PayPal (NASDAQ:PYPL) Insider Frank Keller Sells 732 Shares of Company Stock

Key Points

• PayPal insider Frank Keller sold 732 shares for approximately $40,531 under a pre-arranged Rule 10b5-1 trading plan, reducing his holdings by 1.73% to 41,567 shares.
• PayPal reported quarterly EPS of $1.45, beating estimates of $1.31, while revenue rose 2% year over year to $8.58 billion but fell short of expectations.
• Shares recently traded at $57.01, while analysts maintained a broadly cautious outlook: the consensus rating was “Hold,” with a target price of $55.94; the company also declared a quarterly dividend of $0.14.

PayPal Holdings, Inc. (NASDAQ:PYPL - Get Free Report) insider Frank Keller sold 732 shares of the firm's stock in a transaction that occurred on Wednesday, October 28th. The stock was sold at an average price of $55.37, for a total transaction of $40,530.84. Following the sale, the insider owned 41,567 shares in the company, valued at $2,301,564.79. This trade represents a 1.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Frank Keller also recently made the following trade(s):

• On Thursday, September 3rd, Frank Keller sold 4,612 shares of PayPal stock. The stock was sold at an average price of $55.43, for a total transaction of $255,643.16.

PayPal Stock Up 0.1%

PYPL traded up $0.06 on Friday, hitting $57.01. 15,362,231 shares of the company were exchanged, compared to its average volume of 17,175,986. PayPal Holdings, Inc. has a 12 month low of $38.46 and a 12 month high of $70.35. The company has a market cap of $48.77 billion, a PE ratio of 10.88, a PEG ratio of 1.22 and a beta of 1.27. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.29 and a current ratio of 1.26. The stock's fifty day moving average is $55.47 and its 200-day moving average is $50.04.

PayPal (NASDAQ:PYPL - Get Free Report) last issued its earnings results on Tuesday, October 27th. The credit services provider reported $1.45 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.31 by $0.14. PayPal had a net margin of 13.78% and a return on equity of 24.39%. The company had revenue of $8.58 billion for the quarter, compared to analysts' expectations of $8.71 billion. During the same period in the prior year, the firm earned $1.34 EPS. PayPal's quarterly revenue was up 2.0% compared to the same quarter last year. Equities research analysts predict that PayPal Holdings, Inc. will post 5.57 EPS for the current fiscal year.

PayPal Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, December 24th. Shareholders of record on Friday, December 4th will be given a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date is Friday, December 4th. PayPal's payout ratio is 10.69%.

Wall Street Analysts Forecast Growth

A number of equities analysts have issued reports on PYPL shares. Clear Str raised shares of PayPal to a "hold" rating in a report on Thursday, July 16th. Telsey Advisory Group downgraded shares of PayPal to a "market perform" rating in a report on Friday, July 24th. Canaccord Genuity Group reaffirmed a "hold" rating and set a $55.00 target price on shares of PayPal in a report on Wednesday. Morgan Stanley boosted their price target on shares of PayPal from $45.00 to $46.00 and gave the stock an "underweight" rating in a research note on Wednesday. Finally, Royal Bank Of Canada raised their price objective on PayPal from $65.00 to $70.00 and gave the company an "outperform" rating in a report on Monday, August 31st. Eight research analysts have rated the stock with a Buy rating, thirty-one have assigned a Hold rating and six have given a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus target price of $55.94.

Hedge Funds Weigh In On PayPal

A number of hedge funds have recently made changes to their positions in the business. Allied Private Wealth LLC acquired a new stake in PayPal in the 2nd quarter valued at about $25,000. Robinswood Financial LLC acquired a new stake in PayPal during the 1st quarter worth approximately $26,000. Mowery & Schoenfeld Wealth Management LLC purchased a new stake in PayPal during the 2nd quarter worth $27,000. Johnson Financial Group Inc. purchased a new stake in shares of PayPal during the second quarter valued at approximately $27,000. Finally, Danske Bank A S purchased a new stake in PayPal during the 2nd quarter worth $29,000. Institutional investors own 68.32% of the company's stock.

Key PayPal News

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: PayPal’s earnings-call commentary highlighted progress in diversifying beyond its traditional checkout business, including growth in financial services, strong Venmo engagement, product expansion and continued cost discipline. These developments suggest improving operating execution and helped support the stock. The 5 most interesting analyst questions from PayPal’s Q3 earnings call
• Positive Sentiment: PayPal remains viewed as a potentially attractive value stock: commentary points to ongoing revenue growth, robust free cash flow and substantial share-repurchase capacity. Its relatively low valuation could provide downside support if the turnaround gains traction. Is PayPal Stock a Value or a Value Trap?
• Neutral Sentiment: KeyCorp raised its 2027 EPS forecasts for the first and third quarters but lowered its fourth-quarter estimate, leaving the overall earnings outlook mixed rather than materially changed.
• Neutral Sentiment: PayPal is included among financial-transaction companies that could benefit from resilient consumer spending, cross-border payments and strategic acquisitions. However, rising technology costs and inflation remain industry-wide risks. 5 Financial Transaction Stocks to Watch Amid Cost and Inflation Pressure
• Negative Sentiment: Barclays downgraded PayPal to Underweight and cut its price target to $53 from $56, citing slowing growth in core checkout, secular pressure on the branded button and a lower likelihood of a takeover. Barclays lowers PayPal stock to Underweight on slowing fundamentals
• Negative Sentiment: Several firms, including Canaccord Genuity, Needham, BTIG and Bernstein, maintained Hold or Neutral views, while Citigroup lowered its expectations. The broad lack of bullish analyst conviction continues to weigh on sentiment.

About PayPal

PayPal Holdings, Inc operates a global digital payments platform that enables consumers and businesses to send, receive, and manage money online and through mobile devices. Its services support online checkout, peer-to-peer payments, money transfers, payment processing, invoicing, and other commerce-related transactions.

The company's portfolio includes the PayPal and Venmo brands, Braintree's payment processing technology, and Xoom's international money transfer service. PayPal also offers merchant tools, digital wallets, payment solutions, and consumer financing products through its platform and related services.

PayPal traces its origins to 1998 and became an independent publicly traded company after separating from eBay in 2015.

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