Primecap Management Co. CA Buys Shares of 9,775,170 PayPal Holdings, Inc. $PYPL

Primecap Management Co. CA purchased a new position in shares of PayPal Holdings, Inc. (NASDAQ:PYPL) during the 2nd quarter, Holdings Channel.com reports. The institutional investor purchased 9,775,170 shares of the credit services provider’s stock, valued at approximately $422,092,000.

A number of other hedge funds and other institutional investors have also modified their holdings of the company. Bard Associates Inc. purchased a new stake in PayPal in the 4th quarter worth approximately $25,000. Kelleher Financial Advisors purchased a new position in shares of PayPal during the 3rd quarter worth $30,000. Caitong International Asset Management Co. Ltd lifted its stake in shares of PayPal by 15,233.3% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 460 shares of the credit services provider’s stock worth $27,000 after purchasing an additional 457 shares during the period. Safe Harbor Fiduciary LLC acquired a new stake in shares of PayPal during the fourth quarter worth $28,000. Finally, Advocate Investing Services LLC acquired a new stake in shares of PayPal during the fourth quarter worth $30,000. 68.32% of the stock is currently owned by hedge funds and other institutional investors.

Insider Transactions at PayPal

In related news, CAO Chris Natali sold 1,337 shares of PayPal stock in a transaction on Wednesday, July 29th. The shares were sold at an average price of $58.10, for a total transaction of $77,679.70. Following the transaction, the chief accounting officer owned 2,216 shares in the company, valued at approximately $128,749.60. The trade was a 37.63% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Suzan Kereere sold 4,162 shares of the company’s stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $60.96, for a total transaction of $253,715.52. Following the sale, the insider directly owned 30,983 shares of the company’s stock, valued at approximately $1,888,723.68. This trade represents a 11.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 14,774 shares of company stock valued at $738,249 over the last 90 days. Corporate insiders own 0.63% of the company’s stock.

PayPal Stock Performance

Shares of NASDAQ:PYPL opened at $62.27 on Wednesday. The business has a 50-day moving average of $52.88 and a two-hundred day moving average of $47.77. The firm has a market capitalization of $53.27 billion, a PE ratio of 11.77, a P/E/G ratio of 1.50 and a beta of 1.30. The company has a debt-to-equity ratio of 0.55, a current ratio of 1.29 and a quick ratio of 1.29. PayPal Holdings, Inc. has a 12 month low of $38.46 and a 12 month high of $79.21.

PayPal (NASDAQ:PYPL) last released its quarterly earnings data on Tuesday, July 28th. The credit services provider reported $1.38 earnings per share for the quarter, beating the consensus estimate of $1.28 by $0.10. PayPal had a return on equity of 24.39% and a net margin of 14.36%.The business had revenue of $8.68 billion for the quarter, compared to analyst estimates of $8.47 billion. During the same period in the previous year, the company posted $1.40 EPS. The company’s revenue was up 4.8% compared to the same quarter last year. As a group, research analysts forecast that PayPal Holdings, Inc. will post 5.38 earnings per share for the current year.

PayPal Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, September 25th. Shareholders of record on Friday, September 4th will be paid a dividend of $0.14 per share. This represents a $0.56 annualized dividend and a yield of 0.9%. The ex-dividend date is Friday, September 4th. PayPal’s payout ratio is currently 10.59%.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on PYPL shares. Canaccord Genuity Group reiterated a “hold” rating and set a $55.00 target price on shares of PayPal in a research report on Wednesday, July 29th. Daiwa Securities Group raised shares of PayPal from a “hold” rating to an “outperform” rating in a research note on Wednesday, May 6th. Cantor Fitzgerald increased their price objective on shares of PayPal from $54.00 to $60.00 and gave the stock a “neutral” rating in a report on Monday, August 3rd. Telsey Advisory Group cut shares of PayPal to a “market perform” rating in a research report on Friday, July 24th. Finally, Barclays boosted their target price on shares of PayPal from $55.00 to $57.00 and gave the company an “equal weight” rating in a report on Wednesday, July 29th. Nine analysts have rated the stock with a Buy rating, thirty-four have given a Hold rating and four have given a Sell rating to the company. According to MarketBeat, PayPal presently has a consensus rating of “Hold” and a consensus price target of $56.28.

PayPal Company Profile

PayPal Holdings, Inc operates a global digital payments platform that enables consumers and merchants to send and receive payments online, on mobile devices and at the point of sale. The company provides a broad set of payment solutions, including a digital wallet, merchant payment processing, checkout services, invoicing and fraud-management tools. PayPal’s platform is designed to support e-commerce, in-person retail and person-to-person transfers, targeting both individual consumers and businesses of varying sizes.

Key products and services in PayPal’s portfolio include the PayPal wallet and checkout ecosystem, the Venmo peer-to-peer mobile app, Braintree’s developer-focused payment gateway, Xoom for international money transfers, and PayPal Credit and buy-now-pay-later options.