PayPal (NASDAQ:PYPL) Issues Q2 2024 Earnings Guidance

PayPal (NASDAQ:PYPL) updated its second quarter 2024 earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of 0.830-0.830 for the period, compared to the consensus estimate of 1.130. The company issued revenue guidance of $7.8 billion-$7.8 billion, compared to the consensus revenue estimate of $7.3 billion. PayPal also updated its FY 2024 guidance to 3.650-3.650 EPS.

PayPal Stock Down 1.9 %

NASDAQ:PYPL traded down $1.28 during mid-day trading on Friday, reaching $65.70. The stock had a trading volume of 15,421,815 shares, compared to its average volume of 16,569,914. The stock’s 50 day simple moving average is $63.56 and its two-hundred day simple moving average is $60.44. PayPal has a 1-year low of $50.25 and a 1-year high of $76.54. The company has a market capitalization of $68.73 billion, a price-to-earnings ratio of 16.55, a price-to-earnings-growth ratio of 1.22 and a beta of 1.41. The company has a debt-to-equity ratio of 0.47, a current ratio of 1.28 and a quick ratio of 1.29.

PayPal (NASDAQ:PYPL) last issued its earnings results on Tuesday, April 30th. The credit services provider reported $1.08 earnings per share for the quarter, missing analysts’ consensus estimates of $1.22 by ($0.14). The business had revenue of $7.70 billion for the quarter, compared to analyst estimates of $7.52 billion. PayPal had a return on equity of 21.58% and a net margin of 14.26%. The firm’s revenue for the quarter was up 9.4% on a year-over-year basis. During the same period last year, the company posted $0.86 earnings per share. Equities analysts anticipate that PayPal will post 4.03 EPS for the current year.

Wall Street Analyst Weigh In

Several brokerages have recently commented on PYPL. Morgan Stanley reaffirmed an equal weight rating and issued a $66.00 target price (down previously from $118.00) on shares of PayPal in a research report on Tuesday, January 9th. BTIG Research reiterated a neutral rating on shares of PayPal in a report on Friday, January 5th. Evercore ISI upped their price target on PayPal from $60.00 to $65.00 and gave the company an in-line rating in a report on Wednesday. Stephens upped their target price on shares of PayPal from $70.00 to $75.00 and gave the company an equal weight rating in a research note on Wednesday. Finally, TD Cowen upped their price target on shares of PayPal from $58.00 to $68.00 and gave the company a hold rating in a research report on Wednesday. Twenty-five investment analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company’s stock. According to MarketBeat, the company has a consensus rating of Hold and an average target price of $72.73.

Insider Activity

In other news, SVP Frank Keller sold 7,686 shares of the firm’s stock in a transaction dated Friday, March 1st. The shares were sold at an average price of $60.64, for a total value of $466,079.04. Following the sale, the senior vice president now directly owns 23,430 shares in the company, valued at approximately $1,420,795.20. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 0.14% 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.