PayPal Holdings Inc. (PYPL-Q)
NASDAQ:PYPL
70.28
0.65
(0.92%) 1d
Financials
Technical Analysis
Buy, Sell or Hold?
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This summary was created by AI, based on 20 opinions in the last 12 months.
PayPal Holdings Inc. (PYPL) has garnered a mixed response from various analysts, underscoring both optimism and concerns about its future. While some experts praise its low valuation relative to earnings (trading at 13-15x earnings) and a solid return on equity (ROE) of around 20-21%, others express skepticism about its growth prospects due to significant competition in the payment space. Recent management changes, including a new CEO, have been noted as positive, and there is hope that these will usher in a return to solid growth. Despite some analysts advocating for a stop-loss strategy and cautioning about market challenges, there remains a general belief in the company's potential for upside gains, with price targets ranging from $71 to $94. Moreover, the firm's substantial cash reserves and share buyback strategies lend it an air of financial stability amidst a competitive landscape.
The company has some challenges, no doubt, but these are starting to be reflected in the valuation, now at just 13X earnings. EPS did beat estimates in the Q1, by 15%. PayPal is making progress with sustainable transaction-margin dollar gains, up 7% in 1Q, driven by branded checkout, Venmo and a deceleration in Braintree. The EPS beat in 1Q and maintained 2025 guidance of high-single-digit adjusted EPS gains leave room for absorbing tariff pain and allow for strategic reinvestment in growth initiatives in 2025. Adjusted operating margin widened 270 bps sequentially, paving the way for further efficiency gains. Despite fading interest-income tailwinds and slowing unbranded volume gains (2% FX neutral in 1Q), higher-margin branded transaction growth remains steady (6%). PYPL plans to buy back $6 billion of shares in 2025, with $6-$7 billion in free cash flow, after 1Q repurchases of $1.5 billion. Exposure to China is limited to under 2% of volume. While still not a favourite of ours, we think there is enough here at the right valuation now to give it some more time.
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Premium contentWe like that the financial payment company is trading at 13x earnings and supporting a 20% ROE. Cash reserves are growing, while the company aggressively buys back shares and debt is retired. We recommend setting a stop-loss at $57, looking to achieve $94 — upside potential of 32%. Yield 0%
(Analysts’ price target is $94.29)He called up a five year chart to look at the bigger picture pattern. He likes the cup formation with a trend down and then trending up but not aggressively. The lows and highs are getting higher. It is not overbought. There are enough fundamentals that the stock could do well.
Buy 27 Hold 25 Sell 2
Premium contentOur PAST TOP PICK with PYPL has triggered its stop at $58. To remain disciplined, we recommend covering the position at this time. When combined with our previous recommendations, this will result in a net investment loss of 2%.
PayPal Holdings Inc.(PYPL-Q) Rating
Ranking : 4 out of 5
Bullish - Buy Signals / Votes : 9
Neutral - Hold Signals / Votes : 0
Bearish - Sell Signals / Votes : 3
Total Signals / Votes : 12
PayPal Holdings Inc.(PYPL-Q) Frequently Asked Questions
What is PayPal Holdings Inc. stock symbol?
PayPal Holdings Inc. is a American stock, trading under the symbol PYPL-Q on the NASDAQ (PYPL). It is usually referred to as NASDAQ:PYPL or PYPL-Q
Is PayPal Holdings Inc. a buy or a sell?
In the last year, 12 stock analysts published opinions about PYPL-Q. 9 analysts recommended to BUY the stock. 3 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for PayPal Holdings Inc..
Is PayPal Holdings Inc. a good investment or a top pick?
PayPal Holdings Inc. was recommended as a Top Pick by on . Read the latest stock experts ratings for PayPal Holdings Inc..
Why is PayPal Holdings Inc. stock dropping?
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
Is PayPal Holdings Inc. worth watching?
12 stock analysts on Stockchase covered PayPal Holdings Inc. In the last year. It is a trending stock that is worth watching.
What is PayPal Holdings Inc. stock price?
On 2025-05-30, PayPal Holdings Inc. (PYPL-Q) stock closed at a price of $70.28.
We reiterate PYPL, a leader in online payment systems, as a TOP PICK. The company is introducing AI into its platform for payments that could well be a game changer and renew their position as the market leader. It trades at 15x earnings (half its historical valuation), 3.2x book and supports a ROE of 22%. Cash reserves are once again growing while shares are aggressively bought back. We continue to recommend a stop at $57, looking to achieve $81 -- upside potential of 18%. Yield 0%
(Analysts’ price target is $80.94)