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Paypal (PYPL) Gains As Market Dips: What You Should Know
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Paypal (PYPL - Free Report) closed the most recent trading day at $73.45, moving +0.66% from the previous trading session. This change outpaced the S&P 500's 0.02% loss on the day. Elsewhere, the Dow gained 0.23%, while the tech-heavy Nasdaq lost 0.12%.
Coming into today, shares of the technology platform and digital payments company had gained 10.16% in the past month. In that same time, the Computer and Technology sector gained 3.63%, while the S&P 500 gained 5.14%.
Wall Street will be looking for positivity from Paypal as it approaches its next earnings report date. This is expected to be August 2, 2023. In that report, analysts expect Paypal to post earnings of $1.16 per share. This would mark year-over-year growth of 24.73%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.26 billion, up 6.61% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.95 per share and revenue of $29.52 billion, which would represent changes of +19.85% and +7.26%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Paypal. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Paypal is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Paypal currently has a Forward P/E ratio of 14.75. This represents a discount compared to its industry's average Forward P/E of 43.03.
Also, we should mention that PYPL has a PEG ratio of 0.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. PYPL's industry had an average PEG ratio of 1.78 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 63, which puts it in the top 25% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Paypal (PYPL) Gains As Market Dips: What You Should Know
Paypal (PYPL - Free Report) closed the most recent trading day at $73.45, moving +0.66% from the previous trading session. This change outpaced the S&P 500's 0.02% loss on the day. Elsewhere, the Dow gained 0.23%, while the tech-heavy Nasdaq lost 0.12%.
Coming into today, shares of the technology platform and digital payments company had gained 10.16% in the past month. In that same time, the Computer and Technology sector gained 3.63%, while the S&P 500 gained 5.14%.
Wall Street will be looking for positivity from Paypal as it approaches its next earnings report date. This is expected to be August 2, 2023. In that report, analysts expect Paypal to post earnings of $1.16 per share. This would mark year-over-year growth of 24.73%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.26 billion, up 6.61% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.95 per share and revenue of $29.52 billion, which would represent changes of +19.85% and +7.26%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Paypal. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Paypal is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Paypal currently has a Forward P/E ratio of 14.75. This represents a discount compared to its industry's average Forward P/E of 43.03.
Also, we should mention that PYPL has a PEG ratio of 0.84. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. PYPL's industry had an average PEG ratio of 1.78 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 63, which puts it in the top 25% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.