Paralel Advisors LLC Buys Shares of 551,070 PayPal Holdings, Inc. $PYPL

Key Points

• Paralel Advisors LLC acquired 551,070 PayPal shares worth approximately $23.8 million, giving the firm a 0.06% stake. Institutional investors and hedge funds collectively own 68.32% of PayPal.
• Analysts maintain a broadly cautious outlook, with a consensus “Hold” rating and average price target of $56.28. PayPal nevertheless exceeded quarterly estimates, reporting $1.38 in EPS and $8.68 billion in revenue, up 4.8% year over year.
• PayPal declared a quarterly dividend of $0.14 per share, equivalent to a $0.56 annualized payout and a 0.9% yield. Insiders have sold 14,774 shares worth $738,249 over the past 90 days, with transactions conducted under pre-arranged trading plans.

Paralel Advisors LLC bought a new position in shares of PayPal Holdings, Inc. (NASDAQ:PYPL - Free Report) in the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The firm bought 551,070 shares of the credit services provider's stock, valued at approximately $23,795,000. PayPal accounts for about 0.9% of Paralel Advisors LLC's holdings, making the stock its 17th biggest holding. Paralel Advisors LLC owned 0.06% of PayPal as of its most recent SEC filing.

A number of other institutional investors have also made changes to their positions in PYPL. Bard Associates Inc. purchased a new position in shares of PayPal during the 4th quarter worth approximately $25,000. Allied Private Wealth LLC acquired a new position in PayPal during the second quarter worth $25,000. Robinswood Financial LLC acquired a new position in PayPal during the first quarter worth $26,000. Caitong International Asset Management Co. Ltd boosted its position in shares of PayPal by 15,233.3% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 460 shares of the credit services provider's stock worth $27,000 after buying an additional 457 shares during the period. Finally, Mowery & Schoenfeld Wealth Management LLC purchased a new position in shares of PayPal during the second quarter worth $27,000. 68.32% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on the company. HSBC began coverage on PayPal in a research note on Friday, July 24th. They issued a "buy" rating for the company. Barclays raised their target price on PayPal from $55.00 to $57.00 and gave the company an "equal weight" rating in a report on Wednesday, July 29th. Mizuho lifted their target price on PayPal from $50.00 to $60.00 and gave the company a "neutral" rating in a research report on Wednesday, July 29th. Bank of America cut their price target on shares of PayPal from $55.00 to $53.00 and set a "neutral" rating on the stock in a research note on Wednesday, May 6th. Finally, Weiss Ratings reissued a "hold (c-)" rating on shares of PayPal in a research report on Wednesday, August 5th. Nine research analysts have rated the stock with a Buy rating, thirty-four have given a Hold rating and four have given a Sell rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average price target of $56.28.

Insider Buying and Selling at PayPal

In other news, insider Frank Keller sold 732 shares of the company's stock in a transaction dated 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 of the company's stock, valued at approximately $2,415,042.70. This represents a 1.73% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 4,162 shares of the stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $60.96, for a total value of $253,715.52. Following the completion of the transaction, the insider owned 30,983 shares in the company, valued at approximately $1,888,723.68. The trade was a 11.84% 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. Insiders have sold a total of 14,774 shares of company stock worth $738,249 over the last ninety days. Corporate insiders own 0.63% of the company's stock.

PayPal Price Performance

PYPL stock opened at $62.30 on Friday. The business's 50-day moving average is $51.73 and its two-hundred day moving average is $47.42. The company has a debt-to-equity ratio of 0.55, a current ratio of 1.29 and a quick ratio of 1.29. The firm has a market capitalization of $53.30 billion, a P/E ratio of 11.78, a P/E/G ratio of 1.49 and a beta of 1.30. PayPal Holdings, Inc. has a 1 year low of $38.46 and a 1 year high of $79.21.

PayPal (NASDAQ:PYPL - Get Free Report) last announced its quarterly earnings data on Tuesday, July 28th. The credit services provider reported $1.38 EPS for the quarter, topping analysts' consensus estimates of $1.28 by $0.10. PayPal had a return on equity of 24.39% and a net margin of 14.36%.The business had revenue of $8.68 billion during the quarter, compared to the consensus estimate of $8.47 billion. During the same period in the previous year, the company posted $1.40 earnings per share. The business's revenue for the quarter was up 4.8% on a year-over-year basis. Analysts anticipate that PayPal Holdings, Inc. will post 5.38 earnings per share for the current fiscal year.

PayPal Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Investors of record on Friday, September 4th will be issued a $0.14 dividend. This represents a $0.56 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Friday, September 4th. PayPal's dividend payout ratio is 10.59%.

Key PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Takeover speculation supported the stock. Deal chatter involving a possible Stripe and Advent International offer resurfaced, encouraging investors to view PayPal as a potential acquisition target. No offer or transaction has been confirmed, so the catalyst remains speculative. PayPal takeover speculation
• Positive Sentiment: Tuition-payment integrations expand PayPal’s potential transaction volume. PayPal and Venmo are now available through Illumia, Nelnet Campus Commerce and TouchNet, with participating schools including Bellarmine University, Butler University, Kansas State University, Michigan State University and Texas Tech. The initiative adds a recurring, high-value payment use case, though its near-term revenue contribution is unclear. PayPal and Venmo tuition-payment expansion
• Positive Sentiment: PayPal outperformed some buy-now-pay-later peers. Klarna and Affirm declined as PayPal remained positive, suggesting investors may be favoring the scale, established customer base and broader financial-services platform of more mature payment companies. PayPal and BNPL stock rotation
• Neutral Sentiment: Options pricing reflects substantial uncertainty. The options market implies a broad potential trading range over the coming year, consistent with uncertainty surrounding PayPal’s turnaround prospects and possible corporate activity. PayPal options outlook
• Neutral Sentiment: An insider sale was a modest cautionary signal. Suzan Kereere sold 4,162 shares worth approximately $253,716 under a pre-arranged Rule 10b5-1 plan. She retained 30,983 shares, reducing the significance of the transaction as an indicator of business prospects. PayPal insider sale filing
• Negative Sentiment: Competitive and valuation risks remain. TikTok is reportedly developing a peer-to-peer payment feature that could challenge Venmo’s social-payments positioning. Jim Cramer also warned that some fintech stocks, including PayPal, may be priced for optimistic outcomes. TikTok peer-to-peer payment report

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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