What Analysts Are Saying About PayPal Holdings Stock

Analysts' ratings for PayPal Holdings PYPL over the last quarter vary from bullish to bearish, as provided by 14 analysts.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $89.29, with a high estimate of $125.00 and a low estimate of $65.00. Highlighting a 10.43% decrease, the current average has fallen from the previous average price target of $99.69.

Investigating Analyst Ratings: An Elaborate Study

The analysis of recent analyst actions sheds light on the perception of PayPal Holdings by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |--------------------|------------------------|---------------|-----------------|--------------------|--------------------| |Andrew Bauch |Wells Fargo |Lowers |Equal-Weight | $74.00|$80.00 | |Ramsey El-Assal |Barclays |Lowers |Overweight | $80.00|$110.00 | |Jason Kupferberg |B of A Securities |Lowers |Buy | $93.00|$103.00 | |Adam Frisch |Evercore ISI Group |Announces |In-Line | $65.00|- | |Gus Gala |Monness, Crespi, Hardt |Lowers |Buy | $90.00|$120.00 | |Sanjay Sakhrani |Keefe, Bruyette & Woods |Lowers |Outperform | $85.00|$104.00 | |Arvind Ramnani |Piper Sandler |Lowers |Neutral | $76.00|$85.00 | |James Faucette |Morgan Stanley |Raises |Equal-Weight | $80.00|$79.00 | |Andrew Boone |Citizens Capital Markets|Maintains |Market Outperform| $125.00|$125.00 | |Paul Golding |Macquarie |Raises |Outperform | $117.00|$115.00 | |Colin Sebastian |Baird |Lowers |Outperform | $95.00|$100.00 | |Ashwin Shirvaikar |Citigroup |Raises |Buy | $98.00|$97.00 | |James Faucette |Morgan Stanley |Lowers |Equal-Weight | $79.00|$90.00 | |Arvind Ramnani |Piper Sandler |Raises |Neutral | $93.00|$88.00 |

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to PayPal Holdings. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of PayPal Holdings compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of PayPal Holdings's stock. This analysis reveals shifts in analysts' expectations over time.

To gain a panoramic view of PayPal Holdings's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on PayPal Holdings analyst ratings.

Delving into PayPal Holdings's Background

PayPal was spun off from eBay in 2015 and provides electronic payment solutions to merchants and consumers, with a focus on online transactions. The company had 434 million active accounts at the end of 2024. The company also owns Venmo, a person-to-person payment platform.

Unraveling the Financial Story of PayPal Holdings

Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

Revenue Growth: PayPal Holdings's remarkable performance in 3M is evident. As of 31 December, 2024, the company achieved an impressive revenue growth rate of 4.24%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Financials sector.

Net Margin: PayPal Holdings's net margin is impressive, surpassing industry averages. With a net margin of 13.4%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): PayPal Holdings's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 5.52%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): PayPal Holdings's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 1.36%, the company may face hurdles in achieving optimal financial returns.

Debt Management: PayPal Holdings's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.48.

The Basics of Analyst Ratings

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.