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Unlocking Q1 Potential of Paypal (PYPL): Exploring Wall Street Estimates for Key Metrics

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Analysts on Wall Street project that Paypal (PYPL - Free Report) will announce quarterly earnings of $1.20 per share in its forthcoming report, representing an increase of 2.6% year over year. Revenues are projected to reach $7.5 billion, increasing 6.6% from the same quarter last year.

Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.

Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.

While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.

In light of this perspective, let's dive into the average estimates of certain Paypal metrics that are commonly tracked and forecasted by Wall Street analysts.

It is projected by analysts that the 'Revenues from other value added services' will reach $711.39 million. The estimate indicates a year-over-year change of +5.2%.

The consensus estimate for 'Transaction revenues' stands at $6.80 billion. The estimate points to a change of +6.8% from the year-ago quarter.

According to the collective judgment of analysts, 'Total Payment Volume (TPV)' should come in at $394.05 billion. Compared to the current estimate, the company reported $354.51 billion in the same quarter of the previous year.

The consensus among analysts is that 'Transaction margin' will reach 43.9%. The estimate compares to the year-ago value of 47.1%.

Analysts' assessment points toward 'Active accounts' reaching 427. Compared to the present estimate, the company reported 433 in the same quarter last year.

The combined assessment of analysts suggests that 'Number of payment transactions' will likely reach 6,493. Compared to the present estimate, the company reported 5,835 in the same quarter last year.

View all Key Company Metrics for Paypal here>>>

Paypal shares have witnessed a change of -2.6% in the past month, in contrast to the Zacks S&P 500 composite's -3% move. With a Zacks Rank #3 (Hold), PYPL is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


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