PayPal (NASDAQ:PYPL) Trading Down 9.1% - Should You Sell?

PayPal Holdings, Inc. (NASDAQ:PYPL - Get Free Report) dropped 9.1% on Thursday . The stock traded as low as $60.95 and last traded at $61.03. Approximately 6,896,617 shares traded hands during trading, a decline of 38% from the average daily volume of 11,196,747 shares. The stock had previously closed at $67.15.

Analyst Ratings Changes

PYPL has been the topic of a number of research analyst reports. StockNews.com upgraded PayPal from a "hold" rating to a "buy" rating in a research report on Sunday. Robert W. Baird reduced their price target on shares of PayPal from $100.00 to $95.00 and set an "outperform" rating on the stock in a research report on Wednesday, February 5th. Needham & Company LLC reaffirmed a "hold" rating on shares of PayPal in a research note on Wednesday, February 26th. DZ Bank raised PayPal from a "hold" rating to a "buy" rating and set a $92.00 price objective on the stock in a report on Friday, February 28th. Finally, Keefe, Bruyette & Woods lowered their target price on PayPal from $104.00 to $85.00 and set an "outperform" rating for the company in a research note on Monday, March 31st. Fifteen research analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and one has issued a strong buy rating to the company's stock. According to data from MarketBeat, PayPal presently has an average rating of "Moderate Buy" and a consensus target price of $89.13.

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PayPal Price Performance

The company has a current ratio of 1.26, a quick ratio of 1.26 and a debt-to-equity ratio of 0.48. The company has a 50 day simple moving average of $73.65 and a 200 day simple moving average of $80.63. The stock has a market cap of $57.90 billion, a P/E ratio of 14.60, a PEG ratio of 1.27 and a beta of 1.60.

PayPal (NASDAQ:PYPL - Get Free Report) last announced its quarterly earnings data on Tuesday, February 4th. The credit services provider reported $1.19 EPS for the quarter, topping analysts' consensus estimates of $1.11 by $0.08. The business had revenue of $8.37 billion for the quarter, compared to analyst estimates of $8.27 billion. PayPal had a net margin of 13.04% and a return on equity of 23.67%. The firm's revenue for the quarter was up 4.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.48 earnings per share. Sell-side analysts forecast that PayPal Holdings, Inc. will post 5.03 earnings per share for the current fiscal year.

Insider Transactions at PayPal

In related news, Director Gail J. Mcgovern sold 2,446 shares of the company's stock in a transaction dated Thursday, February 27th. The stock was sold at an average price of $72.15, for a total transaction of $176,478.90. Following the sale, the director now owns 29,734 shares in the company, valued at approximately $2,145,308.10. This represents a 7.60 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Company insiders own 0.14% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the stock. Mpwm Advisory Solutions LLC bought a new position in shares of PayPal in the fourth quarter valued at $25,000. Gordian Capital Singapore Pte Ltd acquired a new stake in PayPal in the third quarter valued at $26,000. Rosenberg Matthew Hamilton grew its position in shares of PayPal by 67.6% in the 4th quarter. Rosenberg Matthew Hamilton now owns 310 shares of the credit services provider's stock valued at $26,000 after acquiring an additional 125 shares during the period. Hurley Capital LLC acquired a new position in shares of PayPal during the 4th quarter worth about $27,000. Finally, Sugarloaf Wealth Management LLC raised its holdings in shares of PayPal by 344.3% in the 4th quarter. Sugarloaf Wealth Management LLC now owns 351 shares of the credit services provider's stock valued at $30,000 after purchasing an additional 272 shares during the period. 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.