Brokerages Set PayPal Holdings, Inc. (NASDAQ:PYPL) Price Target at $55.85

Shares of PayPal Holdings, Inc. (NASDAQ:PYPL) have been assigned a consensus recommendation of “Hold” from the forty-five ratings firms that are presently covering the stock, MarketBeat Ratings reports. Five analysts have rated the stock with a sell rating, thirty-two have given a hold rating and eight have assigned a buy rating to the company. The average 12-month target price among analysts that have covered the stock in the last year is $55.8514.

PYPL has been the topic of several recent research reports. Wells Fargo & Company cut their target price on PayPal from $67.00 to $48.00 and set an “equal weight” rating on the stock in a report on Wednesday, February 4th. Rothschild & Co Redburn cut their target price on PayPal from $50.00 to $32.00 and set a “sell” rating on the stock in a report on Wednesday, February 11th. Susquehanna dropped their price objective on PayPal from $90.00 to $63.00 and set a “positive” rating on the stock in a research note on Wednesday, February 4th. Daiwa Securities Group raised PayPal from a “hold” rating to an “outperform” rating in a research note on Wednesday, May 6th. Finally, Stephens dropped their price objective on PayPal from $65.00 to $45.00 and set an “equal weight” rating on the stock in a research note on Wednesday, February 4th.

Key Headlines Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Michael Burry disclosed a new position in PayPal, which is likely improving investor sentiment around the stock and reinforcing the idea that PYPL may be undervalued. PayPal Holdings Inc. (PYPL): Michael Burry Initiates New Position
• Positive Sentiment: PayPal expanded PayPal USD to 70 markets, potentially strengthening its payments ecosystem and opening a path to broader adoption in cross-border commerce. PayPal Brings PayPal USD to Users Across 70 Markets

PayPal Stock Up 1.3%

Shares of PYPL opened at $44.38 on Friday. The company has a market capitalization of $39.15 billion, a PE ratio of 8.33, a PEG ratio of 1.10 and a beta of 1.39. PayPal has a 12 month low of $38.46 and a 12 month high of $79.50. The stock’s 50-day moving average price is $46.45 and its two-hundred day moving average price is $52.41. The company has a current ratio of 1.26, a quick ratio of 1.26 and a debt-to-equity ratio of 0.47.

PayPal (NASDAQ:PYPL) last announced its earnings results on Tuesday, May 5th. The credit services provider reported $1.34 EPS for the quarter, topping the consensus estimate of $1.27 by $0.07. The firm had revenue of $8.35 billion for the quarter, compared to the consensus estimate of $8.05 billion. PayPal had a return on equity of 25.02% and a net margin of 15.00%.The business’s quarterly revenue was up 7.2% compared to the same quarter last year. During the same period in the previous year, the business earned $1.33 EPS. On average, analysts anticipate that PayPal will post 5.3 EPS for the current year.

PayPal Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, June 25th. Stockholders of record on Thursday, June 4th will be paid a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.3%. The ex-dividend date of this dividend is Thursday, June 4th. PayPal’s payout ratio is currently 10.51%.

Insider Activity

In other news, insider Suzan Kereere sold 13,515 shares of the business’s stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $46.02, for a total value of $621,960.30. Following the transaction, the insider directly owned 30,983 shares of the company’s stock, valued at $1,425,837.66. The trade was a 30.37% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CAO Chris Natali sold 2,208 shares of the business’s stock in a transaction dated Tuesday, March 3rd. The shares were sold at an average price of $44.73, for a total value of $98,763.84. Following the completion of the transaction, the chief accounting officer directly owned 1,140 shares in the company, valued at $50,992.20. This represents a 65.95% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 57,373 shares of company stock valued at $2,684,341 in the last ninety days. 0.63% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Norges Bank acquired a new position in PayPal during the 4th quarter worth approximately $949,758,000. Bank of America Corp DE raised its stake in PayPal by 67.9% during the 1st quarter. Bank of America Corp DE now owns 25,614,720 shares of the credit services provider’s stock worth $1,158,554,000 after buying an additional 10,356,256 shares during the period. Amundi raised its stake in PayPal by 227.6% during the 1st quarter. Amundi now owns 13,804,208 shares of the credit services provider’s stock worth $624,364,000 after buying an additional 9,590,488 shares during the period. Vanguard Group Inc. raised its stake in PayPal by 6.5% during the 4th quarter. Vanguard Group Inc. now owns 90,376,927 shares of the credit services provider’s stock worth $5,276,205,000 after buying an additional 5,534,462 shares during the period. Finally, SG Americas Securities LLC raised its stake in PayPal by 355.1% during the 1st quarter. SG Americas Securities LLC now owns 4,967,170 shares of the credit services provider’s stock worth $224,665,000 after buying an additional 3,875,688 shares during the period. 68.32% of the stock is owned by institutional investors and hedge funds.

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.