PayPal (NASDAQ:PYPL) Shares Up 0.6% – Here’s Why

PayPal Holdings, Inc. (NASDAQ:PYPL)’s share price shot up 0.6% during mid-day trading on Wednesday . The company traded as high as $86.80 and last traded at $85.61. 1,934,351 shares changed hands during trading, a decline of 85% from the average session volume of 13,159,316 shares. The stock had previously closed at $85.14.

Wall Street Analyst Weigh In

A number of brokerages have issued reports on PYPL. Deutsche Bank Aktiengesellschaft upped their target price on PayPal from $74.00 to $94.00 and gave the stock a “buy” rating in a research report on Monday, September 23rd. StockNews.com raised PayPal from a “hold” rating to a “buy” rating in a research report on Sunday, November 3rd. Monness Crespi & Hardt upped their target price on PayPal from $95.00 to $110.00 and gave the stock a “buy” rating in a research report on Monday, October 28th. Macquarie upped their target price on PayPal from $90.00 to $95.00 and gave the stock an “outperform” rating in a research report on Wednesday, October 30th. Finally, Morgan Stanley upped their target price on PayPal from $71.00 to $76.00 and gave the stock an “equal weight” rating in a research report on Wednesday, October 30th. Sixteen analysts have rated the stock with 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, PayPal has an average rating of “Moderate Buy” and a consensus target price of $83.60.

PayPal Stock Up 5.2 %

The stock has a market capitalization of $89.83 billion, a price-to-earnings ratio of 20.43, a price-to-earnings-growth ratio of 1.54 and a beta of 1.44. The company has a debt-to-equity ratio of 0.49, a current ratio of 1.25 and a quick ratio of 1.25. The firm has a 50 day simple moving average of $82.01 and a 200-day simple moving average of $70.84.

PayPal (NASDAQ:PYPL) last announced its earnings results on Tuesday, October 29th. The credit services provider reported $1.20 earnings per share for the quarter, beating analysts’ consensus estimates of $1.07 by $0.13. PayPal had a return on equity of 23.44% and a net margin of 14.08%. The company had revenue of $7.85 billion during the quarter, compared to analyst estimates of $7.88 billion. During the same period last year, the company posted $0.97 earnings per share. The firm’s quarterly revenue was up 6.0% compared to the same quarter last year. On average, sell-side analysts forecast that PayPal Holdings, Inc. will post 4.57 EPS for the current fiscal year.

Institutional Trading of PayPal

Hedge funds and other institutional investors have recently made changes to their positions in the business. Gordian Capital Singapore Pte Ltd bought a new position in PayPal in the third quarter valued at about $26,000. Planning Capital Management Corp boosted its holdings in PayPal by 186.1% during the third quarter. Planning Capital Management Corp now owns 412 shares of the credit services provider’s stock worth $32,000 after buying an additional 268 shares during the last quarter. Financial Management Professionals Inc. boosted its holdings in PayPal by 125.3% during the third quarter. Financial Management Professionals Inc. now owns 437 shares of the credit services provider’s stock worth $34,000 after buying an additional 243 shares during the last quarter. Legacy Investment Solutions LLC bought a new position in PayPal during the third quarter worth about $36,000. Finally, Family Firm Inc. bought a new position in PayPal during the second quarter worth about $29,000. 68.32% of the stock is currently owned by institutional investors and hedge funds.

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.