officer owned 2,216 shares in the company, valued at approximately $128,749.60. The trade was 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. Insiders sold a total of 10,612 shares of company stock valued at $484,534 over the last 90 days. 0.63% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on PYPL shares. UBS Group set a $45.00 price objective on PayPal in a research note on Wednesday, July 29th. Zacks Research raised PayPal from a “strong sell” rating to a “hold” rating in a research report on Friday, April 17th. The Goldman Sachs Group set a $50.00 target price on PayPal in a research note on Tuesday, July 28th. Weiss Ratings restated a “hold (c-)” rating on shares of PayPal in a research note on Wednesday. Finally, Bank of America cut their price target on shares of PayPal from $55.00 to $53.00 and set a “neutral” rating on the stock in a report on Wednesday, May 6th. Nine equities research analysts have rated the stock with a Buy rating, thirty-four have given a Hold rating and four have issued a Sell rating to the stock. Based on data from MarketBeat.com, PayPal currently has an average rating of “Hold” and an average target price of $55.72.

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.