William Blair Brokers Boost Earnings Estimates for PayPal

Key Points

• William Blair has increased its Q4 2025 earnings per share estimate for PayPal from $1.37 to $1.40, while forecasting $1.68 EPS for Q4 2026.
• PayPal's stock currently holds an average rating of "Moderate Buy" with a price target of $84.57, supported by various analysts' reaffirmations of buy and hold ratings.
• In recent trades, insiders of PayPal have sold shares, with significant transactions by Suzan Kereere and Deborah M. Messemer, leading to notable decreases in their respective holdings.

PayPal Holdings, Inc. (NASDAQ:PYPL - Free Report) - William Blair increased their Q4 2025 earnings per share estimates for shares of PayPal in a research report issued on Tuesday, July 29th. William Blair analyst A. Jeffrey now forecasts that the credit services provider will post earnings per share of $1.40 for the quarter, up from their previous estimate of $1.37. The consensus estimate for PayPal's current full-year earnings is $5.03 per share. William Blair also issued estimates for PayPal's Q4 2026 earnings at $1.68 EPS.

PayPal (NASDAQ:PYPL - Get Free Report) last released its quarterly earnings results on Tuesday, July 29th. The credit services provider reported $1.40 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.30 by $0.10. PayPal had a return on equity of 25.35% and a net margin of 14.49%. The business had revenue of $8.29 billion during the quarter, compared to the consensus estimate of $8.08 billion. During the same quarter in the previous year, the business earned $1.19 EPS.

PYPL has been the topic of a number of other research reports. Truist Financial initiated coverage on shares of PayPal in a report on Monday, June 2nd. They set a "sell" rating and a $68.00 target price on the stock. Morgan Stanley reiterated a "positive" rating on shares of PayPal in a report on Wednesday. Needham & Company LLC reaffirmed a "hold" rating on shares of PayPal in a report on Wednesday, April 30th. Monness Crespi & Hardt decreased their target price on PayPal from $120.00 to $90.00 and set a "buy" rating on the stock in a research note on Tuesday, April 8th. Finally, Compass Point initiated coverage on PayPal in a report on Wednesday, April 23rd. They issued a "sell" rating and a $56.00 target price for the company. Two equities research analysts have rated the stock with a sell rating, fourteen have given a hold rating, nineteen have given a buy rating and one has given a strong buy rating to the company's stock. According to MarketBeat.com, PayPal has an average rating of "Moderate Buy" and an average target price of $84.57.

PayPal Stock Performance

Shares of NASDAQ PYPL traded down $1.65 during midday trading on Friday, reaching $67.11. The company's stock had a trading volume of 15,163,964 shares, compared to its average volume of 11,875,645. The company has a debt-to-equity ratio of 0.56, a current ratio of 1.33 and a quick ratio of 1.30. The stock has a market capitalization of $64.12 billion, a P/E ratio of 14.34, a PEG ratio of 1.06 and a beta of 1.42. The firm has a 50 day moving average price of $73.14 and a 200-day moving average price of $72.41. PayPal has a 12-month low of $55.85 and a 12-month high of $93.66.

Hedge Funds Weigh In On PayPal

A number of hedge funds have recently modified their holdings of the business. Mpwm Advisory Solutions LLC acquired a new stake in PayPal in the 4th quarter valued at about $25,000. Hurley Capital LLC purchased a new stake in PayPal during the fourth quarter worth $27,000. Hilltop National Bank purchased a new stake in PayPal during the second quarter worth $27,000. Bernard Wealth Management Corp. purchased a new stake in shares of PayPal in the fourth quarter valued at $34,000. Finally, Pinney & Scofield Inc. acquired a new position in PayPal in the fourth quarter valued at $35,000. 68.32% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling at PayPal

In related news, Director Deborah M. Messemer sold 3,795 shares of the stock in a transaction on Friday, June 6th. The stock was sold at an average price of $73.00, for a total value of $277,035.00. Following the completion of the transaction, the director directly owned 13,976 shares of the company's stock, valued at approximately $1,020,248. This represents a 21.36% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Chris Natali sold 7,102 shares of the firm's stock in a transaction on Thursday, July 31st. The stock was sold at an average price of $69.35, for a total value of $492,523.70. The disclosure for this sale can be found here. Insiders sold a total of 22,736 shares of company stock valued at $1,620,835 in the last three months. Company insiders own 0.08% of the company's stock.

About PayPal

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.