William Blair Has Pessimistic Outlook of PayPal Q1 Earnings

PayPal Holdings, Inc. (NASDAQ:PYPL) – Stock analysts at William Blair reduced their Q1 2025 earnings per share estimates for shares of PayPal in a report issued on Wednesday, February 5th. William Blair analyst A. Jeffrey now anticipates that the credit services provider will post earnings of $1.19 per share for the quarter, down from their previous estimate of $1.23. The consensus estimate for PayPal’s current full-year earnings is $4.58 per share. William Blair also issued estimates for PayPal’s Q3 2025 earnings at $1.31 EPS, Q4 2025 earnings at $1.37 EPS, FY2025 earnings at $5.13 EPS and FY2026 earnings at $5.68 EPS.

Several other analysts also recently commented on PYPL. Mizuho upped their price objective on PayPal from $90.00 to $100.00 and gave the company an “outperform” rating in a research note on Monday, October 14th. Citigroup lifted their target price on shares of PayPal from $97.00 to $98.00 and gave the company a “buy” rating in a report on Wednesday. Needham & Company LLC reissued a “hold” rating on shares of PayPal in a report on Wednesday. Bank of America raised PayPal from a “neutral” rating to a “buy” rating and lifted their price objective for the company from $86.00 to $103.00 in a report on Monday, December 9th. Finally, Canaccord Genuity Group increased their target price on PayPal from $80.00 to $96.00 and gave the stock a “buy” rating in a research note on Wednesday, October 30th. Fourteen analysts have rated the stock with a hold rating, twenty-one have given a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat, PayPal currently has an average rating of “Moderate Buy” and a consensus target price of $89.29.

PayPal Trading Down 0.8 %

Shares of PayPal stock opened at $78.57 on Thursday. The company’s fifty day moving average is $87.87 and its two-hundred day moving average is $79.39. PayPal has a 1 year low of $55.77 and a 1 year high of $93.66. The company has a debt-to-equity ratio of 0.49, a quick ratio of 1.25 and a current ratio of 1.25. The company has a market capitalization of $78.77 billion, a P/E ratio of 18.75, a PEG ratio of 1.49 and a beta of 1.44.

PayPal (NASDAQ:PYPL) last posted its quarterly earnings data on Tuesday, February 4th. The credit services provider reported $1.19 earnings per share for the quarter, beating the consensus estimate of $1.11 by $0.08. The business had revenue of $8.37 billion during the quarter, compared to the consensus estimate of $8.27 billion. PayPal had a return on equity of 23.44% and a net margin of 14.08%. The company’s revenue was up 4.2% compared to the same quarter last year. During the same period in the prior year, the company earned $1.48 earnings per share.

Institutional Trading of PayPal

A number of hedge funds have recently added to or reduced their stakes in the business. Rosenberg Matthew Hamilton boosted its holdings 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 purchasing an additional 125 shares during the last quarter. Gordian Capital Singapore Pte Ltd acquired a new stake in PayPal in the 3rd quarter valued at $26,000. Sugarloaf Wealth Management LLC increased its holdings in 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 in the last quarter. Planning Capital Management Corp raised its position in PayPal by 186.1% in the third quarter. Planning Capital Management Corp now owns 412 shares of the credit services provider’s stock valued at $32,000 after purchasing an additional 268 shares during the period. Finally, Financial Management Professionals Inc. lifted its stake in shares of PayPal by 125.3% during the third quarter. Financial Management Professionals Inc. now owns 437 shares of the credit services provider’s stock worth $34,000 after purchasing an additional 243 shares in the last quarter. 68.32% of the stock is owned by institutional investors and hedge funds.

PayPal Company Profile

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.