Gabelli Funds LLC Sells 14,380 Shares of PayPal Holdings, Inc. $PYPL

Gabelli Funds LLC lessened its holdings in shares of PayPal Holdings, Inc. (NASDAQ:PYPL) by 75.2% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 4,750 shares of the credit services provider’s stock after selling 14,380 shares during the quarter. Gabelli Funds LLC’s holdings in PayPal were worth $215,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in PYPL. Morningstar Investment Management LLC grew its stake in PayPal by 79.5% in the first quarter. Morningstar Investment Management LLC now owns 72,011 shares of the credit services provider’s stock valued at $3,257,000 after acquiring an additional 31,896 shares during the period. Public Employees Retirement System of Ohio raised its position in shares of PayPal by 5.5% during the first quarter. Public Employees Retirement System of Ohio now owns 406,803 shares of the credit services provider’s stock worth $18,400,000 after purchasing an additional 21,186 shares during the period. Compound Planning Inc. raised its position in shares of PayPal by 32.1% during the first quarter. Compound Planning Inc. now owns 13,478 shares of the credit services provider’s stock worth $610,000 after purchasing an additional 3,274 shares during the period. Modern Wealth Management LLC lifted its holdings in shares of PayPal by 8.4% during the 1st quarter. Modern Wealth Management LLC now owns 6,654 shares of the credit services provider’s stock valued at $297,000 after purchasing an additional 517 shares in the last quarter. Finally, Caxton Associates LLP bought a new position in shares of PayPal during the 1st quarter valued at about $3,060,000. 68.32% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

A number of analysts recently issued reports on PYPL shares. Wells Fargo & Company increased their target price on PayPal from $48.00 to $56.00 and gave the stock an “equal weight” rating in a research note on Wednesday. Cantor Fitzgerald reiterated a “neutral” rating on shares of PayPal in a report on Thursday, July 16th. Telsey Advisory Group lowered shares of PayPal to a “market perform” rating in a report on Friday, July 24th. Canaccord Genuity Group reaffirmed a “hold” rating and issued a $55.00 price objective on shares of PayPal in a research report on Wednesday. Finally, Daiwa Securities Group upgraded PayPal from a “hold” rating to an “outperform” rating in a report on Wednesday, May 6th. Nine investment analysts have rated the stock with a Buy rating, thirty-four have given a Hold rating and four have given a Sell rating to the stock. According to data from MarketBeat.com, PayPal currently has an average rating of “Hold” and an average price target of $55.50.

PayPal Stock Down 0.8%

PayPal stock opened at $57.21 on Friday. The firm has a market capitalization of $48.94 billion, a PE ratio of 10.81, a P/E/G ratio of 1.43 and a beta of 1.33. The company’s 50-day moving average is $47.03 and its 200-day moving average is $47.09. 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 debt-to-equity ratio of 0.55, a current ratio of 1.29 and a quick ratio of 1.26.

PayPal (NASDAQ:PYPL) last issued its earnings results on Tuesday, July 28th. The credit services provider reported $1.38 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.28 by $0.10. The business had revenue of $8.68 billion during the quarter, compared to the consensus estimate of $8.47 billion. PayPal had a net margin of 14.36% and a return on equity of 24.39%. PayPal’s revenue was up 4.8% on a year-over-year basis. During the same period last year, the business posted $1.40 EPS. Sell-side analysts anticipate that PayPal Holdings, Inc. will post 5.35 earnings per share for the current year.

PayPal Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Stockholders of record on Friday, September 4th will be paid a dividend of $0.14 per share. This represents a $0.56 annualized dividend and a dividend yield of 1.0%. The ex-dividend date is Friday, September 4th. PayPal’s payout ratio is currently 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

Insider Transactions at PayPal

In other PayPal news, insider Frank Keller sold 4,612 shares of the firm’s stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $42.54, for a total transaction of $196,194.48. Following the completion of the sale, the insider owned 41,567 shares of the company’s stock, valued at $1,768,260.18. This trade represents a 9.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 3,379 shares of PayPal stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $42.79, for a total transaction of $144,587.41. Following the transaction, the insider directly owned 30,983 shares of the company’s stock, valued at approximately $1,325,762.57. This trade represents a 9.83% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 10,612 shares of company stock worth $484,534. 0.63% of the stock is owned by company insiders.

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.