WEBVTT

1
00:00:00.040 --> 00:00:03.720
<v Speaker 1>PayPal Holding stock, trading under the symbol p y p L,

2
00:00:04.040 --> 00:00:06.960
<v Speaker 1>closed at sixty nine dollars and twenty cents United States

3
00:00:07.000 --> 00:00:11.160
<v Speaker 1>dollars yesterday, with extended trading taking the price slightly lower

4
00:00:11.279 --> 00:00:14.400
<v Speaker 1>to sixty eight dollars and ninety eight cents early this morning.

5
00:00:15.560 --> 00:00:19.199
<v Speaker 1>Over the past week, the stock has seen volatility, moving

6
00:00:19.199 --> 00:00:22.519
<v Speaker 1>from sixty six dollars and five cents last Wednesday to

7
00:00:22.679 --> 00:00:27.480
<v Speaker 1>yesterday's close, marking a notable uptick. Today's trading volume stands

8
00:00:27.480 --> 00:00:30.519
<v Speaker 1>at just over ten million shares, which is slightly below

9
00:00:30.559 --> 00:00:34.280
<v Speaker 1>the recent average of about eleven million shares, suggesting somewhat

10
00:00:34.359 --> 00:00:38.000
<v Speaker 1>lighter activity compared to the past few sessions. This price

11
00:00:38.039 --> 00:00:41.399
<v Speaker 1>in volume movement places PayPal about twenty one percent above

12
00:00:41.399 --> 00:00:43.960
<v Speaker 1>its fifty two week low of fifty five dollars and

13
00:00:44.039 --> 00:00:47.640
<v Speaker 1>eighty five cents United States dollars, yet about twenty eight

14
00:00:47.640 --> 00:00:50.280
<v Speaker 1>percent below its fifty two week high of ninety three

15
00:00:50.320 --> 00:00:54.079
<v Speaker 1>dollars and sixty six cents United States dollars, indicating a

16
00:00:54.079 --> 00:00:57.320
<v Speaker 1>stock that is recovered from deeper lows but still lags

17
00:00:57.320 --> 00:01:01.679
<v Speaker 1>its peak performance. Recent The news highlights that Paypala is

18
00:01:01.719 --> 00:01:04.680
<v Speaker 1>set to report its third quarter earnings on Tuesday, October

19
00:01:04.719 --> 00:01:09.959
<v Speaker 1>twenty eighth, twenty twenty five, with analysts anticipating earnings per

20
00:01:10.040 --> 00:01:13.000
<v Speaker 1>share of one dollar and twenty one cents United States

21
00:01:13.040 --> 00:01:16.840
<v Speaker 1>dollars and revenue of eight point twenty one billion United

22
00:01:16.840 --> 00:01:21.400
<v Speaker 1>States dollars for d a quarta. The company's official guidance

23
00:01:21.519 --> 00:01:24.560
<v Speaker 1>ranges from one dollar and eighteen cents to one dollar

24
00:01:24.599 --> 00:01:27.680
<v Speaker 1>and twenty two cents earnings per share for this period

25
00:01:28.120 --> 00:01:31.000
<v Speaker 1>and five dollars and fifteen cents to five dollars and

26
00:01:31.079 --> 00:01:35.879
<v Speaker 1>thirty cents for the full fiscal year. Last quarter, PayPal

27
00:01:36.040 --> 00:01:39.680
<v Speaker 1>surprised to the upside, delivering one dollar and forty cents

28
00:01:39.719 --> 00:01:44.079
<v Speaker 1>earnings per share against expectations of one dollar and thirty cents,

29
00:01:44.439 --> 00:01:48.879
<v Speaker 1>driven by revenue that also beat estimates. Management has signaled

30
00:01:48.920 --> 00:01:53.000
<v Speaker 1>confidence in its cash generation, projecting free cash flow between

31
00:01:53.120 --> 00:01:56.640
<v Speaker 1>six billion and seven billion United States dollars for twenty

32
00:01:56.760 --> 00:02:00.400
<v Speaker 1>twenty five, with plans to allocate six billion US United

33
00:02:00.400 --> 00:02:04.680
<v Speaker 1>States dollars to share repurchases. Wall Street analysts currently have

34
00:02:04.760 --> 00:02:08.080
<v Speaker 1>a mixed view on PayPal's stock. Out of thirty one

35
00:02:08.159 --> 00:02:12.960
<v Speaker 1>major analysts, TRACT three recommends selling the stock, twelve suggest holding,

36
00:02:13.280 --> 00:02:16.360
<v Speaker 1>and sixteen see it as a buy, resulting in a

37
00:02:16.400 --> 00:02:20.400
<v Speaker 1>consensus hold rating. The current average twelve month price target

38
00:02:20.479 --> 00:02:24.280
<v Speaker 1>sits around eighty three United States dollars and forty four cents,

39
00:02:24.319 --> 00:02:28.039
<v Speaker 1>with forecasts ranging widely from fifty six United States dollars

40
00:02:28.199 --> 00:02:31.960
<v Speaker 1>to one hundred seven United States dollars, reflecting a broad

41
00:02:32.000 --> 00:02:36.879
<v Speaker 1>spectrum of expectations. Some analysts have recently downgraded their outlooks.

42
00:02:37.319 --> 00:02:40.360
<v Speaker 1>Goldman Sachs, for example, moved to a cell rating in

43
00:02:40.400 --> 00:02:44.800
<v Speaker 1>early October with a seventy United States dollar target, while

44
00:02:44.840 --> 00:02:48.599
<v Speaker 1>others such as RBC Capital maintain a buy with an

45
00:02:48.639 --> 00:02:53.280
<v Speaker 1>eighty eight United States dollar target. This divergence underscores ongoing

46
00:02:53.360 --> 00:02:58.080
<v Speaker 1>uncertainty about PayPal's growth prospects amid increasing competition in digital

47
00:02:58.080 --> 00:03:01.439
<v Speaker 1>payments and a somewhat elevated debt level with a debt

48
00:03:01.479 --> 00:03:05.159
<v Speaker 1>to equity ratio of zero point five six. Despite the

49
00:03:05.199 --> 00:03:10.719
<v Speaker 1>mixed analyst sentiment, PayPal's underlying fundamentals remain solid. Profitability metrics

50
00:03:10.719 --> 00:03:13.280
<v Speaker 1>such as return on equity are healthy at over twenty

51
00:03:13.280 --> 00:03:17.360
<v Speaker 1>five percent, and the company continues to expand, posting single

52
00:03:17.400 --> 00:03:20.800
<v Speaker 1>digit revenue growth in recent years. However, its stock has

53
00:03:20.919 --> 00:03:24.840
<v Speaker 1>underperformed broader industry peers, dropping over fifteen percent in the

54
00:03:24.879 --> 00:03:30.240
<v Speaker 1>past year, which may concern momentum focused investors. Significant insider

55
00:03:30.280 --> 00:03:33.759
<v Speaker 1>selling has also been noted, with several executives reducing their

56
00:03:33.759 --> 00:03:38.080
<v Speaker 1>holdings in recent months, though insider ownership remains below one

57
00:03:38.120 --> 00:03:42.639
<v Speaker 1>percent of toll shares. In summary, PayPal stock is at

58
00:03:42.680 --> 00:03:47.319
<v Speaker 1>a crossroads, trading below its historical highs but showing resilience

59
00:03:47.360 --> 00:03:51.159
<v Speaker 1>above recent lows, set for a pivotal earnings announcement and

60
00:03:51.240 --> 00:03:56.800
<v Speaker 1>facing both optimism and skepticism from analysts. While its financials

61
00:03:56.840 --> 00:04:02.199
<v Speaker 1>and cash flow plans suggest underlying strength, hetitive pressures, insider selling,

62
00:04:02.520 --> 00:04:06.360
<v Speaker 1>and mixed analyst sentiment add layers of caution for potential

63
00:04:06.400 --> 00:04:07.000
<v Speaker 1>investors