William Blair Comments on PayPal’s Q1 Earnings (NASDAQ:PYPL)

PayPal Holdings, Inc. (NASDAQ:PYPL) – Investment analysts at William Blair decreased their Q1 2025 earnings estimates for PayPal in a research note issued to investors on Wednesday, February 5th. William Blair analyst A. Jeffrey now forecasts that the credit services provider will earn $1.19 per share for the quarter, down from their previous forecast of $1.23. The consensus estimate for PayPal’s current full-year earnings is $4.58 per share. William Blair also issued estimates for PayPal’s Q3 2025 earnings at $1.31 EPS, Q4 2025 earnings at $1.37 EPS, FY2025 earnings at $5.13 EPS and FY2026 earnings at $5.68 EPS.

Other analysts have also recently issued reports about the stock. UBS Group boosted their price objective on shares of PayPal from $72.00 to $85.00 and gave the company a “neutral” rating in a research note on Wednesday, October 30th. StockNews.com raised PayPal from a “hold” rating to a “buy” rating in a research report on Tuesday, December 24th. Monness Crespi & Hardt raised their price objective on PayPal from $95.00 to $110.00 and gave the stock a “buy” rating in a report on Monday, October 28th. Macquarie lifted their price objective on PayPal from $95.00 to $115.00 and gave the company an “outperform” rating in a research note on Tuesday, December 17th. Finally, BMO Capital Markets increased their target price on shares of PayPal from $73.00 to $82.00 and gave the stock a “market perform” rating in a research report on Wednesday, October 30th. Fourteen investment analysts have rated the stock with a hold rating, twenty-one have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $89.29.

PayPal Price Performance

PayPal stock opened at $79.20 on Thursday. The company has a debt-to-equity ratio of 0.49, a quick ratio of 1.25 and a current ratio of 1.25. The company has a market cap of $79.40 billion, a price-to-earnings ratio of 18.90, a PEG ratio of 1.49 and a beta of 1.44. PayPal has a 1 year low of $55.77 and a 1 year high of $93.66. The firm has a 50 day moving average price of $88.01 and a 200 day moving average price of $79.39.

PayPal (NASDAQ:PYPL) last released its quarterly earnings results on Tuesday, February 4th. The credit services provider reported $1.19 earnings per share for the quarter, topping analysts’ consensus estimates of $1.11 by $0.08. PayPal had a return on equity of 23.44% and a net margin of 14.08%. The company had revenue of $8.37 billion during the quarter, compared to analysts’ expectations of $8.27 billion. During the same period in the previous year, the firm posted $1.48 earnings per share. The business’s revenue for the quarter was up 4.2% compared to the same quarter last year.

Hedge Funds Weigh In On PayPal

Hedge funds have recently added to or reduced their stakes in the business. FMR LLC boosted its holdings in shares of PayPal by 86.3% in the 3rd quarter. FMR LLC now owns 16,762,080 shares of the credit services provider’s stock valued at $1,307,945,000 after buying an additional 7,767,072 shares during the period. Mizuho Securities USA LLC boosted its stake in PayPal by 12,919.4% in the third quarter. Mizuho Securities USA LLC now owns 10,500,000 shares of the credit services provider’s stock valued at $819,315,000 after acquiring an additional 10,419,351 shares during the period. Primecap Management Co. CA grew its holdings in shares of PayPal by 21.6% during the third quarter. Primecap Management Co. CA now owns 6,015,816 shares of the credit services provider’s stock valued at $469,414,000 after purchasing an additional 1,069,356 shares during the last quarter. World Investment Advisors LLC acquired a new stake in shares of PayPal during the 3rd quarter worth approximately $387,435,000. Finally, Robeco Institutional Asset Management B.V. lifted its holdings in shares of PayPal by 174.1% in the 4th quarter. Robeco Institutional Asset Management B.V. now owns 4,233,341 shares of the credit services provider’s stock worth $361,316,000 after purchasing an additional 2,689,162 shares during the last quarter. Institutional investors and hedge funds own 68.32% 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.