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Insider Selling: PayPal (NASDAQ:PYPL) CAO Sells 552 Shares of Stock

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Key Points

  • PayPal CAO Chris Natali sold 552 shares on June 3 at an average price of $42.65, totaling about $23,543. The sale reduced his direct ownership by 23.77% and was made under a pre-arranged Rule 10b5-1 plan.
  • PayPal recently beat quarterly expectations, reporting EPS of $1.34 versus the $1.27 consensus and revenue of $8.35 billion versus $8.05 billion expected. Revenue rose 7.2% year over year, and analysts currently expect full-year EPS of 5.3.
  • Sentiment remains mixed: PayPal announced a quarterly dividend of $0.14 per share, but analysts still rate the stock a consensus “Hold” with a $55.85 price target, while several insiders have recently sold shares.
  • MarketBeat previews the top five stocks to own by July 1st.

PayPal Holdings, Inc. (NASDAQ:PYPL - Get Free Report) CAO Chris Natali sold 552 shares of PayPal stock in a transaction dated Wednesday, June 3rd. The stock was sold at an average price of $42.65, for a total value of $23,542.80. Following the transaction, the chief accounting officer directly owned 1,770 shares in the company, valued at approximately $75,490.50. The trade was a 23.77% 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. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Chris Natali also recently made the following trade(s):

  • On Wednesday, April 29th, Chris Natali sold 1,337 shares of PayPal stock. The stock was sold at an average price of $49.46, for a total value of $66,128.02.

PayPal Price Performance

NASDAQ:PYPL traded up $0.14 during mid-day trading on Thursday, reaching $42.75. 11,232,485 shares of the stock were exchanged, compared to its average volume of 19,921,891. The business has a fifty day moving average price of $46.30 and a 200 day moving average price of $50.80. The firm has a market capitalization of $37.71 billion, a PE ratio of 8.02, a PEG ratio of 1.11 and a beta of 1.34. PayPal Holdings, Inc. has a 1-year low of $38.46 and a 1-year high of $79.50. The company has a current ratio of 1.26, a quick ratio of 1.26 and a debt-to-equity ratio of 0.47.

PayPal (NASDAQ:PYPL - Get Free Report) last released its earnings results on Tuesday, May 5th. The credit services provider reported $1.34 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.27 by $0.07. The firm 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%.PayPal's revenue was up 7.2% compared to the same quarter last year. During the same period in the previous year, the company earned $1.33 earnings per share. Research analysts expect that PayPal Holdings, Inc. will post 5.3 earnings per share for the current fiscal year.

PayPal Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, June 25th. Investors of record on Thursday, June 4th will be issued a dividend of $0.14 per share. This represents a $0.56 dividend on an annualized basis and a yield of 1.3%. The ex-dividend date of this dividend is Thursday, June 4th. PayPal's payout ratio is presently 10.51%.

Institutional Investors Weigh In On PayPal

Institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. boosted its position in PayPal by 6.5% during the 4th quarter. Vanguard Group Inc. now owns 90,376,927 shares of the credit services provider's stock worth $5,276,205,000 after acquiring an additional 5,534,462 shares during the period. NEOS Investment Management LLC boosted its position in PayPal by 47.8% during the 3rd quarter. NEOS Investment Management LLC now owns 411,262 shares of the credit services provider's stock worth $27,579,000 after acquiring an additional 132,942 shares during the period. Kovitz Investment Group Partners LLC boosted its position in PayPal by 21.1% during the 3rd quarter. Kovitz Investment Group Partners LLC now owns 463,701 shares of the credit services provider's stock worth $31,096,000 after acquiring an additional 80,744 shares during the period. Capital Research Global Investors boosted its position in PayPal by 2.3% during the 3rd quarter. Capital Research Global Investors now owns 27,953,803 shares of the credit services provider's stock worth $1,874,637,000 after acquiring an additional 636,441 shares during the period. Finally, Candriam S.C.A. boosted its position in PayPal by 619.4% during the 3rd quarter. Candriam S.C.A. now owns 623,059 shares of the credit services provider's stock worth $41,782,000 after acquiring an additional 536,452 shares during the period. 68.32% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of equities analysts recently weighed in on the company. Daiwa Securities Group upgraded PayPal from a "hold" rating to an "outperform" rating in a research report on Wednesday, May 6th. BNP Paribas Exane increased their price target on PayPal from $41.00 to $43.50 and gave the company a "neutral" rating in a research report on Friday, April 10th. Stephens decreased their price target on PayPal from $65.00 to $45.00 and set an "equal weight" rating for the company in a research report on Wednesday, February 4th. JPMorgan Chase & Co. decreased their price target on PayPal from $70.00 to $46.00 and set a "neutral" rating for the company in a research report on Wednesday, February 4th. Finally, Citizens Jmp reiterated a "market perform" rating on shares of PayPal in a research report on Wednesday, February 4th. Eight analysts have rated the stock with a Buy rating, thirty-two have assigned a Hold rating and five have issued a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $55.85.

View Our Latest Stock Report on PayPal

More PayPal News

Here are the key news stories impacting PayPal this week:

PayPal Company Profile

(Get Free Report)

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.

Further Reading

Insider Buying and Selling by Quarter for PayPal (NASDAQ:PYPL)

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