HS Management Partners LLC Sells 220,100 Shares of PayPal Holdings, Inc. $PYPL

Key Points

• HS Management Partners LLC has reduced its stake in PayPal Holdings, Inc. by 16.9%, now holding approximately 1,078,900 shares, with PayPal being its largest investment.
• According to recent earnings reports, PayPal surpassed earnings expectations with $1.40 EPS for the quarter, compared to the estimated $1.30 EPS, and recorded $8.29 billion in revenue.
• Research analysts have mixed ratings on PayPal, with seventeen analysts rating it as a Buy, while the overall consensus rating is a Hold, and the target price is set at $84.50.

HS Management Partners LLC cut its position in PayPal Holdings, Inc. (NASDAQ:PYPL - Free Report) by 16.9% in the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 1,078,900 shares of the credit services provider's stock after selling 220,100 shares during the quarter. PayPal accounts for about 6.5% of HS Management Partners LLC's portfolio, making the stock its largest holding. HS Management Partners LLC owned about 0.11% of PayPal worth $80,184,000 at the end of the most recent reporting period.

Other large investors have also made changes to their positions in the company. Brighton Jones LLC raised its holdings in shares of PayPal by 15.2% during the 4th quarter. Brighton Jones LLC now owns 6,989 shares of the credit services provider's stock worth $596,000 after buying an additional 924 shares in the last quarter. Revolve Wealth Partners LLC bought a new position in PayPal in the fourth quarter valued at about $248,000. Vest Financial LLC raised its stake in PayPal by 69.5% during the first quarter. Vest Financial LLC now owns 11,469 shares of the credit services provider's stock worth $748,000 after acquiring an additional 4,703 shares in the last quarter. Sivia Capital Partners LLC bought a new position in shares of PayPal in the first quarter worth about $206,000. Finally, Wedmont Private Capital boosted its stake in shares of PayPal by 37.7% in the 1st quarter. Wedmont Private Capital now owns 8,225 shares of the credit services provider's stock valued at $515,000 after purchasing an additional 2,253 shares in the last quarter. Institutional investors and hedge funds own 68.32% of the company's stock.

PayPal Stock Up 0.5%

PYPL stock opened at $69.25 on Monday. The stock's 50 day simple moving average is $68.68 and its 200 day simple moving average is $69.30. The company has a market cap of $66.16 billion, a P/E ratio of 14.80, a price-to-earnings-growth ratio of 1.07 and a beta of 1.44. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.33 and a current ratio of 1.33. PayPal Holdings, Inc. has a fifty-two week low of $55.85 and a fifty-two week high of $93.66.

PayPal (NASDAQ:PYPL - Get Free Report) last released its quarterly earnings data on Tuesday, July 29th. The credit services provider reported $1.40 EPS for the quarter, beating the consensus estimate of $1.30 by $0.10. PayPal had a return on equity of 25.35% and a net margin of 14.49%.The firm had revenue of $8.29 billion during the quarter, compared to the consensus estimate of $8.08 billion. During the same quarter in the previous year, the company posted $1.19 earnings per share. PayPal has set its Q3 2025 guidance at 1.180-1.220 EPS. FY 2025 guidance at 5.150-5.300 EPS. On average, research analysts expect that PayPal Holdings, Inc. will post 5.03 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on the stock. Rothschild & Co Redburn lifted their price target on shares of PayPal from $66.00 to $70.00 and gave the company a "neutral" rating in a report on Tuesday, September 16th. Citigroup reaffirmed a "buy" rating on shares of PayPal in a research note on Tuesday, July 29th. Canaccord Genuity Group reiterated a "buy" rating and set a $96.00 price target on shares of PayPal in a report on Wednesday, July 30th. Wall Street Zen downgraded PayPal from a "buy" rating to a "hold" rating in a report on Saturday. Finally, BMO Capital Markets reaffirmed a "market perform" rating on shares of PayPal in a report on Tuesday, July 29th. Seventeen analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $84.50.

Insider Activity at PayPal

In other news, insider Suzan Kereere sold 4,162 shares of the firm's stock in a transaction that occurred on Tuesday, August 19th. The stock was sold at an average price of $69.39, for a total value of $288,801.18. Following the transaction, the insider owned 48,483 shares in the company, valued at $3,364,235.37. This trade represents a 7.91% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CAO Chris Natali sold 7,102 shares of the company's stock in a transaction on Thursday, July 31st. The stock was sold at an average price of $69.35, for a total value of $492,523.70. The disclosure for this sale can be found here. In the last quarter, insiders have sold 15,102 shares of company stock valued at $1,046,607. 0.08% of the stock is owned by corporate insiders.

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.

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