5 Best Hot Stocks To Buy Right Now

3. PayPal Holdings, Inc. (NASDAQ:PYPL)

Number of Hedge Fund Holders: 110

PayPal Holdings, Inc. (NASDAQ:PYPL) is an American multinational financial technology company operating an online payments system, enabling the digital transfer of funds across the world, with over 416 million active accounts as of Q3 2021.

PYPL stock has been losing value over the past few weeks amid a broader decline in tech stocks and the company’s weak earnings report. However, some analysts believe the fall offers an attractive entry point.

Ken Fisher’s Fisher Asset Management is the biggest stakeholder of PayPal Holdings, Inc. (NASDAQ:PYPL) as of the end of the fourth quarter, according to the data tracked by Insider Monkey. Overall, 110 funds were bullish on PayPal Holdings, Inc. (NASDAQ:PYPL) by the end of the December quarter, versus the 123 funds in the previous quarter.

Alger mentioned PayPal Holdings, Inc. (NASDAQ:PYPL) in its Q3 2021 investor letter. Here is what the firm has to say:

“PayPal Holdings, Inc. was among top detractors from performance. PayPal is a pure play on e-commerce and electronic payments which is driving the company’s high unit volume growth. As a digital payments company, it is helping to facilitate the shift to a cashless society. The coronavirus pandemic has significantly accelerated the adoption of e-commerce and the utilization of digital payments platforms. In our view, PayPal is currently positioned to benefit the strength in e-commerce trends, including increasing net new active users and increased engagement per user. PayPal also has launched a service enabling its customers to buy, hold and sell cryptocurrency directly from their PayPal account. PayPal’s vision is to become a Super App that integrates payments, commerce and financial services, as well as crypto capabilities. After outperforming earlier in the year, the performance of PayPal shares weakened in the third quarter with the company  facing potentially higher transaction expenses and credit losses.  The higher transaction expenses are driven by a shift by  consumers to the higher cost travel and entertainment  categories which skew toward less profitable credit transactions.”