PayPal (NASDAQ:PYPL) CAO Sells $49,114.37 in Stock

Key Points

• PayPal CAO Chris Natali sold 1,213 shares on Feb. 17 at an average price of $40.49 for a total of $49,114.37, leaving him with 404 shares — a 75.02% reduction in his holdings.
• PayPal missed Q4 estimates (EPS $1.23 vs. $1.29 expected; revenue $8.68B vs. $8.82B), prompting analyst cuts and a consensus "Hold" rating, while the company faces increased legal risk from multiple securities‑class action filings.
• The company declared a quarterly dividend of $0.14 ($0.56 annualized, ~1.4% yield) and trades near $41 with a market cap of about $38.2B and a low valuation (P/E ~7.7), which some investors view as a potential buying opportunity despite mixed sentiment.

PayPal Holdings, Inc. (NASDAQ:PYPL - Get Free Report) CAO Chris Natali sold 1,213 shares of the company's stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $40.49, for a total value of $49,114.37. Following the sale, the chief accounting officer owned 404 shares of the company's stock, valued at $16,357.96. This represents a 75.02% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.

PayPal Trading Up 1.6%

Shares of NASDAQ PYPL traded up $0.64 during midday trading on Wednesday, hitting $41.45. The stock had a trading volume of 17,905,531 shares, compared to its average volume of 24,337,146. The company has a quick ratio of 1.29, a current ratio of 1.29 and a debt-to-equity ratio of 0.49. PayPal Holdings, Inc. has a 1-year low of $38.46 and a 1-year high of $79.50. The company has a market capitalization of $38.16 billion, a price-to-earnings ratio of 7.66, a PEG ratio of 1.04 and a beta of 1.43. The company has a fifty day moving average price of $54.20 and a 200 day moving average price of $62.67.

PayPal (NASDAQ:PYPL - Get Free Report) last posted 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). The business had revenue of $8.68 billion for the quarter, compared to analyst estimates of $8.82 billion. PayPal had a return on equity of 25.42% and a net margin of 15.77%.The firm's revenue for the quarter was up 4.0% compared to the same quarter last year. During the same period last year, the company posted $1.19 EPS. On average, analysts predict that PayPal Holdings, Inc. will post 5.03 earnings per share for the current year.

PayPal Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 25th. Shareholders of record on Wednesday, March 4th will be issued a $0.14 dividend. This represents a $0.56 dividend on an annualized basis and a yield of 1.4%. The ex-dividend date of this dividend is Wednesday, March 4th. PayPal's payout ratio is currently 10.35%.

Key Headlines Impacting PayPal

Here are the key news stories impacting PayPal this week:

• Positive Sentiment: Small‑cap partner deal highlights continued ecosystem reach — OLB Group announced a global integration of PayPal checkout/wallet into its SecurePay gateway; the partner stock surged, signaling market interest in PayPal’s distribution tie‑ups. OLB Group Stock Skyrockets On PayPal Partnership
• Positive Sentiment: Some analysts/commentators view PYPL as deeply undervalued — pieces arguing the stock is mispriced point to low valuation multiples and durable revenue pillars (Venmo, PSP, BNPL) as reasons for long‑term upside. PayPal: Despite Uncertainty, Stock Remains A Buy
• Neutral Sentiment: Fund manager rotation — Gator Capital disclosed selling PYPL in its Q4 letter; could reflect portfolio rebalancing rather than a firm view on fundamentals. Here’s Why Gator Capital Sold PayPal (PYPL)
• Neutral Sentiment: Transaction revenue commentary is mixed — Q4 transaction revenues rose modestly but take‑rate pressure and a flat 2026 TM$ outlook cloud the growth story. Monitor take‑rate and TPV trends in upcoming updates. PYPL's Transaction Revenues: Will it Pave the Way or Hinder Growth?
• Negative Sentiment: Widespread securities‑class action activity — Multiple firms have filed suits or are soliciting lead‑plaintiff applicants alleging misstatements during Feb. 25, 2025–Feb. 2, 2026; this increases legal risk and potential headline volatility. PYPL Investors Have Opportunity to Lead PayPal Securities Fraud Lawsuit
• Negative Sentiment: Analyst cut on fundamentals — Truist cut estimates and lowered the price target to $39 (Sell), citing slower volume and take‑rate compression; this is a headwind for sentiment and target/ratings‑driven flows. Truist Lowers PayPal Estimates
• Negative Sentiment: Leadership change + weak results scrutiny — Notices from plaintiff firms link the CEO transition and the company’s weak quarter, heightening uncertainty around execution and investor confidence. PayPal CEO Exit Coincides With Weakest Quarterly Performance
• Negative Sentiment: Insider selling — PayPal’s CAO sold 1,213 shares (large % reduction in his holdings), a disclosure that may be read negatively by some investors. SEC Filing: Insider Sale

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Brighton Jones LLC boosted its stake in PayPal by 15.2% in the 4th quarter. Brighton Jones LLC now owns 6,989 shares of the credit services provider's stock worth $596,000 after purchasing an additional 924 shares during the period. Revolve Wealth Partners LLC acquired a new position in PayPal in the 4th quarter valued at approximately $248,000. Sivia Capital Partners LLC lifted its position in PayPal by 41.5% in the 2nd quarter. Sivia Capital Partners LLC now owns 4,470 shares of the credit services provider's stock worth $332,000 after buying an additional 1,310 shares in the last quarter. United Bank boosted its stake in shares of PayPal by 40.1% during the 2nd quarter. United Bank now owns 17,388 shares of the credit services provider's stock valued at $1,292,000 after buying an additional 4,974 shares during the period. Finally, Chicago Partners Investment Group LLC increased its stake in shares of PayPal by 23.7% in the second quarter. Chicago Partners Investment Group LLC now owns 7,958 shares of the credit services provider's stock worth $610,000 after acquiring an additional 1,524 shares during the last quarter. Institutional investors own 68.32% of the company's stock.

Wall Street Analyst Weigh In

Several analysts recently issued reports on the company. Raymond James Financial set a $48.00 price target on PayPal in a report on Tuesday, February 3rd. KeyCorp reiterated a "hold" rating on shares of PayPal in a research report on Wednesday, October 22nd. Wells Fargo & Company lowered their target price on PayPal from $67.00 to $48.00 and set an "equal weight" rating on the stock in a research report on Wednesday, February 4th. Evercore cut their target price on PayPal from $65.00 to $40.00 and set an "in-line" rating on the stock in a research note on Tuesday, February 3rd. Finally, Citigroup reduced their price target on PayPal from $60.00 to $42.00 and set a "neutral" rating for the company in a research report on Wednesday, February 4th. Nine research analysts have rated the stock with a Buy rating, thirty have assigned a Hold rating and five have issued a Sell rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $61.03.

About PayPal

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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