PayPal (NASDAQ:PYPL) Shares Down 1% – Here’s What Happened

Shares of PayPal Holdings, Inc. (NASDAQ:PYPL) fell 1% during trading on Tuesday . The stock traded as low as $87.97 and last traded at $88.60. 1,472,041 shares changed hands during trading, a decline of 73% from the average session volume of 5,361,537 shares. The stock had previously closed at $89.53.

Wall Street Analyst Weigh In

Several analysts have weighed in on PYPL shares. Mizuho boosted their price target on shares of PayPal from $90.00 to $100.00 and gave the stock an “outperform” rating in a research note on Monday, October 14th. Macquarie increased their target price on PayPal from $95.00 to $115.00 and gave the company an “outperform” rating in a report on Tuesday, December 17th. Wolfe Research upgraded PayPal from a “peer perform” rating to an “outperform” rating and set a $107.00 price target on the stock in a research report on Friday, December 13th. Robert W. Baird increased their price objective on PayPal from $80.00 to $91.00 and gave the company an “outperform” rating in a research note on Wednesday, October 30th. Finally, Bank of America raised shares of PayPal from a “neutral” rating to a “buy” rating and lifted their target price for the stock from $86.00 to $103.00 in a research note on Monday, December 9th. Fourteen investment analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $88.65.

PayPal Price Performance

The stock has a market capitalization of $88.63 billion, a P/E ratio of 21.10, a price-to-earnings-growth ratio of 1.66 and a beta of 1.44. The business’s 50 day moving average price is $85.99 and its 200 day moving average price is $75.15. The company has a debt-to-equity ratio of 0.49, a current ratio of 1.25 and a quick ratio of 1.25.

PayPal (NASDAQ:PYPL) last announced its earnings results on Tuesday, October 29th. The credit services provider reported $1.20 earnings per share for the quarter, beating analysts’ consensus estimates of $1.07 by $0.13. PayPal had a net margin of 14.08% and a return on equity of 23.44%. The business had revenue of $7.85 billion during the quarter, compared to analyst estimates of $7.88 billion. During the same period in the previous year, the business earned $0.97 EPS. The company’s quarterly revenue was up 6.0% compared to the same quarter last year. Sell-side analysts forecast that PayPal Holdings, Inc. will post 4.57 EPS for the current year.

Hedge Funds Weigh In On PayPal

Several institutional investors have recently made changes to their positions in the business. Mizuho Securities USA LLC grew its holdings in PayPal by 12,919.4% during the third quarter. Mizuho Securities USA LLC now owns 10,500,000 shares of the credit services provider’s stock valued at $819,315,000 after purchasing an additional 10,419,351 shares during the period. FMR LLC grew its stake in shares of PayPal by 86.3% during the 3rd quarter. FMR LLC now owns 16,762,080 shares of the credit services provider’s stock valued at $1,307,945,000 after acquiring an additional 7,767,072 shares during the period. World Investment Advisors LLC purchased a new stake in PayPal in the 3rd quarter worth approximately $387,435,000. Primecap Management Co. CA increased its holdings in PayPal by 180.7% in the 2nd quarter. Primecap Management Co. CA now owns 4,946,460 shares of the credit services provider’s stock worth $287,043,000 after acquiring an additional 3,184,160 shares in the last quarter. Finally, Clearbridge Investments LLC raised its stake in PayPal by 28.1% during the 2nd quarter. Clearbridge Investments LLC now owns 8,511,242 shares of the credit services provider’s stock worth $493,907,000 after acquiring an additional 1,866,925 shares during the period. Institutional investors own 68.32% of the company’s stock.

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.