What Analysts Are Saying About PayPal Holdings Stock

In the last three months, 17 analysts have published ratings on PayPal Holdings PYPL, offering a diverse range of perspectives from bullish to bearish.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 5 4 8 0 0
Last 30D 0 0 1 0 0
1M Ago 0 0 2 0 0
2M Ago 0 0 3 0 0
3M Ago 5 4 2 0 0

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $72.41, along with a high estimate of $118.00 and a low estimate of $55.00. A decline of 18.36% from the prior average price target is evident in the current average.

price target chart

Diving into Analyst Ratings: An In-Depth Exploration

A clear picture of PayPal Holdings's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Anthony Butler Susquehanna Raises Neutral $65.00 $61.00
Dan Dolev Mizuho Lowers Neutral $65.00 $72.00
James Faucette Morgan Stanley Lowers Equal-Weight $66.00 $118.00
David Togut Evercore ISI Group Maintains In-Line $65.00 -
Jason Kupferberg B of A Securities Lowers Neutral $66.00 $77.00
Rufus Hone BMO Capital Announces Market Perform $65.00 -
Dan Dolev Mizuho Lowers Buy $72.00 $92.00
Werner Eisenmann DZ Bank Announces Buy $65.00 -
David Scharf JMP Securities Lowers Market Outperform $68.00 $85.00
Andrew Jeffrey Truist Securities Lowers Buy $65.00 $70.00
Tien-Tsin Huang JP Morgan Lowers Overweight $80.00 $100.00
Kevin Barker Piper Sandler Lowers Neutral $66.00 $67.00
James Faucette Morgan Stanley Lowers Overweight $118.00 $126.00
Daniel Perlin RBC Capital Lowers Outperform $70.00 $86.00
Michael Ng Goldman Sachs Lowers Buy $80.00 $89.00
Joseph Vafi Canaccord Genuity Lowers Buy $100.00 $110.00
Andrew Bauch Wells Fargo Announces Equal-Weight $55.00 -

Key Insights:

  • Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to PayPal Holdings. This offers insight into analysts' perspectives on the current state of the company.
  • Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of PayPal Holdings compared to the broader market.
  • Price Targets: Analysts provide insights into price targets, offering estimates for the future value of PayPal Holdings's stock. This comparison reveals trends in analysts' expectations over time.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into PayPal Holdings's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on PayPal Holdings analyst ratings.

Delving into PayPal Holdings's Background

PayPal was spun off from eBay in 2015 and provides electronic payment solutions to merchants and consumers, with a focus on online transactions. The company had 435 million active accounts at the end of 2022. The company also owns Venmo, a person-to-person payment platform.

Understanding the Numbers: PayPal Holdings's Finances

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Revenue Growth: Over the 3 months period, PayPal Holdings showcased positive performance, achieving a revenue growth rate of 8.36% as of 30 September, 2023. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Financials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: PayPal Holdings's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 13.75% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 5.18%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): PayPal Holdings's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.35% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: PayPal Holdings's debt-to-equity ratio is below the industry average. With a ratio of 0.54, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

How Are Analyst Ratings Determined?

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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