PayPal (NASDAQ:PYPL) Trading Down 4.5% - Here's Why

PayPal Holdings, Inc. (NASDAQ:PYPL - Get Free Report)'s stock price traded down 4.5% during mid-day trading on Friday . The stock traded as low as $83.91 and last traded at $83.95. 3,070,772 shares changed hands during mid-day trading, a decline of 49% from the average session volume of 6,024,261 shares. The stock had previously closed at $87.94.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on the company. Bank of America raised PayPal from a "neutral" rating to a "buy" rating and boosted their price target for the stock from $86.00 to $103.00 in a research report on Monday, December 9th. Needham & Company LLC restated a "hold" rating on shares of PayPal in a research note on Wednesday, October 30th. Wolfe Research raised shares of PayPal from a "peer perform" rating to an "outperform" rating and set a $107.00 price objective for the company in a research report on Friday, December 13th. Sanford C. Bernstein lowered shares of PayPal from an "outperform" rating to a "market perform" rating and increased their price objective for the company from $75.00 to $80.00 in a research report on Thursday, October 10th. Finally, Robert W. Baird lifted their target price on shares of PayPal from $80.00 to $91.00 and gave the stock an "outperform" rating in a 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 stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $88.65.

PayPal Stock Down 5.2 %

The company has a quick ratio of 1.25, a current ratio of 1.25 and a debt-to-equity ratio of 0.49. The firm has a 50 day moving average of $86.51 and a 200 day moving average of $75.52. The firm has a market cap of $83.57 billion, a price-to-earnings ratio of 19.89, a PEG ratio of 1.66 and a beta of 1.44.

PayPal (NASDAQ:PYPL - Get Free Report) last released its earnings results on Tuesday, October 29th. The credit services provider reported $1.20 earnings per share (EPS) for the quarter, beating 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 company had revenue of $7.85 billion for the quarter, compared to the consensus estimate of $7.88 billion. During the same quarter in the previous year, the company earned $0.97 EPS. PayPal's quarterly revenue was up 6.0% compared to the same quarter last year. As a group, sell-side analysts predict that PayPal Holdings, Inc. will post 4.57 earnings per share for the current year.

Institutional Trading of PayPal

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Bruce G. Allen Investments LLC boosted its stake in PayPal by 7.4% during the 3rd quarter. Bruce G. Allen Investments LLC now owns 1,810 shares of the credit services provider's stock valued at $141,000 after purchasing an additional 124 shares during the last quarter. First United Bank & Trust lifted its stake in PayPal by 6.4% in the third quarter. First United Bank & Trust now owns 2,395 shares of the credit services provider's stock valued at $187,000 after purchasing an additional 145 shares during the last quarter. Ritholtz Wealth Management grew its holdings in PayPal by 3.3% during the third quarter. Ritholtz Wealth Management now owns 4,724 shares of the credit services provider's stock valued at $369,000 after purchasing an additional 152 shares during the period. Laraway Financial Advisors Inc increased its position in PayPal by 3.8% in the third quarter. Laraway Financial Advisors Inc now owns 4,228 shares of the credit services provider's stock worth $330,000 after buying an additional 154 shares during the last quarter. Finally, SYSTM Wealth Solutions LLC raised its stake in PayPal by 50.6% in the 2nd quarter. SYSTM Wealth Solutions LLC now owns 497 shares of the credit services provider's stock valued at $29,000 after acquiring an additional 167 shares during the period. 68.32% of the stock is owned by 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.