PayPal (NASDAQ:PYPL) Issues Q1 Earnings Guidance

PayPal (NASDAQ:PYPL) updated its first quarter earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of $1.15-1.17 for the period, compared to the consensus estimate of $1.13. PayPal also updated its FY 2025 guidance to 4.950-5.100 EPS.

PayPal Trading Up 1.4 %

Shares of NASDAQ:PYPL traded up $1.06 during midday trading on Wednesday, reaching $78.79. 8,896,775 shares of the company’s stock were exchanged, compared to its average volume of 10,541,553. The company has a debt-to-equity ratio of 0.49, a current ratio of 1.25 and a quick ratio of 1.25. The stock has a market cap of $78.99 billion, a price-to-earnings ratio of 18.83, a P/E/G ratio of 1.49 and a beta of 1.44. The firm’s 50 day simple moving average is $88.01 and its two-hundred day simple moving average is $79.39. PayPal has a fifty-two week low of $55.77 and a fifty-two week high of $93.66.

PayPal (NASDAQ:PYPL) last posted its quarterly earnings results on Tuesday, February 4th. The credit services provider reported $1.19 earnings per share for the quarter, beating analysts’ consensus estimates of $1.11 by $0.08. PayPal had a return on equity of 23.44% and a net margin of 14.08%. The company had revenue of $8.37 billion for the quarter, compared to analysts’ expectations of $8.27 billion. During the same period last year, the firm earned $1.48 earnings per share. PayPal’s quarterly revenue was up 4.2% on a year-over-year basis. As a group, sell-side analysts forecast that PayPal will post 4.58 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the stock. Macquarie lifted their target price on shares of PayPal from $95.00 to $115.00 and gave the company an “outperform” rating in a report on Tuesday, December 17th. Barclays increased their price objective on PayPal from $92.00 to $110.00 and gave the company an “overweight” rating in a research note on Tuesday, December 17th. Phillip Securities restated an “accumulate” rating and set a $90.00 price objective (up previously from $80.00) on shares of PayPal in a report on Friday, November 1st. Keefe, Bruyette & Woods upped their price target on shares of PayPal from $92.00 to $104.00 and gave the stock an “outperform” rating in a research report on Monday, December 9th. Finally, Wells Fargo & Company raised their price target on shares of PayPal from $75.00 to $80.00 and gave the company an “equal weight” rating in a report on Thursday, January 16th. Fourteen analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $89.29.

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.