PayPal (NASDAQ:PYPL) Shares Gap Down – Time to Sell?

PayPal Holdings, Inc. (NASDAQ:PYPL)’s stock price gapped down prior to trading on Tuesday . The stock had previously closed at $83.59, but opened at $78.04. PayPal shares last traded at $77.41, with a volume of 9,219,634 shares trading hands.

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on PYPL shares. Needham & Company LLC restated a “hold” rating on shares of PayPal in a report on Wednesday. Deutsche Bank Aktiengesellschaft raised their target price on PayPal from $74.00 to $94.00 and gave the stock a “buy” rating in a research note on Monday, September 23rd. StockNews.com downgraded shares of PayPal from a “buy” rating to a “hold” rating in a research report on Saturday, October 26th. Morgan Stanley raised their price target on shares of PayPal from $71.00 to $76.00 and gave the stock an “equal weight” rating in a report on Wednesday. Finally, Oppenheimer assumed coverage on shares of PayPal in a report on Tuesday, October 1st. They set a “market perform” rating on the stock. Seventeen research analysts have rated the stock with a hold rating, eighteen have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $82.03.

PayPal Stock Down 2.6 %

The stock’s 50 day moving average is $76.24 and its 200 day moving average is $67.48. The company has a debt-to-equity ratio of 0.47, a quick ratio of 1.24 and a current ratio of 1.24. The company has a market capitalization of $81.82 billion, a PE ratio of 19.70, a PEG ratio of 1.51 and a beta of 1.44.

PayPal (NASDAQ:PYPL) last issued its quarterly earnings data on Tuesday, October 29th. The credit services provider reported $1.20 EPS for the quarter, beating the consensus estimate of $1.08 by $0.12. PayPal had a net margin of 14.30% and a return on equity of 22.82%. The company had revenue of $7.85 billion during the quarter, compared to analysts’ expectations of $7.88 billion. During the same quarter in the previous year, the company earned $0.97 earnings per share. PayPal’s revenue for the quarter was up 6.0% on a year-over-year basis. On average, sell-side analysts anticipate that PayPal Holdings, Inc. will post 4.44 EPS for the current fiscal year.

Institutional Investors Weigh In On PayPal

Several large investors have recently added to or reduced their stakes in PYPL. Radnor Capital Management LLC raised its holdings in shares of PayPal by 4.9% in the 3rd quarter. Radnor Capital Management LLC now owns 30,095 shares of the credit services provider’s stock valued at $2,348,000 after acquiring an additional 1,395 shares in the last quarter. Catalina Capital Group LLC purchased a new stake in PayPal in the third quarter valued at approximately $205,000. Northstar Asset Management Inc. lifted its position in PayPal by 0.7% during the third quarter. Northstar Asset Management Inc. now owns 86,791 shares of the credit services provider’s stock valued at $6,772,000 after purchasing an additional 578 shares during the last quarter. Crestwood Advisors Group LLC grew its stake in PayPal by 5.6% in the 3rd quarter. Crestwood Advisors Group LLC now owns 3,685 shares of the credit services provider’s stock worth $288,000 after buying an additional 196 shares in the last quarter. Finally, Clarity Financial LLC bought a new position in shares of PayPal in the 3rd quarter worth $209,000. Institutional investors 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.