California State Teachers Retirement System Sells 50,359 Shares of PayPal Holdings, Inc. $PYPL

Key Points

• California State Teachers Retirement System reduced its PayPal position by 3.6%, selling 50,359 shares and retaining 1.35 million shares worth approximately $61.1 million. Institutional investors collectively own 68.32% of PayPal.
• PayPal reported quarterly revenue of $8.68 billion and adjusted EPS of $1.38, surpassing analyst estimates of $8.47 billion and $1.28, respectively. The company also declared a quarterly dividend of $0.14 per share, implying an annualized yield of about 1%.
• Analyst sentiment remains mixed, with PayPal carrying a consensus “Hold” rating and an average price target of $55.50; nine analysts rate it Buy, 34 Hold and four Sell.

California State Teachers Retirement System trimmed its position in shares of PayPal Holdings, Inc. (NASDAQ:PYPL - Free Report) by 3.6% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 1,351,588 shares of the credit services provider's stock after selling 50,359 shares during the period. California State Teachers Retirement System owned about 0.15% of PayPal worth $61,132,000 as of its most recent SEC filing.

A number of other hedge funds also recently bought and sold shares of PYPL. Vanguard Group Inc. boosted its stake in PayPal by 6.5% in the fourth quarter. Vanguard Group Inc. now owns 90,376,927 shares of the credit services provider's stock worth $5,276,205,000 after buying an additional 5,534,462 shares in the last quarter. Norges Bank purchased a new position in shares of PayPal during the fourth quarter worth approximately $949,758,000. Invesco Ltd. lifted its holdings in shares of PayPal by 9.7% in the 4th quarter. Invesco Ltd. now owns 12,215,792 shares of the credit services provider's stock worth $713,158,000 after acquiring an additional 1,083,843 shares during the last quarter. Dimensional Fund Advisors LP lifted its holdings in shares of PayPal by 4.3% in the 1st quarter. Dimensional Fund Advisors LP now owns 9,179,771 shares of the credit services provider's stock worth $415,192,000 after acquiring an additional 376,530 shares during the last quarter. Finally, Amundi boosted its stake in shares of PayPal by 1.6% in the 3rd quarter. Amundi now owns 8,493,311 shares of the credit services provider's stock valued at $605,488,000 after purchasing an additional 132,837 shares in the last quarter. Institutional investors own 68.32% of the company's stock.

Insider Transactions at PayPal

In other news, insider Frank Keller sold 732 shares of the firm's stock in a transaction on Wednesday, July 29th. The stock was sold at an average price of $58.10, for a total transaction of $42,529.20. Following the completion of the transaction, the insider directly owned 41,567 shares in the company, valued at $2,415,042.70. This trade represents a 1.73% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 3,379 shares of PayPal stock in a transaction dated Wednesday, June 3rd. The stock was sold at an average price of $42.79, for a total value of $144,587.41. Following the completion of the transaction, the insider directly owned 30,983 shares of the company's stock, valued at approximately $1,325,762.57. This represents a 9.83% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 10,612 shares of company stock valued at $484,534. Insiders own 0.63% of the company's stock.

Wall Street Analysts Forecast Growth

PYPL has been the topic of several recent research reports. Telsey Advisory Group lowered shares of PayPal to a "market perform" rating in a report on Friday, July 24th. Royal Bank Of Canada boosted their price target on shares of PayPal from $59.00 to $65.00 and gave the stock an "outperform" rating in a research note on Wednesday. Cantor Fitzgerald restated a "neutral" rating on shares of PayPal in a research report on Thursday, July 16th. Barclays raised their price objective on PayPal from $55.00 to $57.00 and gave the company an "equal weight" rating in a research note on Wednesday. Finally, HSBC started coverage on PayPal in a report on Friday, July 24th. They issued a "buy" rating on the stock. Nine analysts have rated the stock with a Buy rating, thirty-four have given a Hold rating and four have issued a Sell rating to the company's stock. According to data from MarketBeat.com, PayPal presently has a consensus rating of "Hold" and an average price target of $55.50.

Trending Headlines about PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal reported second-quarter revenue of $8.68 billion and adjusted EPS of $1.38, exceeding estimates of $8.47 billion and $1.28, respectively. Management also raised its full-year profit outlook, citing improving branded checkout, Venmo growth and cost savings. PayPal's Q2 Earnings Call Focuses on Checkout Stability
• Positive Sentiment: Several analysts lifted their price targets following the results, including JPMorgan to $65, Mizuho to $60, Citi to $61 and Keefe, Bruyette & Woods to $70, with KBW upgrading the shares to outperform. Analysts Boost PayPal Forecasts
• Positive Sentiment: PayPal is joining Binance’s bStocks initiative, potentially expanding access to tokenized equities for crypto users and creating additional payment or financial-services opportunities. PayPal Joins Binance bStocks
• Neutral Sentiment: Reports say Stripe and Advent International recently offered about $60.50 per share for PayPal. The board reportedly viewed the bid as too low, while CEO discussions indicated openness to potential deals but continued preference for an independent recovery. The speculation may provide valuation support but also highlights strategic uncertainty. PayPal CEO Signals Deal Openness
• Neutral Sentiment: PayPal declared a quarterly dividend of $0.14 per share, payable September 25 to shareholders of record September 4, offering an annualized yield of roughly 1%.
• Negative Sentiment: Wall Street remains divided: Wells Fargo, TD Cowen, Baird, Canaccord and Wolfe Research retained neutral or hold ratings, while Goldman Sachs reportedly warned that stronger results have not resolved PayPal’s core branded-checkout and competitive-positioning challenges. Wall Street Divided on PayPal
• Negative Sentiment: Two insiders sold shares under pre-arranged Rule 10b5-1 plans: Frank Keller sold 732 shares and Chief Accounting Officer Chris Natali sold 1,337 shares. Because the transactions were scheduled in advance, they are a limited—but still potentially negative—signal.

PayPal Stock Performance

Shares of PYPL stock opened at $57.65 on Friday. The stock has a fifty day moving average of $46.77 and a 200 day moving average of $47.02. PayPal Holdings, Inc. has a 52 week low of $38.46 and a 52 week high of $79.21. The firm has a market capitalization of $50.85 billion, a price-to-earnings ratio of 10.90, a PEG ratio of 1.45 and a beta of 1.33. The company has a quick ratio of 1.26, a current ratio of 1.29 and a debt-to-equity ratio of 0.55.

PayPal (NASDAQ:PYPL - Get Free Report) last issued its quarterly earnings data on Tuesday, July 28th. The credit services provider reported $1.38 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.28 by $0.10. The business had revenue of $8.68 billion for the quarter, compared to the consensus estimate of $8.47 billion. PayPal had a net margin of 14.36% and a return on equity of 24.39%. The company's quarterly revenue was up 4.8% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.40 EPS. As a group, research analysts expect that PayPal Holdings, Inc. will post 5.32 earnings per share for the current year.

PayPal Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Stockholders of record on Friday, September 4th will be paid a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date of this dividend is Friday, September 4th. PayPal's dividend payout ratio is currently 10.59%.

PayPal Profile

PayPal Holdings, Inc operates a global digital payments platform that enables consumers and merchants to send and receive payments online, on mobile devices and at the point of sale. The company provides a broad set of payment solutions, including a digital wallet, merchant payment processing, checkout services, invoicing and fraud-management tools. PayPal's platform is designed to support e-commerce, in-person retail and person-to-person transfers, targeting both individual consumers and businesses of varying sizes.

Key products and services in PayPal's portfolio include the PayPal wallet and checkout ecosystem, the Venmo peer-to-peer mobile app, Braintree's developer-focused payment gateway, Xoom for international money transfers, and PayPal Credit and buy-now-pay-later options.

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