William Blair Issues Optimistic Estimate for PayPal Earnings

PayPal Holdings, Inc. (NASDAQ:PYPL) – Analysts at William Blair increased their Q3 2024 earnings per share estimates for PayPal in a note issued to investors on Tuesday, October 15th. William Blair analyst A. Jeffrey now anticipates that the credit services provider will post earnings of $1.13 per share for the quarter, up from their previous estimate of $1.04. William Blair currently has a “Hold” rating on the stock. The consensus estimate for PayPal’s current full-year earnings is $4.42 per share. William Blair also issued estimates for PayPal’s Q4 2024 earnings at $1.19 EPS, FY2024 earnings at $4.58 EPS, Q1 2025 earnings at $1.20 EPS, Q2 2025 earnings at $1.23 EPS, Q3 2025 earnings at $1.22 EPS, Q4 2025 earnings at $1.35 EPS, FY2025 earnings at $5.00 EPS and FY2026 earnings at $5.52 EPS.

Several other research analysts also recently commented on PYPL. Keefe, Bruyette & Woods restated an “outperform” rating and set a $78.00 price objective on shares of PayPal in a research report on Wednesday, September 18th. Evercore ISI upped their price target on shares of PayPal from $65.00 to $70.00 and gave the stock an “in-line” rating in a report on Tuesday, June 25th. Royal Bank of Canada reiterated an “outperform” rating and set a $84.00 price target on shares of PayPal in a report on Wednesday, July 31st. JPMorgan Chase & Co. upped their price target on shares of PayPal from $77.00 to $80.00 and gave the stock an “overweight” rating in a report on Tuesday, August 20th. Finally, TD Cowen increased their price objective on PayPal from $68.00 to $70.00 and gave the company a “hold” rating in a report on Wednesday, July 31st. Seventeen research analysts have rated the stock with a hold rating, eighteen have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, PayPal has a consensus rating of “Moderate Buy” and a consensus price target of $77.52.

PayPal Stock Down 1.2 %

Shares of PYPL opened at $79.82 on Thursday. PayPal has a one year low of $50.25 and a one year high of $82.00. The company has a market cap of $83.50 billion, a P/E ratio of 20.11, a P/E/G ratio of 1.49 and a beta of 1.44. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.24 and a quick ratio of 1.24. The firm has a 50 day simple moving average of $73.83 and a two-hundred day simple moving average of $66.50.

PayPal (NASDAQ:PYPL) last announced its quarterly earnings data on Tuesday, July 30th. The credit services provider reported $1.19 EPS for the quarter, beating the consensus estimate of $0.99 by $0.20. PayPal had a net margin of 14.30% and a return on equity of 22.82%. The business had revenue of $7.89 billion during the quarter, compared to the consensus estimate of $7.82 billion. During the same period in the previous year, the business earned $0.83 earnings per share. The company’s revenue was up 8.2% on a year-over-year basis.

Institutional Investors Weigh In On PayPal

Institutional investors and hedge funds have recently made changes to their positions in the business. Pittenger & Anderson Inc. increased its stake in PayPal by 77.5% in the 1st quarter. Pittenger & Anderson Inc. now owns 394 shares of the credit services provider’s stock valued at $26,000 after buying an additional 172 shares during the last quarter. American National Bank purchased a new stake in shares of PayPal during the 1st quarter worth approximately $27,000. Family Firm Inc. purchased a new stake in shares of PayPal during the 2nd quarter worth approximately $29,000. SYSTM Wealth Solutions LLC increased its stake in shares of PayPal by 50.6% during the 2nd quarter. SYSTM Wealth Solutions LLC now owns 497 shares of the credit services provider’s stock worth $29,000 after purchasing an additional 167 shares during the last quarter. Finally, Register Financial Advisors LLC purchased a new stake in shares of PayPal during the 1st quarter worth approximately $30,000. 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.