TLDR
- PayPal stock gained 3.5% to $69.68 with trading volume up 153%
- New PayPal Links feature enables customizable payment transfers across messaging apps
- Cryptocurrency integration will support Bitcoin, Ethereum, and PYUSD transfers
- Q2 earnings beat estimates at $1.40 per share versus expected $1.30
- Venmo achieved its strongest payment volume growth in three years
PayPal stock rose 3.5% on Monday, closing at $69.68 per share. Trading volume reached 28.29 million shares, well above the 11.18 million average.
The payment processing giant unveiled several new features aimed at expanding its digital payment capabilities. These announcements come as the company seeks to maintain its competitive position.
PayPal Launches Payment Links and Crypto Transfers
On September 15, PayPal introduced PayPal Links. This tool allows users to create customized, one-time links for money transfers.
Users can share these links across multiple messaging platforms. The feature simplifies peer-to-peer transactions without requiring recipient information upfront.
The company also announced cryptocurrency integration into its peer-to-peer payment system. U.S. users will be able to send Bitcoin, Ethereum, and PYUSD directly through PayPal.
Recipients can receive crypto in compatible digital wallets including Venmo. This marks an expansion of PayPal’s cryptocurrency offerings beyond buying and holding.
Strong Quarterly Results
PayPal reported second quarter earnings on July 29. The company earned $1.40 per share, beating analyst estimates of $1.30.
Revenue totaled $8.29 billion versus expectations of $8.08 billion. The earnings beat demonstrates continued strength in PayPal’s core business.
The company posted a 25.35% return on equity. Net margin came in at 14.49%.
Management provided Q3 guidance of $1.18 to $1.22 per share. Full year 2025 guidance ranges from $5.15 to $5.30 earnings per share.
Venmo Shows Growth Momentum
Venmo recorded its largest increase in total payment volume in three years during Q2. This performance highlights the platform’s growing user engagement.
Peer-to-peer and consumer payments grew 10% year-over-year. The growth supports PayPal’s strategy of enhancing its payment ecosystem.
The Venmo performance contributed to overall company strength. PayPal continues investing in features that drive user adoption.
Wall Street Ratings and Insider Activity
Analysts maintain a Hold consensus rating on PayPal stock. Seventeen analysts rate it Buy, fifteen say Hold, and two recommend Sell.
The average price target stands at $84.50. Royal Bank of Canada has an Outperform rating with an $88 target.
Company insiders sold shares in July. EVP Diego Scotti sold 3,838 shares at $69.12, totaling $265,282.
CAO Chris Natali sold 7,102 shares at $69.35 per share. Over three months, insiders sold 15,102 shares worth $1.05 million.
PayPal has a market capitalization of $66.57 billion. The stock trades at a PE ratio of 14.89 with a beta of 1.43.
The 50-day moving average is $69.51 while the 200-day moving average sits at $69.34. Institutional investors hold 68.32% of outstanding shares.
