PayPal (NASDAQ:PYPL) Stock Price Down 1.4% on Analyst Downgrade

PayPal Holdings, Inc. (NASDAQ:PYPL)’s share price dropped 1.4% during mid-day trading on Monday after Keefe, Bruyette & Woods lowered their price target on the stock from $104.00 to $85.00. Keefe, Bruyette & Woods currently has an outperform rating on the stock. PayPal traded as low as $63.40 and last traded at $64.25. Approximately 2,956,026 shares traded hands during mid-day trading, a decline of 74% from the average daily volume of 11,193,841 shares. The stock had previously closed at $65.15.

Several other research firms have also commented on PYPL. Wells Fargo & Company reaffirmed an “equal weight” rating on shares of PayPal in a report on Wednesday, February 5th. DZ Bank upgraded PayPal from a “hold” rating to a “buy” rating and set a $92.00 price objective for the company in a research note on Friday, February 28th. Citigroup reiterated an “outperform” rating on shares of PayPal in a research note on Wednesday, February 5th. Morgan Stanley upped their price target on shares of PayPal from $79.00 to $80.00 and gave the stock an “equal weight” rating in a research report on Wednesday, February 26th. Finally, Macquarie lifted their price objective on shares of PayPal from $115.00 to $117.00 and gave the company an “outperform” rating in a research report on Monday, February 10th. Sixteen investment analysts have rated the stock with a hold rating, twenty have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $89.40.

Insider Transactions at PayPal

In other news, Director Gail J. Mcgovern sold 2,446 shares of the business’s stock in a transaction that occurred on Thursday, February 27th. The shares were sold at an average price of $72.15, for a total transaction of $176,478.90. Following the sale, the director now owns 29,734 shares in the company, valued at $2,145,308.10. The trade was a 7.60 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.14% of the stock is owned by insiders.

Hedge Funds Weigh In On PayPal

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Mpwm Advisory Solutions LLC acquired a new stake in shares of PayPal in the fourth quarter worth $25,000. Gordian Capital Singapore Pte Ltd acquired a new stake in PayPal during the 3rd quarter worth about $26,000. Rosenberg Matthew Hamilton boosted its position in PayPal by 67.6% during the 4th quarter. Rosenberg Matthew Hamilton now owns 310 shares of the credit services provider’s stock worth $26,000 after acquiring an additional 125 shares during the period. Hurley Capital LLC acquired a new position in shares of PayPal in the 4th quarter valued at about $27,000. Finally, Sugarloaf Wealth Management LLC lifted its position in shares of PayPal by 344.3% in the fourth quarter. Sugarloaf Wealth Management LLC now owns 351 shares of the credit services provider’s stock worth $30,000 after purchasing an additional 272 shares in the last quarter. 68.32% of the stock is currently owned by hedge funds and other institutional investors.

PayPal Stock Performance

The firm’s fifty day moving average is $75.28 and its 200 day moving average is $80.83. The firm has a market capitalization of $65.39 billion, a price-to-earnings ratio of 16.48, a PEG ratio of 1.27 and a beta of 1.52. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.26 and a quick ratio of 1.26.

PayPal (NASDAQ:PYPL) last issued its earnings results on Tuesday, February 4th. The credit services provider reported $1.19 EPS for the quarter, beating analysts’ consensus estimates of $1.11 by $0.08. The firm had revenue of $8.37 billion for the quarter, compared to the consensus estimate of $8.27 billion. PayPal had a return on equity of 23.67% and a net margin of 13.04%. The business’s quarterly revenue was up 4.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.48 earnings per share. On average, analysts predict that PayPal Holdings, Inc. will post 5.03 EPS for the current fiscal year.

PayPal Company Profile

PayPal Holdings, Inc operates a technology platform that enables digital payments on behalf of merchants and consumers worldwide. It operates a two-sided network at scale that connects merchants and consumers that enables its customers to connect, transact, and send and receive payments through online and in person, as well as transfer and withdraw funds using various funding sources, such as bank accounts, PayPal or Venmo account balance, PayPal and Venmo branded credit products comprising its installment products, credit and debit cards, and cryptocurrencies, as well as other stored value products, including gift cards and eligible rewards.