PayPal (NASDAQ:PYPL) Stock Price Up 5.8% – Here’s Why

24 Feb 2026, 00:40 by Sarita Garza · The Markets Daily

PayPal Holdings, Inc. (NASDAQ:PYPL – Get Free Report) rose 5.8% on Monday . The stock traded as high as $45.69 and last traded at $44.05. Approximately 75,399,630 shares changed hands during trading, an increase of 193% from the average daily volume of 25,768,852 shares. The stock had previously closed at $41.65.

PayPal News Roundup

Here are the key news stories impacting PayPal this week:

Positive Sentiment: Reports say PayPal has fielded unsolicited takeover approaches and is meeting with banks; at least one large rival is reportedly considering a full acquisition — a bid could command a meaningful premium and provide a near-term floor under the stock. PayPal attracts takeover interest after stock slide, Bloomberg News reports
Positive Sentiment: Unusually large call-option buying (roughly a 70% jump in daily call volume) and heavy share turnover indicate speculative/strategic positioning that can amplify intraday upside if takeover chatter continues.
Neutral Sentiment: Trading was briefly halted for a LULD pause as volatility surged — watch for announcements or an orderly M&A process if bids emerge.
Neutral Sentiment: Recent management changes (CEO shake-up) are keeping strategic questions open — could speed M&A discussions but also add near-term execution risk. PayPal Stock Up Monday Despite CEO Shake-Up, Takeover Interest, Lowered Outlook
Negative Sentiment: Multiple securities class-action suits have been filed or solicited against PayPal for alleged misstatements about outlook and growth; lead-plaintiff deadlines are approaching — potential legal costs and distraction. PYPL Investors Have Opportunity to Lead PayPal Holdings, Inc. Securities Fraud Lawsuit
Negative Sentiment: Operational/headline risk: PayPal disclosed a Working Capital product data exposure affecting ~100 users — a reputational and regulatory risk to monitor. PayPal Working Capital Security Lapse Exposes Data of 100 Users
Negative Sentiment: Analyst skepticism: recent downgrades and PayPal’s February quarterly results missed revenue and EPS estimates, and the company cut its near-term outlook — structural growth concerns remain even if a sale occurs. PayPal’s Growth Story Is Dead: Here Is My 2026 Reality Check (Downgrade)

Analyst Ratings Changes

Several analysts have recently commented on PYPL shares. Canaccord Genuity Group restated a “hold” rating and issued a $42.00 target price (down previously from $100.00) on shares of PayPal in a research note on Wednesday, February 4th. Dbs Bank raised shares of PayPal to a “hold” rating in a report on Friday, February 6th. BTIG Research reaffirmed a “neutral” rating on shares of PayPal in a report on Tuesday, February 3rd. BNP Paribas Exane dropped their target price on PayPal from $71.00 to $69.00 and set a “neutral” rating on the stock in a research report on Tuesday, December 2nd. Finally, Zacks Research cut PayPal from a “hold” rating to a “strong sell” rating in a report on Wednesday, February 11th. Nine equities research analysts have rated the stock with a Buy rating, thirty have given a Hold rating and six have given a Sell rating to the company’s stock. According to MarketBeat, PayPal presently has an average rating of “Hold” and an average target price of $61.03.

Check Out Our Latest Research Report on PayPal

PayPal Trading Up 5.8%

The company has a market cap of $40.56 billion, a price-to-earnings ratio of 8.14, a PEG ratio of 1.08 and a beta of 1.43. The company has a debt-to-equity ratio of 0.49, a current ratio of 1.29 and a quick ratio of 1.29. The business’s 50-day simple moving average is $53.00 and its 200-day simple moving average is $62.10.

PayPal (NASDAQ:PYPL – Get Free Report) last released its quarterly earnings results on Tuesday, February 3rd. The credit services provider reported $1.23 EPS for the quarter, missing the consensus estimate of $1.29 by ($0.06). PayPal had a net margin of 15.77% and a return on equity of 25.42%. The business had revenue of $8.68 billion during the quarter, compared to analyst estimates of $8.82 billion. During the same quarter in the prior year, the company earned $1.19 earnings per share. The firm’s revenue for the quarter was up 4.0% compared to the same quarter last year. Research analysts predict that PayPal Holdings, Inc. will post 5.03 earnings per share for the current fiscal year.

PayPal Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, March 25th. Shareholders of record on Wednesday, March 4th will be given a dividend of $0.14 per share. The ex-dividend date of this dividend is Wednesday, March 4th. This represents a $0.56 annualized dividend and a yield of 1.3%. PayPal’s dividend payout ratio (DPR) is presently 10.35%.

Insider Transactions at PayPal

In other news, insider Suzan Kereere sold 37,613 shares of the company’s stock in a transaction on Wednesday, February 18th. The stock was sold at an average price of $41.49, for a total value of $1,560,563.37. Following the sale, the insider directly owned 30,983 shares in the company, valued at $1,285,484.67. This represents a 54.83% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CAO Chris Natali sold 1,213 shares of PayPal stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $40.49, for a total value of $49,114.37. Following the sale, the chief accounting officer owned 404 shares of the company’s stock, valued at approximately $16,357.96. This represents a 75.02% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 42,304 shares of company stock valued at $1,749,493 over the last three months. 0.08% of the stock is currently owned by insiders.

Hedge Funds Weigh In On PayPal

Several institutional investors and hedge funds have recently modified their holdings of the company. Vanguard Group Inc. boosted its holdings in PayPal by 6.5% in the fourth quarter. Vanguard Group Inc. now owns 90,376,927 shares of the credit services provider’s stock valued at $5,276,205,000 after acquiring an additional 5,534,462 shares during the last quarter. Capital Research Global Investors raised its holdings in shares of PayPal by 2.3% in the 3rd quarter. Capital Research Global Investors now owns 27,953,803 shares of the credit services provider’s stock worth $1,874,637,000 after purchasing an additional 636,441 shares during the period. Norges Bank purchased a new position in shares of PayPal in the 4th quarter worth about $949,758,000. Invesco Ltd. lifted its stake in shares of PayPal by 9.7% in the 4th quarter. Invesco Ltd. now owns 12,215,792 shares of the credit services provider’s stock valued at $713,158,000 after purchasing an additional 1,083,843 shares in the last quarter. Finally, Artisan Partners Limited Partnership grew its holdings in shares of PayPal by 1.6% during the 2nd quarter. Artisan Partners Limited Partnership now owns 11,992,031 shares of the credit services provider’s stock worth $891,248,000 after purchasing an additional 184,014 shares during the period. Hedge funds and other institutional investors own 68.32% of the company’s stock.

PayPal Company Profile

(Get Free Report)

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.