StockNews.com Upgrades PayPal (NASDAQ:PYPL) to Buy

StockNews.com upgraded shares of PayPal (NASDAQ:PYPL) from a hold rating to a buy rating in a report released on Sunday.

A number of other analysts have also recently issued reports on the company. Wells Fargo & Company reaffirmed an “equal weight” rating on shares of PayPal in a research report on Wednesday, February 5th. Keefe, Bruyette & Woods reduced their price objective on shares of PayPal from $104.00 to $85.00 and set an “outperform” rating for the company in a research report on Monday, March 31st. Robert W. Baird dropped their price objective on shares of PayPal from $100.00 to $95.00 and set an “outperform” rating on the stock in a research report on Wednesday, February 5th. Morgan Stanley lifted their target price on shares of PayPal from $79.00 to $80.00 and gave the stock an “equal weight” rating in a report on Wednesday, February 26th. Finally, Needham & Company LLC reissued a “hold” rating on shares of PayPal in a report on Wednesday, February 26th. Fifteen research analysts have rated the stock with a hold rating, twenty-one have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $89.13.

PayPal Stock Performance

NASDAQ PYPL opened at $58.37 on Friday. The firm has a market capitalization of $57.74 billion, a P/E ratio of 14.56, a price-to-earnings-growth ratio of 1.27 and a beta of 1.60. The company has a current ratio of 1.26, a quick ratio of 1.26 and a debt-to-equity ratio of 0.48. The firm’s fifty day moving average price is $73.65 and its two-hundred day moving average price is $80.63. PayPal has a 1 year low of $56.97 and a 1 year high of $93.66.

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

Insider Buying and Selling

In related news, Director Gail J. Mcgovern sold 2,446 shares of PayPal 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 directly owns 29,734 shares of the company’s stock, valued at approximately $2,145,308.10. The trade was a 7.60 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.14% of the stock is owned by corporate insiders.

Institutional Trading of PayPal

Hedge funds have recently added to or reduced their stakes in the stock. Sage Capital Advisors llc lifted its stake in shares of PayPal by 0.8% in the 1st quarter. Sage Capital Advisors llc now owns 22,113 shares of the credit services provider’s stock valued at $1,443,000 after acquiring an additional 175 shares during the last quarter. Versant Capital Management Inc raised its position in PayPal by 255.7% in the first quarter. Versant Capital Management Inc now owns 5,368 shares of the credit services provider’s stock valued at $350,000 after purchasing an additional 3,859 shares during the last quarter. Lederer & Associates Investment Counsel CA boosted its stake in shares of PayPal by 2.2% during the first quarter. Lederer & Associates Investment Counsel CA now owns 14,938 shares of the credit services provider’s stock valued at $975,000 after purchasing an additional 315 shares in the last quarter. MassMutual Private Wealth & Trust FSB grew its holdings in shares of PayPal by 5.3% during the first quarter. MassMutual Private Wealth & Trust FSB now owns 96,412 shares of the credit services provider’s stock worth $6,291,000 after purchasing an additional 4,873 shares during the last quarter. Finally, Mascagni Wealth Management Inc. acquired a new position in shares of PayPal in the fourth quarter valued at approximately $47,000. Institutional investors and hedge funds own 68.32% of the company’s stock.

About PayPal

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.