PayPal Holdings, Inc. (NASDAQ:PYPL) Sees Significant Growth in Short Interest

PayPal Holdings, Inc. (NASDAQ:PYPL) was the recipient of a large growth in short interest in the month of February. As of February 13th, there was short interest totaling 51,758,573 shares, a growth of 20.3% from the January 29th total of 43,016,293 shares. Based on an average trading volume of 41,591,411 shares, the short-interest ratio is presently 1.2 days. Currently, 5.6% of the company’s shares are sold short. Currently, 5.6% of the company’s shares are sold short. Based on an average trading volume of 41,591,411 shares, the short-interest ratio is presently 1.2 days.

PayPal Stock Performance

PYPL opened at $46.75 on Thursday. The company has a market capitalization of $43.04 billion, a price-to-earnings ratio of 8.64, a P/E/G ratio of 1.08 and a beta of 1.43. The business’s 50-day moving average price is $50.77 and its two-hundred day moving average price is $60.89. PayPal has a 1 year low of $38.46 and a 1 year high of $79.50. The company has a debt-to-equity ratio of 0.49, a current ratio of 1.29 and a quick ratio of 1.29.

PayPal (NASDAQ:PYPL) last posted its quarterly earnings data on Tuesday, February 3rd. The credit services provider reported $1.23 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.29 by ($0.06). PayPal had a return on equity of 25.42% and a net margin of 15.77%.The firm had revenue of $8.68 billion for the quarter, compared to the consensus estimate of $8.82 billion. During the same quarter in the previous year, the business posted $1.19 earnings per share. The firm’s quarterly revenue was up 4.0% compared to the same quarter last year. Equities analysts expect that PayPal will post 5.03 EPS for the current fiscal year.

PayPal Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 25th. Stockholders of record on Wednesday, March 4th will be given a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date of this dividend is Wednesday, March 4th. PayPal’s payout ratio is currently 10.35%.

PayPal News Roundup

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Partnership to speed freight invoice settlements — PayPal’s collaboration with TCS Blockchain to enable digital-asset settlement for freight invoices promises faster, cheaper settlement for carriers, a tangible revenue/utility push into logistics payments. TCS Blockchain and PayPal Drive Financial Innovation
• Positive Sentiment: Expanded merchant integrations — CellPoint Digital integration broadens PayPal’s merchant reach in travel and retail, easing adoption friction and potentially boosting TPV and checkout share. CellPoint Digital and PayPal Partner
• Positive Sentiment: Contrarian bullish research — at least one sell-side/independent piece argues valuation and catalysts make PYPL attractive, offering a counter-narrative that can support upside interest from value/seeking investors. PayPal Is Attractive At $70
• Neutral Sentiment: Buyout/takeover speculation persists — market chatter about potential acquirers (e.g., Stripe interest) adds M&A optionality but is uncertain; such rumors can boost trading but bring little near-term clarity. PayPal Buyout Rumors
• Negative Sentiment: Wave of securities class-action filings — multiple law firms have filed or solicited lead plaintiffs alleging misleading guidance and projections tied to an FY/Q4 shortfall; legal risk increases headline volatility and potential costs. Levi & Korsinsky Announces Filing
• Negative Sentiment: Recent Q4 miss and share weakness — PayPal’s Q4 revenue and EPS missed estimates, sparking a 12‑month low and fresh investor concern about growth trajectory and execution on branded checkout. PayPal Shares Plunge to 12-Month Low
• Negative Sentiment: Analyst caution — Bernstein and other boutiques are cautious/neutral (Bernstein reaffirmed Market Perform with a ~$45 target), citing deteriorating pricing power; downgrades or low price targets limit near-term upside. Bernstein Sees Limited Upside

Insider Buying and Selling at PayPal

In other PayPal news, EVP Frank Keller sold 29,581 shares of the stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $46.02, for a total value of $1,361,317.62. Following the transaction, the executive vice president owned 51,567 shares of the company’s stock, valued at approximately $2,373,113.34. This represents a 36.45% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CAO Chris Natali sold 2,208 shares of the business’s stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $44.73, for a total value of $98,763.84. Following the transaction, the chief accounting officer owned 1,140 shares of the company’s stock, valued at $50,992.20. The trade was a 65.95% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 87,608 shares of company stock worth $3,831,535. Insiders own 0.08% of the company’s stock.

Institutional Investors Weigh In On PayPal

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Wedmont Private Capital boosted its stake in shares of PayPal by 1.6% during the 3rd quarter. Wedmont Private Capital now owns 9,157 shares of the credit services provider’s stock worth $614,000 after buying an additional 142 shares during the last quarter. Dakota Community Bank & Trust NA raised its holdings in PayPal by 8.7% during the second quarter. Dakota Community Bank & Trust NA now owns 1,840 shares of the credit services provider’s stock worth $137,000 after acquiring an additional 147 shares in the last quarter. Maia Wealth LLC raised its holdings in PayPal by 2.5% during the third quarter. Maia Wealth LLC now owns 6,404 shares of the credit services provider’s stock worth $424,000 after acquiring an additional 155 shares in the last quarter. Transatlantique Private Wealth LLC boosted its position in PayPal by 2.9% during the third quarter. Transatlantique Private Wealth LLC now owns 5,698 shares of the credit services provider’s stock valued at $382,000 after purchasing an additional 159 shares during the last quarter. Finally, WCG Wealth Advisors LLC grew its stake in PayPal by 1.1% in the second quarter. WCG Wealth Advisors LLC now owns 14,285 shares of the credit services provider’s stock valued at $1,062,000 after purchasing an additional 162 shares in the last quarter. 68.32% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on the stock. Wolfe Research reissued a “sell” rating on shares of PayPal in a research note on Monday, February 23rd. Zacks Research cut shares of PayPal from a “hold” rating to a “strong sell” rating in a research report on Wednesday, February 11th. Weiss Ratings restated a “hold (c)” rating on shares of PayPal in a research report on Thursday, January 22nd. Rothschild & Co Redburn reduced 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. Finally, HSBC lowered PayPal from a “buy” rating to a “hold” rating and set a $47.00 price target on the stock. in a research report on Wednesday, February 4th. Eight equities research analysts have rated the stock with a Buy rating, thirty-one have issued a Hold rating and six have given a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $59.55.

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.