PayPal (NASDAQ:PYPL) Trading Down 5.8% – Here’s What Happened

PayPal Holdings, Inc. (NASDAQ:PYPL) shares dropped 5.8% on Tuesday . The stock traded as low as $76.81 and last traded at $78.72. Approximately 16,383,875 shares traded hands during trading, an increase of 21% from the average daily volume of 13,546,030 shares. The stock had previously closed at $83.59.

Analyst Ratings Changes

Several equities analysts have recently issued reports on the company. TD Cowen boosted their price objective on PayPal from $68.00 to $70.00 and gave the company a “hold” rating in a report on Wednesday, July 31st. Robert W. Baird raised their price objective on shares of PayPal from $77.00 to $80.00 and gave the stock an “outperform” rating in a research note on Wednesday, July 31st. Canaccord Genuity Group reiterated a “buy” rating and issued a $80.00 target price on shares of PayPal in a research note on Wednesday, July 31st. Monness Crespi & Hardt increased their price target on shares of PayPal from $95.00 to $110.00 and gave the stock a “buy” rating in a report on Monday. Finally, Wells Fargo & Company lifted their price objective on shares of PayPal from $70.00 to $75.00 and gave the company an “equal weight” rating in a report on Thursday, October 17th. Seventeen equities research analysts have rated the stock with a hold rating, eighteen have assigned a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $78.77.

PayPal Stock Performance

The stock has a market cap of $83.96 billion, a price-to-earnings ratio of 19.83, a PEG ratio of 1.51 and a beta of 1.44. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.24 and a quick ratio of 1.24. The firm has a fifty day moving average of $75.94 and a 200 day moving average of $67.30.

PayPal (NASDAQ:PYPL) last issued its earnings results on Tuesday, October 29th. The credit services provider reported $1.20 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.07 by $0.13. The business had revenue of $7.85 billion during the quarter, compared to the consensus estimate of $7.88 billion. PayPal had a return on equity of 22.82% and a net margin of 14.30%. The company’s revenue for the quarter was up 6.0% on a year-over-year basis. During the same period last year, the company earned $0.97 EPS. As a group, sell-side analysts forecast that PayPal Holdings, Inc. will post 4.44 EPS for the current year.

Institutional Trading of PayPal

Several hedge funds have recently made changes to their positions in the company. FCG Investment Co acquired a new position in PayPal in the third quarter valued at approximately $1,079,000. Brown Financial Advisors acquired a new position in shares of PayPal in the 2nd quarter valued at $1,454,000. Cape Cod Five Cents Savings Bank purchased a new position in shares of PayPal during the 2nd quarter worth $3,014,000. Distillate Capital Partners LLC grew its holdings in shares of PayPal by 156,934.7% during the 2nd quarter. Distillate Capital Partners LLC now owns 343,906 shares of the credit services provider’s stock worth $19,957,000 after purchasing an additional 343,687 shares during the period. Finally, 1832 Asset Management L.P. increased its position in shares of PayPal by 44.6% during the 1st quarter. 1832 Asset Management L.P. now owns 1,235 shares of the credit services provider’s stock worth $83,000 after purchasing an additional 381 shares during the last quarter. Hedge funds and other institutional investors own 68.32% of the company’s stock.

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.