PayPal (NASDAQ:PYPL) Reaches New 1-Year High – Here’s Why

PayPal Holdings, Inc. (NASDAQ:PYPL)’s share price reached a new 52-week high during trading on Monday . The company traded as high as $88.74 and last traded at $88.60, with a volume of 262815 shares traded. The stock had previously closed at $86.77.

Analysts Set New Price Targets

PYPL has been the topic of a number of research reports. William Blair raised shares of PayPal to a “hold” rating in a report on Tuesday, July 30th. Keefe, Bruyette & Woods reaffirmed an “outperform” rating and set a $78.00 target price on shares of PayPal in a report on Wednesday, September 18th. TD Cowen boosted their price objective on PayPal from $68.00 to $70.00 and gave the company a “hold” rating in a research report on Wednesday, July 31st. JPMorgan Chase & Co. increased their target price on PayPal from $80.00 to $90.00 and gave the stock an “overweight” rating in a research report on Wednesday, October 30th. Finally, Morgan Stanley boosted their price target on shares of PayPal from $71.00 to $76.00 and gave the company an “equal weight” rating in a report on Wednesday, October 30th. Sixteen equities research analysts have rated the stock with a hold rating, nineteen have given a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $83.60.

PayPal Price Performance

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 firm has a market cap of $87.16 billion, a price-to-earnings ratio of 20.75, a price-to-earnings-growth ratio of 1.56 and a beta of 1.43. The stock has a 50-day moving average of $81.04 and a two-hundred day moving average of $70.06.

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

Institutional Investors Weigh In On PayPal

Hedge funds have recently bought and sold shares of the business. Price T Rowe Associates Inc. MD lifted its position in shares of PayPal by 1.7% in the first quarter. Price T Rowe Associates Inc. MD now owns 1,472,635 shares of the credit services provider’s stock worth $98,653,000 after purchasing an additional 23,991 shares in the last quarter. B. Riley Wealth Advisors Inc. increased its stake in PayPal by 9.9% in the 1st quarter. B. Riley Wealth Advisors Inc. now owns 46,381 shares of the credit services provider’s stock valued at $3,107,000 after buying an additional 4,169 shares during the period. Plato Investment Management Ltd boosted its stake in shares of PayPal by 1,030.1% during the 1st quarter. Plato Investment Management Ltd now owns 30,162 shares of the credit services provider’s stock valued at $2,021,000 after buying an additional 27,493 shares during the period. New Covenant Trust Company N.A. acquired a new stake in shares of PayPal during the 1st quarter valued at $64,000. Finally, Citizens Financial Group Inc. RI grew its holdings in shares of PayPal by 5.4% during the 1st quarter. Citizens Financial Group Inc. RI now owns 10,485 shares of the credit services provider’s stock valued at $702,000 after acquiring an additional 538 shares in the last quarter. 68.32% of the stock is owned by hedge funds and other institutional investors.

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.