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Paypal (PYPL) Stock Moves -0.57%: What You Should Know

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Paypal (PYPL - Free Report) ended the recent trading session at $64.66, demonstrating a -0.57% swing from the preceding day's closing price. The stock's performance was ahead of the S&P 500's daily loss of 0.72%. On the other hand, the Dow registered a loss of 1%, and the technology-centric Nasdaq decreased by 0.95%.

The technology platform and digital payments company's shares have seen an increase of 8.42% over the last month, surpassing the Computer and Technology sector's gain of 2.34% and the S&P 500's gain of 2.16%.

The upcoming earnings release of Paypal will be of great interest to investors. It is anticipated that the company will report an EPS of $1.18, marking a 0.85% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $7.5 billion, showing a 6.6% escalation compared to the year-ago quarter.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $5.05 per share and a revenue of $31.94 billion, indicating changes of -0.98% and +7.28%, respectively, from the former year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Paypal. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 1.79% rise in the Zacks Consensus EPS estimate. Right now, Paypal possesses a Zacks Rank of #3 (Hold).

Digging into valuation, Paypal currently has a Forward P/E ratio of 12.86. This represents a discount compared to its industry's average Forward P/E of 29.23.

Investors should also note that PYPL has a PEG ratio of 1.15 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Software industry had an average PEG ratio of 1.92 as trading concluded yesterday.

The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 34, positioning it in the top 14% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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