Swedbank AB Decreases Position in PayPal Holdings, Inc. $PYPL

Key Points

• Swedbank AB cut its PayPal stake by 38.2% in the first quarter, selling 362,492 shares and ending with 585,914 shares valued at about $26.5 million.
• PayPal reported solid latest-quarter results, with EPS of $1.34 and revenue of $8.35 billion, both ahead of analyst estimates, while revenue rose 7.2% year over year.
• Despite the earnings beat, Wall Street remains cautious: the stock has a consensus Hold rating, mixed analyst price targets, and shares were trading down around 2.5% at $44.53.

Swedbank AB decreased its stake in PayPal Holdings, Inc. (NASDAQ:PYPL - Free Report) by 38.2% in the first quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 585,914 shares of the credit services provider's stock after selling 362,492 shares during the quarter. Swedbank AB owned about 0.07% of PayPal worth $26,501,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently bought and sold shares of the company. Vanguard Group Inc. grew its holdings in shares of 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 purchasing an additional 5,534,462 shares during the last quarter. Rule One Partners LLC bought a new stake in PayPal during the 4th quarter valued at about $2,043,000. Step Capital Management Pte. Ltd. purchased a new stake in PayPal in the 4th quarter valued at about $6,130,000. Easterly Investment Partners LLC grew its stake in PayPal by 705.2% in the 4th quarter. Easterly Investment Partners LLC now owns 100,651 shares of the credit services provider's stock worth $5,876,000 after acquiring an additional 88,151 shares in the last quarter. Finally, Legal & General Group Plc grew its stake in PayPal by 3.2% in the 3rd quarter. Legal & General Group Plc now owns 6,951,876 shares of the credit services provider's stock worth $466,193,000 after acquiring an additional 217,329 shares in the last quarter. Hedge funds and other institutional investors own 68.32% of the company's stock.

Insider Buying and Selling

In related news, insider Suzan Kereere sold 3,379 shares of the business's stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $42.79, for a total transaction of $144,587.41. Following the completion of the transaction, the insider owned 30,983 shares in the company, valued at $1,325,762.57. The trade was a 9.83% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Chris Natali sold 1,337 shares of the stock in a transaction that occurred on Wednesday, April 29th. The shares were sold at an average price of $49.46, for a total transaction of $66,128.02. Following the sale, the chief accounting officer directly owned 1,586 shares of the company's stock, valued at $78,443.56. The trade was a 45.74% 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 sold a total of 20,612 shares of company stock worth $966,623 in the last 90 days. 0.63% of the stock is owned by corporate insiders.

Key Stories Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal is leaning harder into buy now, pay later (BNPL) as part of its checkout strategy, with reports suggesting the service could help lift conversion rates and increase basket sizes for merchants. PayPal (PYPL) Is Making BNPL A Bigger Part Of Checkout Growth
• Positive Sentiment: Management is also highlighting an AI-driven savings target of $1.5 billion, which could free up capital for investment in checkout, Venmo, and platform improvements while potentially supporting longer-term earnings growth. PayPal AI Push: Will $1.5B Savings Drive Faster Growth Ahead?
• Neutral Sentiment: Recent articles note that investors are closely watching PayPal because the stock remains cheap relative to peers and has drawn renewed market interest, but the broader thesis is still dependent on execution. Investors Heavily Search PayPal Holdings, Inc. (PYPL): Here is What You Need to Know
• Negative Sentiment: Analyst coverage is still mixed, and at least one recent initiation came in on a bearish note, reflecting ongoing concern about PayPal’s growth outlook and competitive position. This PayPal Analyst Begins Coverage On A Bearish Note; Here Are Top 5 Initiations For Wednesday
• Negative Sentiment: Some commentary also points to a cautious 2026 outlook and compares PayPal unfavorably with stronger fintech peers, which may be limiting enthusiasm despite the valuation appeal. Mastercard Vs. Paypal: The Argument Over Which Undervalued Fintech To Buy Has a Clear Cut Answer

PayPal Trading Down 2.5%

Shares of NASDAQ PYPL opened at $44.53 on Thursday. PayPal Holdings, Inc. has a 1-year low of $38.46 and a 1-year high of $79.50. The business has a fifty day moving average price of $44.19 and a 200 day moving average price of $47.59. The stock has a market capitalization of $39.28 billion, a P/E ratio of 8.35, a price-to-earnings-growth ratio of 1.14 and a beta of 1.33. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.26 and a quick ratio of 1.26.

PayPal (NASDAQ:PYPL - Get Free Report) last posted its earnings results on Tuesday, May 5th. The credit services provider reported $1.34 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.27 by $0.07. The company had revenue of $8.35 billion for the quarter, compared to analyst estimates of $8.05 billion. PayPal had a return on equity of 25.02% and a net margin of 15.00%.The firm's quarterly revenue was up 7.2% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.33 earnings per share. Equities research analysts expect that PayPal Holdings, Inc. will post 5.32 EPS for the current fiscal year.

PayPal Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Thursday, June 25th. Stockholders of record on Thursday, June 4th were given a $0.14 dividend. The ex-dividend date of this dividend was Thursday, June 4th. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.3%. PayPal's payout ratio is presently 10.51%.

Wall Street Analysts Forecast Growth

PYPL has been the subject of several research analyst reports. BNP Paribas Exane lifted their price target on shares of PayPal from $41.00 to $43.50 and gave the company a "neutral" rating in a research note on Friday, April 10th. Bank of America dropped their price objective on PayPal from $55.00 to $53.00 and set a "neutral" rating on the stock in a research note on Wednesday, May 6th. Royal Bank Of Canada reaffirmed an "outperform" rating and set a $59.00 target price on shares of PayPal in a research report on Wednesday, May 6th. Citigroup upped their target price on PayPal from $42.00 to $48.00 and gave the stock a "neutral" rating in a report on Wednesday, April 8th. Finally, The Goldman Sachs Group increased their price target on PayPal from $40.00 to $41.00 and gave the stock a "sell" rating in a research report on Monday, June 29th. Seven investment analysts have rated the stock with a Buy rating, thirty-two have issued a Hold rating and six have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Hold" and an average target price of $53.72.

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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