Packer & Co Ltd Purchases New Position in PayPal Holdings, Inc. $PYPL

Key Points

• Packer & Co Ltd bought a new stake of 230,000 PayPal shares (about $13.43 million) in Q4, making PYPL 3.6% of its portfolio and the firm's 7th-largest holding.
• Analysts' consensus is a Hold with an average price target of $58.11, but several firms have recently cut targets (e.g., Canaccord to $42, Wells Fargo to $48) and PayPal slightly missed Q4 EPS and revenue estimates.
• Heightened risk factors include significant insider selling and multiple securities class‑action filings, even as PayPal is investing roughly $400M to revive branded checkout and pursuing stablecoin/cross‑border initiatives.

Packer & Co Ltd purchased a new stake in PayPal Holdings, Inc. (NASDAQ:PYPL - Free Report) during the fourth quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor purchased 230,000 shares of the credit services provider's stock, valued at approximately $13,427,000. PayPal accounts for 3.6% of Packer & Co Ltd's portfolio, making the stock its 7th largest holding.

Other hedge funds have also recently bought and sold shares of the company. Kelleher Financial Advisors acquired a new stake in shares of PayPal in the 3rd quarter valued at $30,000. Cloud Capital Management LLC bought a new stake in shares of PayPal in the 3rd quarter worth about $30,000. Total Investment Management Inc. acquired a new stake in shares of PayPal during the 2nd quarter worth about $38,000. True Wealth Design LLC lifted its holdings in PayPal by 285.3% during the 3rd quarter. True Wealth Design LLC now owns 524 shares of the credit services provider's stock valued at $35,000 after purchasing an additional 388 shares during the last quarter. Finally, Dagco Inc. lifted its holdings in PayPal by 1,250.0% during the 3rd quarter. Dagco Inc. now owns 540 shares of the credit services provider's stock valued at $36,000 after purchasing an additional 500 shares during the last quarter. 68.32% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

PYPL has been the topic of several research analyst reports. Raymond James Financial reaffirmed a "market perform" rating on shares of PayPal in a research note on Monday, February 23rd. Wolfe Research reiterated a "sell" rating on shares of PayPal in a research note on Monday, February 23rd. Dbs Bank raised PayPal to a "hold" rating in a report on Friday, February 6th. Canaccord Genuity Group restated a "hold" rating and set a $42.00 price target (down from $100.00) on shares of PayPal in a research report on Wednesday, February 4th. Finally, Wells Fargo & Company dropped 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. Eight analysts have rated the stock with a Buy rating, thirty-one have given a Hold rating and six have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $58.11.

PayPal Stock Performance

PYPL opened at $45.34 on Friday. PayPal Holdings, Inc. has a 1-year low of $38.46 and a 1-year high of $79.50. The stock has a market capitalization of $41.74 billion, a PE ratio of 8.38, a PEG ratio of 1.35 and a beta of 1.40. The company has a current ratio of 1.29, a quick ratio of 1.29 and a debt-to-equity ratio of 0.49. The firm has a 50-day moving average price of $45.16 and a two-hundred day moving average price of $57.28.

PayPal (NASDAQ:PYPL - Get Free Report) last announced its earnings results on Tuesday, February 3rd. The credit services provider reported $1.23 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.29 by ($0.06). PayPal had a return on equity of 25.42% and a net margin of 15.77%.The company had revenue of $8.68 billion for the quarter, compared to analyst estimates of $8.82 billion. During the same quarter in the previous year, the company posted $1.19 earnings per share. PayPal's revenue for the quarter was up 4.0% on a year-over-year basis. As a group, equities analysts anticipate that PayPal Holdings, Inc. will post 5.03 earnings per share for the current fiscal year.

PayPal Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, March 25th. Shareholders of record on Wednesday, March 4th were given a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date was Wednesday, March 4th. PayPal's dividend payout ratio (DPR) is presently 10.35%.

Insider Buying and Selling at PayPal

In other news, EVP Frank Keller sold 29,581 shares of PayPal stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $46.02, for a total value of $1,361,317.62. Following the completion of the sale, the executive vice president directly owned 51,567 shares of the company's stock, valued at approximately $2,373,113.34. This trade represents a 36.45% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CAO Chris Natali sold 2,208 shares of the business's stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $44.73, for a total value of $98,763.84. Following the sale, the chief accounting officer owned 1,140 shares of the company's stock, valued at approximately $50,992.20. The trade was a 65.95% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 87,608 shares of company stock worth $3,831,535. Insiders own 0.08% of the company's stock.

PayPal News Summary

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal said it is investing aggressively to revive branded checkout growth (reported as a $400M push and product/monetization focus), which could support revenue recovery if execution improves. PayPal (PYPL) Invests $400M to Revive Checkout Growth
• Positive Sentiment: PayPal remains active in stablecoin and cross-border payments initiatives — a strategic area with regulatory complexity but meaningful long-term upside if it captures flows. Stablecoins roll on as rules evolve
• Neutral Sentiment: Loop Capital initiated coverage with a Hold and a $46 target, flagging execution risks and margin pressure — a middling analyst view that may cap upside until results/stability improve. Loop Capital initiates coverage of PayPal (PYPL) with hold recommendation
• Negative Sentiment: Multiple plaintiff law firms (Bragar Eagel & Squire, Howard G. Smith, Schall Law, Rosen, Pomerantz and Labaton Keller Sucharow) have publicized securities class-action filings and lead-plaintiff deadlines related to PayPal, increasing legal costs, uncertainty and potential settlements. Bragar Eagel & Squire reminder Rosen Law Firm reminder Labaton Keller Sucharow expanded filing
• Negative Sentiment: Press coverage highlights operational struggles: branded checkout slowdown, intensifying competition from Apple/Google, and leadership turnover — factors that heighten execution risk and weigh on sentiment. LA Times: PayPal transformed digital payments...
• Negative Sentiment: Aggregated market commentary and data highlight insider selling and large institutional reductions (e.g., UBS, Clearbridge), suggesting diminished confidence among some major holders and potential supply pressure. Quiver Quant summary
• Negative Sentiment: Analyst/commentary pieces tie weak Q4 results and prior guidance/execution issues to the new lawsuits and board/management changes, reinforcing short-term downside risk until clarity on execution and legal exposure is provided. TipRanks: Why PYPL stock is crashing

PayPal Company 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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