We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Why Paypal (PYPL) Dipped More Than Broader Market Today
Read MoreHide Full Article
In the latest market close, Paypal (PYPL - Free Report) reached $59.71, with a -1.74% movement compared to the previous day. This change lagged the S&P 500's 0.16% loss on the day. On the other hand, the Dow registered a loss of 0.14%, and the technology-centric Nasdaq decreased by 0.06%.
Shares of the technology platform and digital payments company have appreciated by 2.15% over the course of the past month, outperforming the Computer and Technology sector's gain of 0.47% and the S&P 500's gain of 1.96%.
Analysts and investors alike will be keeping a close eye on the performance of Paypal in its upcoming earnings disclosure. The company's earnings report is set to go public on July 30, 2024. The company's upcoming EPS is projected at $0.96, signifying a 17.24% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $7.78 billion, showing a 6.77% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.15 per share and a revenue of $31.98 billion, signifying shifts of -18.63% and +7.43%, respectively, from the last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Paypal. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.25% increase. Paypal presently features a Zacks Rank of #1 (Strong Buy).
With respect to valuation, Paypal is currently being traded at a Forward P/E ratio of 14.65. This represents a discount compared to its industry's average Forward P/E of 30.41.
Also, we should mention that PYPL has a PEG ratio of 0.99. 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 average PEG ratio for the Internet - Software industry stood at 1.78 at the close of the market yesterday.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 86, finds itself in the top 35% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Why Paypal (PYPL) Dipped More Than Broader Market Today
In the latest market close, Paypal (PYPL - Free Report) reached $59.71, with a -1.74% movement compared to the previous day. This change lagged the S&P 500's 0.16% loss on the day. On the other hand, the Dow registered a loss of 0.14%, and the technology-centric Nasdaq decreased by 0.06%.
Shares of the technology platform and digital payments company have appreciated by 2.15% over the course of the past month, outperforming the Computer and Technology sector's gain of 0.47% and the S&P 500's gain of 1.96%.
Analysts and investors alike will be keeping a close eye on the performance of Paypal in its upcoming earnings disclosure. The company's earnings report is set to go public on July 30, 2024. The company's upcoming EPS is projected at $0.96, signifying a 17.24% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $7.78 billion, showing a 6.77% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.15 per share and a revenue of $31.98 billion, signifying shifts of -18.63% and +7.43%, respectively, from the last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Paypal. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.25% increase. Paypal presently features a Zacks Rank of #1 (Strong Buy).
With respect to valuation, Paypal is currently being traded at a Forward P/E ratio of 14.65. This represents a discount compared to its industry's average Forward P/E of 30.41.
Also, we should mention that PYPL has a PEG ratio of 0.99. 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 average PEG ratio for the Internet - Software industry stood at 1.78 at the close of the market yesterday.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 86, finds itself in the top 35% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.