PayPal (NASDAQ:PYPL) Shares Down 0.4% – Here’s Why

PayPal Holdings, Inc. (NASDAQ:PYPL)’s stock price was down 0.4% on Wednesday . The company traded as low as $86.31 and last traded at $86.56. Approximately 1,356,271 shares were traded during mid-day trading, a decline of 90% from the average daily volume of 13,275,581 shares. The stock had previously closed at $86.94.

Analyst Ratings Changes

Several equities research analysts have issued reports on PYPL shares. Needham & Company LLC restated a “hold” rating on shares of PayPal in a report on Wednesday, October 30th. Oppenheimer assumed coverage on shares of PayPal in a report on Tuesday, October 1st. They issued a “market perform” rating on the stock. Argus raised shares of PayPal from a “hold” rating to a “buy” rating in a report on Wednesday, July 31st. Royal Bank of Canada boosted their target price on shares of PayPal from $84.00 to $89.00 and gave the stock an “outperform” rating in a research report on Wednesday, October 30th. Finally, Deutsche Bank Aktiengesellschaft increased their price target on shares of PayPal from $74.00 to $94.00 and gave the stock a “buy” rating in a research report on Monday, September 23rd. Sixteen analysts have rated the stock with a hold rating, nineteen have issued a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $83.60.

PayPal Stock Performance

The firm’s 50-day simple moving average is $81.04 and its two-hundred day simple moving average is $70.06. The company has a current ratio of 1.25, a quick ratio of 1.25 and a debt-to-equity ratio of 0.49. The stock has a market capitalization of $86.80 billion, a PE ratio of 20.66, a PEG ratio of 1.56 and a beta of 1.43.

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

Hedge Funds Weigh In On PayPal

Hedge funds have recently modified their holdings of the stock. Mizuho Securities USA LLC lifted its position in shares of PayPal by 12,919.4% in the third quarter. Mizuho Securities USA LLC now owns 10,500,000 shares of the credit services provider’s stock worth $819,315,000 after buying an additional 10,419,351 shares during the last quarter. FMR LLC grew its holdings in PayPal by 86.3% during the third quarter. FMR LLC now owns 16,762,080 shares of the credit services provider’s stock valued at $1,307,945,000 after purchasing an additional 7,767,072 shares during the last quarter. World Investment Advisors LLC acquired a new position in PayPal in the 3rd quarter valued at $387,435,000. Primecap Management Co. CA raised 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 during the period. Finally, Clearbridge Investments LLC lifted its position 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 last quarter. 68.32% of the stock is owned by institutional investors and hedge funds.

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.