Varma Mutual Pension Insurance Co Increases Stock Position in PayPal Holdings, Inc. $PYPL

Varma Mutual Pension Insurance Co boosted its stake in PayPal Holdings, Inc. (NASDAQ:PYPL) by 6.8% during the fourth quarter, HoldingsChannel reports. The firm owned 209,229 shares of the credit services provider’s stock after buying an additional 13,300 shares during the period. Varma Mutual Pension Insurance Co’s holdings in PayPal were worth $12,215,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also bought and sold shares of the stock. Seizert Capital Partners LLC raised its stake in PayPal by 15.6% in the fourth quarter. Seizert Capital Partners LLC now owns 941,254 shares of the credit services provider’s stock valued at $54,950,000 after purchasing an additional 127,171 shares in the last quarter. Intact Investment Management Inc. purchased a new position in shares of PayPal in the 4th quarter worth about $70,000. Core Alternative Capital boosted its holdings in shares of PayPal by 481,581.8% in the 4th quarter. Core Alternative Capital now owns 52,985 shares of the credit services provider’s stock worth $3,093,000 after purchasing an additional 52,974 shares in the last quarter. AlphaStar Capital Management LLC purchased a new position in shares of PayPal in the 4th quarter worth about $7,944,000. Finally, Benjamin Edwards Inc. boosted its holdings in shares of PayPal by 152.0% in the 4th quarter. Benjamin Edwards Inc. now owns 36,723 shares of the credit services provider’s stock worth $2,144,000 after purchasing an additional 22,153 shares in the last quarter. 68.32% of the stock is owned by hedge funds and other institutional investors.

PayPal Trading Down 0.1%

Shares of PYPL stock opened at $50.39 on Tuesday. The stock has a market capitalization of $45.33 billion, a PE ratio of 9.31, a P/E/G ratio of 1.45 and a beta of 1.39. PayPal Holdings, Inc. has a 1-year low of $38.46 and a 1-year high of $79.50. The business has a 50-day moving average of $46.63 and a 200 day moving average of $54.43. 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 issued its earnings results on Tuesday, May 5th. The credit services provider reported $1.34 earnings per share for the quarter, beating the consensus estimate of $1.27 by $0.07. PayPal had a return on equity of 25.42% and a net margin of 15.77%.The company had revenue of $8.35 billion during the quarter, compared to analysts’ expectations of $8.05 billion. As a group, sell-side analysts anticipate that PayPal Holdings, Inc. will post 5.31 earnings per share for the current year.

Insider Buying and Selling

In related news, EVP Frank Keller sold 29,581 shares of PayPal stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $46.02, for a total value of $1,361,317.62. Following the transaction, the executive vice president directly owned 51,567 shares of the company’s stock, valued at $2,373,113.34. The trade was a 36.45% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Suzan Kereere sold 37,613 shares of PayPal stock in a transaction on Wednesday, February 18th. The stock was sold at an average price of $41.49, for a total transaction of $1,560,563.37. Following the completion of the transaction, the insider directly owned 30,983 shares in the company, valued at approximately $1,285,484.67. The trade was a 54.83% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 99,677 shares of company stock valued at $4,433,834 over the last three months. 0.63% of the stock is owned by company insiders.

Key PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Some investors and “smart money” are adding to positions, citing the depressed valuation and potential upside if the reorganization and Venmo strategy accelerate growth. Read More.
• Positive Sentiment: Bulls argue the new three-business-unit structure could unlock value and create clear operational focus, which is why some are urging investors to watch the May 5 earnings as a catalyst. Read More.
• Neutral Sentiment: Market previews and analyst notes expect mixed near-term results: Q1 revenue/earnings scrutiny and a cautious consumer backdrop could temper upside, but outcomes may broadly meet or beat views. Read More.
• Neutral Sentiment: Sector commentary highlights competition (stablecoins, fintech partnerships) but notes PayPal already has initiatives and partnerships that keep it relevant in payments innovation. Read More.
• Negative Sentiment: Analysts warn of significant downside risk if Q1 disappoints or the reorganization fails to produce visible progress; one note explicitly warns of a possible ~20% share decline on weak results or guidance. Read More.
• Negative Sentiment: Restructuring and leadership changes are being viewed skeptically by some analysts who say details are thin and may raise execution questions, contributing to selling pressure after a larger YTD decline. Read More.
• Negative Sentiment: Coverage notes PayPal is already down substantially this year; headlines highlighting a 15% YTD drop and “epic fall” narratives are amplifying negative sentiment ahead of earnings. Read More.

Analyst Upgrades and Downgrades

PYPL has been the subject of a number of research reports. BMO Capital Markets started coverage on PayPal in a report on Tuesday, April 21st. They issued a “market perform” rating and a $52.00 price objective for the company. Morgan Stanley decreased their price target on shares of PayPal from $50.00 to $34.00 and set an “underweight” rating on the stock in a research note on Wednesday, February 4th. BNP Paribas Exane lifted their price target on shares of PayPal from $41.00 to $43.50 and gave the stock a “neutral” rating in a research note on Friday, April 10th. Cantor Fitzgerald reissued a “neutral” rating and set a $54.00 price target on shares of PayPal in a research note on Tuesday, April 21st. Finally, HSBC downgraded shares of PayPal from a “buy” rating to a “hold” rating and set a $47.00 price target on the stock. in a research note on Wednesday, February 4th. Seven equities research analysts have rated the stock with a Buy rating, thirty-three have given a Hold rating and five have assigned a Sell rating to the company. According to data from MarketBeat.com, PayPal has an average rating of “Hold” and an average target price of $56.55.

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.