PayPal Holdings, Inc. (NASDAQ:PYPL) Stock Now Rated "Hold" by Sell-Side Analysts

Key Points

• Analyst sentiment is neutral: 46 analysts give PayPal an average “Hold” rating (32 holds, eight buys and six sells), with an average 12-month price target of $55.94.
• Results were mixed: PayPal reported quarterly EPS of $1.45, above the $1.31 consensus, while revenue of $8.58 billion missed expectations of $8.71 billion. The company also raised its 2026 adjusted EPS outlook to about $5.60.
• PayPal declared a quarterly dividend of $0.14 per share, equivalent to $0.56 annually and a 0.9% yield.

PayPal Holdings, Inc. (NASDAQ:PYPL - Get Free Report) has received an average recommendation of "Hold" from the forty-six analysts that are currently covering the company, MarketBeat.com reports. Six equities research analysts have rated the stock with a sell recommendation, thirty-two have given a hold recommendation and eight have assigned a buy recommendation to the company. The average 12 month price target among brokers that have covered the stock in the last year is $55.94.

PYPL has been the topic of a number of research analyst reports. UBS Group decreased their price target on shares of PayPal from $61.00 to $60.00 and set a "neutral" rating on the stock in a report on Wednesday, October 28th. BTIG Research restated a "neutral" rating on shares of PayPal in a report on Tuesday, October 27th. Citigroup lowered their price objective on shares of PayPal from $61.00 to $58.00 and set a "neutral" rating on the stock in a research note on Wednesday, October 28th. Needham & Company LLC reissued a "hold" rating on shares of PayPal in a research note on Tuesday, October 27th. Finally, BNP Paribas Exane lifted their target price on PayPal from $43.50 to $52.00 and gave the stock a "neutral" rating in a research note on Tuesday, July 21st.

Insider Activity at PayPal

In other news, insider Frank Keller sold 4,612 shares of the stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $55.43, for a total transaction of $255,643.16. Following the completion of the transaction, the insider directly owned 41,567 shares in the company, valued at approximately $2,304,058.81. This represents a 9.99% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Chris Natali sold 552 shares of the firm's stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $54.80, for a total value of $30,249.60. Following the sale, the chief accounting officer directly owned 2,400 shares in the company, valued at $131,520. This trade represents a 18.70% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 13,437 shares of company stock worth $768,417 in the last quarter. 0.63% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Allied Private Wealth LLC acquired a new position in PayPal during the 2nd quarter valued at about $25,000. Robinswood Financial LLC acquired a new position in PayPal during the 1st quarter worth about $26,000. Mowery & Schoenfeld Wealth Management LLC purchased a new stake in shares of PayPal in the second quarter valued at $27,000. Johnson Financial Group Inc. acquired a new stake in shares of PayPal during the second quarter valued at approximately $27,000. Finally, Danske Bank A S bought a new stake in PayPal in the second quarter valued at about $29,000. Institutional investors own 68.32% of the company's stock.

PayPal Price Performance

NASDAQ PYPL opened at $59.24 on Friday. The stock has a 50-day moving average of $55.10 and a 200 day moving average of $50.10. PayPal has a one year low of $38.46 and a one year high of $67.99. The company has a market capitalization of $49.21 billion, a price-to-earnings ratio of 11.31, a PEG ratio of 1.24 and a beta of 1.33. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.26 and a current ratio of 1.26.

PayPal (NASDAQ:PYPL - Get Free Report) last released its earnings results on Tuesday, October 27th. The credit services provider reported $1.45 EPS for the quarter, beating analysts' consensus estimates of $1.31 by $0.14. The firm had revenue of $8.58 billion for the quarter, compared to analysts' expectations of $8.71 billion. PayPal had a return on equity of 24.39% and a net margin of 13.78%. The company's quarterly revenue was up 2.0% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.34 earnings per share. On average, sell-side analysts forecast that PayPal will post 5.59 EPS for the current year.

PayPal Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 24th. Shareholders of record on Friday, December 4th will be given a $0.14 dividend. The ex-dividend date is Friday, December 4th. This represents a $0.56 annualized dividend and a yield of 0.9%. PayPal's dividend payout ratio (DPR) is presently 10.69%.

PayPal News Summary

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal raised its 2026 adjusted EPS outlook to about $5.60 after reporting third-quarter results, a supportive signal for earnings expectations. Article: PayPal Is Up 15% in Six Months After a Q3 Beat
• Positive Sentiment: A valuation analysis argues PYPL could be about 13% undervalued, and notes recent share-price momentum, though it also describes quarterly earnings as mixed. Article: PayPal Could Be 13% Undervalued
• Neutral Sentiment: PayPal’s third-quarter basic EPS from continuing operations was $1.26, below $1.31 a year earlier. This signals some earnings pressure, but the company’s raised full-year outlook provides a counterpoint. Article: PayPal Could Be 13% Undervalued
• Negative Sentiment: A comparison of analyst forecasts expects PayPal’s normalized EPS to grow 11% from 2025 to 2027, slower than American Express’s projected 31% growth. That relative outlook may limit enthusiasm for PYPL. Article: American Express vs. PayPal Growth Forecasts
• Negative Sentiment: Freedom Broker downgraded PayPal from “strong buy” to “hold,” adding a cautious analyst view. Article: Freedom Broker Rating

PayPal Company Profile

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