BTIG Maintains Neutral on PayPal (PYPL) Ahead of Q4 2025 Earnings

PayPal Holdings, Inc. (NASDAQ:PYPL) ranks among the stocks with the lowest forward PE ratios. On January 26, BTIG reaffirmed its Neutral rating on PayPal Holdings, Inc. (NASDAQ:PYPL) in advance of the company’s fourth-quarter 2025 earnings announcement. According to the firm, PYPL shares have dropped 19% since the company’s third-quarter 2025 earnings report on October 28.

PayPal Holdings, Inc. (NASDAQ:PYPL) management has said before that the company’s fiscal year 2026 growth is expected to decrease, while operational expenses are projected to rise at the same rate as trade margin dollars. Meanwhile, Wall Street currently expects trade margin dollars to rise by 4% in FY26, a decline from 6% in FY25, with adjusted EPS growth of 8%, as opposed to 15% in FY25.

Although BTIG thinks PayPal’s 2026 investments in buy-now-pay-later services, agentic commerce (including its acquisition of Cymbio), and current product engagement are suitable emphasis areas, it does not anticipate a noticeable return on investment until at least FY27.

PayPal Holdings, Inc. (NASDAQ:PYPL), based in San Jose, California, operates a technology platform that enables digital payments for merchants and customers worldwide. The company provides payment services under several brands, including PayPal, Credit, Braintree, Venmo, Xoom, and Zettle.

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Disclosure: None. This article is originally published at Insider Monkey.