PayPal (NASDAQ:PYPL) Shares Gap Down - What's Next?

Shares of PayPal Holdings, Inc. (NASDAQ:PYPL - Get Free Report) gapped down prior to trading on Tuesday . The stock had previously closed at $89.51, but opened at $82.26. PayPal shares last traded at $80.91, with a volume of 13,602,463 shares trading hands.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on PYPL shares. Needham & Company LLC reiterated a "hold" rating on shares of PayPal in a research report on Wednesday. Wells Fargo & Company raised their target price on PayPal from $75.00 to $80.00 and gave the company an "equal weight" rating in a research note on Thursday, January 16th. StockNews.com upgraded shares of PayPal from a "hold" rating to a "buy" rating in a research note on Tuesday, December 24th. Robert W. Baird reduced their price objective on PayPal from $100.00 to $95.00 and set an "outperform" rating for the company in a research report on Wednesday. Finally, Keefe, Bruyette & Woods raised their target price on PayPal from $92.00 to $104.00 and gave the company an "outperform" rating in a research report on Monday, December 9th. Fourteen analysts have rated the stock with a hold rating, twenty-one have given a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $89.29.

PayPal Stock Down 1.6 %

The company has a current ratio of 1.25, a quick ratio of 1.25 and a debt-to-equity ratio of 0.49. The company has a market cap of $76.48 billion, a price-to-earnings ratio of 18.45, a P/E/G ratio of 1.49 and a beta of 1.44. The business has a fifty day moving average price of $87.71 and a two-hundred day moving average price of $79.38.

PayPal (NASDAQ:PYPL - Get Free Report) last issued its earnings results on Tuesday, February 4th. The credit services provider reported $1.19 earnings per share for the quarter, topping the consensus estimate of $1.11 by $0.08. The company had revenue of $8.37 billion for the quarter, compared to analyst estimates of $8.27 billion. PayPal had a return on equity of 23.44% and a net margin of 14.08%. The business's revenue was up 4.2% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.48 EPS. On average, equities analysts predict that PayPal Holdings, Inc. will post 4.58 earnings per share for the current year.

Institutional Investors Weigh In On PayPal

Large investors have recently bought and sold shares of the business. FMR LLC lifted its stake in shares of PayPal by 86.3% in the third quarter. FMR LLC now owns 16,762,080 shares of the credit services provider's stock worth $1,307,945,000 after buying an additional 7,767,072 shares during the last quarter. Mizuho Securities USA LLC raised its holdings in PayPal by 12,919.4% in the 3rd quarter. Mizuho Securities USA LLC now owns 10,500,000 shares of the credit services provider's stock valued at $819,315,000 after acquiring an additional 10,419,351 shares in the last quarter. Charles Schwab Investment Management Inc. lifted its position in PayPal by 1.3% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 6,615,476 shares of the credit services provider's stock worth $564,631,000 after purchasing an additional 84,337 shares during the period. Primecap Management Co. CA boosted its position in shares of PayPal by 21.6% during the 3rd quarter. Primecap Management Co. CA now owns 6,015,816 shares of the credit services provider's stock valued at $469,414,000 after acquiring an additional 1,069,356 shares in the last quarter. Finally, World Investment Advisors LLC bought a new position in shares of PayPal during the third quarter valued at $387,435,000. 68.32% of the stock is currently owned by institutional investors.

PayPal Company Profile

PayPal Holdings, Inc operates a technology platform that enables digital payments on behalf of merchants and consumers worldwide. It operates a two-sided network at scale that connects merchants and consumers that enables its customers to connect, transact, and send and receive payments through online and in person, as well as transfer and withdraw funds using various funding sources, such as bank accounts, PayPal or Venmo account balance, PayPal and Venmo branded credit products comprising its installment products, credit and debit cards, and cryptocurrencies, as well as other stored value products, including gift cards and eligible rewards.