PayPal stock: buy or sell?

PYPL stock price: $116.04 0.55% At close on January 17th, 2020

Updated on:
January 17th, 2020

5

PayPal shares stepped up 0.55% to $116.04 yesterday. Counting Friday, it's been 3 climbing days in a row, soaring $1.40 or 1.21%.

PayPal Holdings, Inc. operates as a technology platform company that enables digital and mobile payments on behalf of consumers and merchants worldwide.

Should I buy PayPal stock?

Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. Trading strategies are meant for helping you in the decision process of what stocks to choose and when is the best time to buy them. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

Currently, PayPal stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is PayPal stock a buy?

Banks and financial institutions publish stock ratings everyday. At Stocks2.com, we collected 15 ratings published for PYPL stock in the last month.

The general sentiment of these ratings is bullish for PYPL stock, with 11 positive ratings.
Is PYPL a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-9-9Citigroupn/aBuy
2019-9-19Raymond Jamesn/aOutperform
2019-9-13Bank of American/aBuy
2019-9-12Canaccord GenuityHoldBuy
2019-8-15Wedbushn/aOutperform
2019-8-13GuggenheimNeutralBuy
2019-7-29GuggenheimNeutralSell
2019-7-26Berenberg Bankn/aBuy
2019-7-25Wells Fargo & Con/aOutperform
2019-7-25Robert W. Bairdn/aOutperform
2019-7-25Nomuran/aBuy
2019-7-25KeyCorpOverweightIn-Line
2019-7-25Craig HallumBuyPositive
2019-7-25Canaccord Genuityn/aHold
2019-7-19Wedbushn/aOutperform

PayPal stock analysis

Daily outlook

Shares of PayPal closed yesterday at $116.04 and stepped up a tiny 0.55%.

Shares of PayPal ended yesterday at $116.04 and stepped up a tiny 0.55%. Since price and SMA200d lines crossed up on Jan 2nd, PYPL climbed $7.87 (7.28%).

PYPL stock chart (daily)

Weekly outlook

PayPal shares escalated 2.75% this week, ending at $116.04. Late November 2019 PYPL climbed an astounding 5.78% in just one week.

PayPal shows a strong mid-term uptrend with several rising tops and rising bottoms. Since its last bottom late December 2019, PYPL stock climbed unceasignly breaking out above its last top at $108.46. Since last week when PYPL stock price broke up the SMA40w line, it gained $7.28 (6.69%). Far behind is the all-time high PayPal recorded by mid July 2019 but price is just -4.48% below that top.

PYPL stock chart (weekly)

PayPal stock price history

PayPal IPO was on July 6th, 2015 at $38.00 per share1. Since then, PYPL stock grew a 205.40%, with a yearly average of 51.40%. If you had invested $1,000 in PayPal stock in 2015, it would worth $2,054.00 today.

1: Adjusted price after possible price splits or reverse-splits.

PayPal stock historical price chart

PYPL stock reached all-time highs on July with a price of $121.48.

PayPal stock price target is $128.20

How much a stock will be priced tomorrow or next week is quite unpredictable However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' PYPL stock price predictions in the hope that they will be met as they may be wrong and not met. For the last month we found 12 price forecasts for PayPal stock:
PYPL stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-9-9CitigroupRaises Target$124.00$137.0010.5%
2019-9-19Raymond JamesLowers Target$129.00$122.00-5.4%
2019-9-13Bank of AmericaReiterates$131.00$127.00-3.1%
2019-9-12Canaccord GenuityUpgrades$110.00$118.007.3%
2019-7-26Berenberg BankReiteratesn/a$125.00-
2019-7-25Wells Fargo & CoReiterates$120.00$135.0012.5%
2019-7-25Robert W. BairdRaises Target$118.00$120.001.7%
2019-7-25NomuraRaises Target$123.00$139.0013%
2019-7-25KeyCorpReiterates$118.00$125.005.9%
2019-7-25Craig HallumReiterates$125.00$140.0012%
2019-7-25Canaccord GenuityRaises Target$105.00$110.004.8%
2019-7-19WedbushReiterates$125.00$140.0012%
(in average)$120.70$128.206.0%
Moving in a range from $140.00 and $110.00, the price forecast for PayPal stock is $128.20. In average, analysts' outlook on PYPL price forecast is positive, upgrading the prediction by a 6.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

After presenting its last earnings report on April, PayPal . Unfortunately, reported EPS is not yet available in our database.
PYPL earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.34n/a
2017-Q32017-10-190.430.467.0%
2017-Q42018-01-310.520.555.8%
2018-Q12018-04-250.410.459.8%
2018-Q22018-07-250.410.447.3%
2018-Q32018-10-180.390.427.7%
2018-Q42019-01-300.520.531.9%
2019-Q12019-04-230.68n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

Compared to 2017, last anual revenues report draw an astounding growth of 18.00% to $15,451.00 million USD. Nevertheless, its profit margin (compared to revenues) stayed steady to 13.31%, that is $2,057.00 million.

To have an updated picture of the financial situation of PayPal, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual PayPal TTM sales up to March 2019 were $15,894.00 and earnings were $2,213.00 million USD. When comparing this TTM figures with the last reported annuality, we can esteem PayPal business evolution since December 2018: Annual sales up to March, compared to lastest yearly report, raised a slightly good 2.87%. Slightly worse, profit margin (net income/revenues) remained constant at 13.31%.

PYPL annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$6,730 M-$955 M14.2%-
2014$8,025 M19.24%$419 M5.2%-56.13%
2015$9,248 M15.24%$1,228 M13.3%193.08%
2016$10,842 M17.24%$1,401 M12.9%14.09%
2017$13,094 M20.77%$1,795 M13.7%28.12%
2018$15,451 M18.00%$2,057 M13.3%14.60%
TTM $15,894 M2.87%$2,213 M13.9%7.58%

Quarterly financial results

PayPal reported $4,128.00 M in sales for 2019-Q1, a -2.32% decline compared to previous quarter. Reported quarter income marked $667.00 million with a profit margin of 16.16%. Profit margin inched a 2.34% compared to previous quarter when profit margin was 13.82%. When comparing revenues to same quarter last year, PayPal sales marked an amazing gain and rocketed a 12.02%.
PYPL quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$3,120 M-$411 M13.2%-
2017-Q3$3,230 M3.53%$380 M11.8%-7.54%
2017-Q4$3,744 M15.91%$620 M16.6%63.16%
2018-Q1$3,685 M-1.58%$511 M13.9%-17.58%
2018-Q2$3,857 M4.67%$526 M13.6%2.94%
2018-Q3$3,683 M-4.51%$436 M11.8%-17.11%
2018-Q4$4,226 M14.74%$584 M13.8%33.94%
2019-Q1$4,128 M-2.32%$667 M16.2%14.21%

PayPal ownership

When you are planning to buy shares of a company, it's worth to have a look its ownership structure.

PayPal shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.10% of all shares.

Bearish positions for PYPL stock account 0.00%, no big difference from last month.

For a better understanding, the following table shows ownership data compared to other related stocks:

PYPL
Market cap$135.8 B
Total shares1,170.0 M
Float shares1,170.0 M
  - Institutional holdings (%)84.2%
  - Insider holdings (%)0.1%
Shares in short selling0.0%

PayPal summary

Friday, January 17th, 2020
Open$116.45
Close$116.04
Day range$115.47 - $116.70
Previous close$115.40
Session gain0.55%
Average true range$1.97
50d mov avg$107.23
100d mov avg$105.73
200d mov avg$108.70
Daily pattern
Weekly pattern lb03c

PayPal performance

To better understand PayPal performance you must compare its gains with other related stocks in same sector or industry. In the following table, we compare PayPal to :
Stock3m6m12m
PYPLPayPal14.64%-2.18%27.35%

PayPal competitors

Unfortunately, we could not find any public company that could be defined as PayPal competitor. This doesn't mean PayPal does not have any competitor in the market, it's just we could not detected it.

    Latest PayPal stock news