5 Safe Stocks To Buy According To Hedge Funds

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

Number of Hedge Fund Holders: 143

PayPal Holding, Inc. (NASDAQ:PYPL) is a pioneer in digital online payments which gained even more relevance during the pandemic-related lockdown. The company reported 7.4 million new users in April 2020. In the past year, PayPal Holding, Inc. (NASDAQ:PYPL) returned 32.48%, outperforming the S&P 500, which gained 28.25% during the same time. The company ranks third on our list of safe stocks to buy according to hedge funds.

In Q2 2021, PayPal Holding, Inc. (NASDAQ:PYPL) posted an EPS of $1.15, beating the estimates by $0.03. The number of users reached 400 million during the quarter, with a 27% year-over-year growth in payment transactions at $4.7 billion. This September, DA Davidson raised its price target on PayPal Holding, Inc. (NASDAQ:PYPL) to $325, with a Buy rating on the shares, highlighting the company’s acquisition of Japanese online payment services company, Paidy.

As of Q2 2021, of the 873 elite funds tracked by Insider Monkey, 143 hedge funds have stakes in PayPal Holding, Inc. (NASDAQ:PYPL), the same as in the quarter before. The total value of these stakes is $16.3 billion.

Harding Loevner mentioned PayPal Holding, Inc. (NASDAQ:PYPL) in its Q2 2021 investor letter. Here is what the firm has to say:

“Digital payments provider PayPal announced strong first-quarter results (with transactions up by over a third) and more product enhancements for its suite of products (including Venmo, Honey, and Braintree) as it continues to deepen its transformation from a digital wallet into a “super-app.”