Speaker 1: PayPal Holdings is currently trading around sixty eight United States
Speaker 1: dollars per share, which reflects a modest decline of less
Speaker 1: than one per cent from the previous session. Today's trading
Speaker 1: volume is just over thirteen million shares, slightly below its
Speaker 1: recent average and considerably lower than the peaks observed during
Speaker 1: previous earnings reports or major announcements. Over the past year,
Speaker 1: PayPal stock price has fallen more than eleven per cent,
Speaker 1: while its five year performance shows a much sharper sixty
Speaker 1: four per cent decline from its highs near one hundred
Speaker 1: eighty seven United States dollars in twenty twenty. Recent news
Speaker 1: continues to spotlight PayPal's response to evolving regulatory scrutiny, especially
Speaker 1: concerning cross border transaction fees and new compliance requirements in
Speaker 1: both the United States and European Union. This regulatory pressure
Speaker 1: has weighed on investor sentiment, and the stock's liquidity ranking
Speaker 1: has slipped. Analysts mentioned that regulatory risks are likely to
Speaker 1: remain in focus for the foreseeable future. However, despite these headwinds,
Speaker 1: PayPal posted solid quarterly results at the end of July,
Speaker 1: with earnings per share of one dollar and forty cents
Speaker 1: beating analyst expectations by ten cents and revenue at eight
Speaker 1: point two nine billion United States dollars. PayPal maintained a
Speaker 1: net margin just under fifteen percent and posted a notably
Speaker 1: strong return on equity above twenty five percent, suggesting a
Speaker 1: business still generating significant profitability. Notably, PayPal has forecast earnings
Speaker 1: for the third quarter from one dollar and eighteen cents
Speaker 1: to one dollar and twenty two cents per share, and
Speaker 1: projects full year earnings in the range of five dollars
Speaker 1: and fifteen cents to five dollars and thirty cents. This
Speaker 1: guidance has helped maintain analyst interest in the stock. Recently,
Speaker 1: price targets from major firms remain in the range of
Speaker 1: seventy to a hundred United States dollars, with an average
Speaker 1: just about eighty four United States dollars. A majority of
Speaker 1: analysts still rate the stock as a hold, but a
Speaker 1: significant number remain positive, encouraged by growth in merchant solutions
Speaker 1: and ongoing attempts to diversify revenue streams through embedded finance partnerships.
Speaker 1: Institutional buying has been cautious, with advisers such as m
Speaker 1: f A Wealth Advisers and U S Capital wealth advisers
Speaker 1: increasing their positions but not aggressively accumulating shares, likely waiting
Speaker 1: for more clarity after the upcoming third quarter earnings call
Speaker 1: scheduled for late October. Investors and analysts are watching closely
Speaker 1: to see if PayPal's attempts to navigate regulatory changes and
Speaker 1: drive merchant engagement will be enough to help the stock
Speaker 1: recover its momentum