9 Stocks Big Short’s Michael Burry Is Betting On

Page 3 of 3

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

Number of Hedge Fund Holders: 78

On April 24, Matthew Coad, an analyst at Truist, kept his Sell rating and increased the target price to $45 from $39 on PayPal Holdings, Inc. (NASDAQ:PYPL). The price target was assigned after analyzing the Q1 expectations of Payments and Capital Market names. The quarterly results of U.S. banks point towards higher volume for the payments group. So far in 2026, consumer spending has accelerated, and the lower valuations have therefore become even more attractive. The analysts were quick to add, though, that some stocks within the sector had the potential for downward earnings revision, which means picking the right stock is key and comes with its own risks.

Similarly, on April 22, Andrew Bauch of BMO set a target price of $52 and assigned a Market Perform rating to PayPal Holdings, Inc. (NASDAQ:PYPL). The firm believes that the company carries a huge risk as competition from peers continues to challenge it. This risk is priced in to some extent, as the stock trades at an earnings multiple at its three-year low. Lower expectations and a planned buyback could help protect investors from significant downside going forward, according to the analyst.

PayPal Holdings, Inc. (NASDAQ:PYPL) operates a technology platform that enables businesses and customers worldwide to send and receive digital payments. The company offers payment solutions under the names PayPal Credit, Hyperwallet, Venmo, PayPal, Xoom, Honey, Braintree, and Paidy.

While we acknowledge the potential of PYPL to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PYPL and that has 100x upside potential, check out our report about the cheapest AI stock.

Click to continue reading and see the 5 Stocks Big Short’s Michael Burry Is Betting On.

Disclosure: None. Follow Insider Monkey on Google News.

Page 3 of 3