Clear Street Group Inc. Takes $17.75 Million Position in PayPal Holdings, Inc. $PYPL

Key Points

• Clear Street Group purchased a new 3rd‑quarter stake of 264,686 PayPal shares worth about $17.75 million, as institutional ownership in the company stands at roughly 68.3%.
• PayPal recently missed quarterly expectations with EPS of $1.23 versus $1.29 expected and revenue of $8.68 billion (consensus $8.82 billion), while the stock trades at a low P/E (~8.3) and a market cap near $41.3 billion.
• Heightened investor risk from insider selling, analyst price‑target cuts and emerging securities class‑action filings (and management turnover) have pressured the shares and left consensus analyst sentiment at “Hold.”

Clear Street Group Inc. purchased a new stake in PayPal Holdings, Inc. (NASDAQ:PYPL - Free Report) in the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm purchased 264,686 shares of the credit services provider's stock, valued at approximately $17,750,000.

Other institutional investors have also recently added to or reduced their stakes in the company. National Pension Service grew its stake in shares of PayPal by 1.8% in the 3rd quarter. National Pension Service now owns 2,855,897 shares of the credit services provider's stock valued at $191,516,000 after buying an additional 51,268 shares during the period. Merit Financial Group LLC increased its holdings in shares of PayPal by 15.5% during the 3rd quarter. Merit Financial Group LLC now owns 164,901 shares of the credit services provider's stock worth $11,058,000 after buying an additional 22,139 shares during the last quarter. Nordea Investment Management AB raised its position in shares of PayPal by 7.9% during the 3rd quarter. Nordea Investment Management AB now owns 4,292,583 shares of the credit services provider's stock valued at $291,338,000 after buying an additional 313,180 shares during the period. Rakuten Investment Management Inc. purchased a new stake in shares of PayPal during the 3rd quarter valued at approximately $13,210,000. Finally, Ariose Capital Management Ltd lifted its holdings in PayPal by 347.0% in the third quarter. Ariose Capital Management Ltd now owns 193,100 shares of the credit services provider's stock valued at $12,949,000 after acquiring an additional 149,898 shares during the last quarter. Hedge funds and other institutional investors own 68.32% of the company's stock.

PayPal Stock Up 1.2%

Shares of NASDAQ PYPL opened at $44.90 on Friday. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 0.49. The business's 50 day moving average is $48.91 and its two-hundred day moving average is $59.75. PayPal Holdings, Inc. has a 52-week low of $38.46 and a 52-week high of $79.50. The firm has a market cap of $41.34 billion, a price-to-earnings ratio of 8.30, a PEG ratio of 1.34 and a beta of 1.43.

PayPal (NASDAQ:PYPL - Get Free Report) last released its quarterly earnings results on Tuesday, February 3rd. The credit services provider reported $1.23 EPS for the quarter, missing the consensus estimate of $1.29 by ($0.06). PayPal had a return on equity of 25.42% and a net margin of 15.77%.The firm had revenue of $8.68 billion for the quarter, compared to analysts' expectations of $8.82 billion. During the same quarter in the prior year, the business earned $1.19 earnings per share. The company's quarterly revenue was up 4.0% on a year-over-year basis. Research analysts predict that PayPal Holdings, Inc. will post 5.03 EPS for the current year.

PayPal Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, March 25th. Investors of record on Wednesday, March 4th will be issued a dividend of $0.14 per share. This represents a $0.56 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date is Wednesday, March 4th. PayPal's dividend payout ratio (DPR) is 10.35%.

Insider Activity at PayPal

In other PayPal news, CAO Chris Natali sold 2,208 shares of PayPal stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $44.73, for a total value of $98,763.84. Following the completion of the transaction, the chief accounting officer directly owned 1,140 shares of the company's stock, valued at $50,992.20. The trade was a 65.95% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Suzan Kereere sold 37,613 shares of the business's stock in a transaction dated Wednesday, February 18th. The stock was sold at an average price of $41.49, for a total transaction of $1,560,563.37. Following the sale, the insider owned 30,983 shares in the company, valued at $1,285,484.67. This trade represents a 54.83% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 87,608 shares of company stock worth $3,831,535 in the last three months. 0.08% of the stock is owned by company insiders.

Analyst Ratings Changes

Several research analysts recently weighed in on the company. Cantor Fitzgerald lowered their price objective on PayPal from $60.00 to $42.00 and set a "neutral" rating for the company in a research report on Monday, February 9th. Citizens Jmp reaffirmed a "market perform" rating on shares of PayPal in a research note on Wednesday, February 4th. Wells Fargo & Company lowered their price target on PayPal from $67.00 to $48.00 and set an "equal weight" rating for the company in a report on Wednesday, February 4th. Canaccord Genuity Group reissued a "hold" rating and set a $42.00 price objective (down from $100.00) on shares of PayPal in a research report on Wednesday, February 4th. Finally, Robert W. Baird set a $52.00 price objective on shares of PayPal in a report on Wednesday, February 4th. Eight research analysts have rated the stock with a Buy rating, thirty-one have issued a Hold rating and six have issued a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $59.03.

Trending Headlines about PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal has been included in Mastercard’s new crypto partner program alongside firms like Binance and Ripple, which supports its PYUSD/stablecoin and payments roadmap and could help revenue diversification if partnerships scale. Binance, Ripple, PayPal join Mastercard's 85+ partner crypto initiative
• Positive Sentiment: Valuation looks attractive to some investors and analysts: recent coverage highlights a low P/E and price targets above current levels, which can attract value buyers if execution stabilizes. Why PayPal’s Rally Faded—And What Could Restart It
• Neutral Sentiment: Macro and crypto market moves are creating mixed flows: regulatory alignment between the CFTC and SEC and episodic crypto volatility are shaping sentiment for payments/crypto plays like PayPal. This is a backdrop rather than an immediate company-specific catalyst. Crypto Currents: CFTC affirms crypto oversight alignment with SEC
• Negative Sentiment: Multiple securities class-action filings and numerous law‑firm alerts allege PayPal misled investors about growth and guidance (class period cited Feb 25, 2025–Feb 2, 2026). Firms are soliciting lead‑plaintiff motions with an April 20, 2026 deadline — this litigation wave increases legal risk, potential costs, and investor uncertainty. PayPal Holdings (PYPL) Faces Securities Class Action Amid $9 Billion Market Cap Wipeout, CEO Departure -- Hagens Berman
• Negative Sentiment: Competition and management turnover remain immediate execution risks: coverage notes weak Feb results, cautious guidance, and the CEO departure — all drivers behind the recent selloff and continued skepticism until clear operational improvement is shown. Why PayPal’s Rally Faded—And What Could Restart It
• Negative Sentiment: High-profile commentary suggests competitive pressure from other payment/fintech platforms and actions by industry figures (e.g., Elon Musk) could further compress PayPal’s growth in key consumer/payment corridors. Elon Musk just made things uncomfortable for PayPal and Cash App

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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