Barclays has revised its price target for PayPal (PYPL, Financial), decreasing it from $110 to $80, while maintaining an Overweight rating on the stock. This adjustment comes as the firm anticipates that the removal of minimal tariff exemptions on small packages originating from China will adversely affect non-travel cross-border e-commerce transactions.
The change in expectations is driven by potential disruptions in the flow of goods due to these new tariff rules, which could impact PayPal's business performance in the cross-border e-commerce segment. Barclays has updated its models in the payments industry accordingly, with these adjustments being made in advance of PayPal's upcoming first-quarter financial report.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 36 analysts, the average target price for PayPal Holdings Inc (PYPL, Financial) is $88.61 with a high estimate of $125.00 and a low estimate of $64.00. The average target implies an upside of 42.30% from the current price of $62.27. More detailed estimate data can be found on the PayPal Holdings Inc (PYPL) Forecast page.
Based on the consensus recommendation from 46 brokerage firms, PayPal Holdings Inc's (PYPL, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for PayPal Holdings Inc (PYPL, Financial) in one year is $95.58, suggesting a upside of 53.49% from the current price of $62.27. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the PayPal Holdings Inc (PYPL) Summary page.