With strong hedge fund interest and a low price-to-earnings ratio, PayPal Holdings, Inc. (NASDAQ:PYPL) secures a place on our list of the 10 Most Undervalued Value Stocks to Buy Now.
Following the company’s Q2 earnings release, Mizuho reduced its price target on PayPal Holdings, Inc. (NASDAQ:PYPL) from $87 to $84 on July 30, 2025. The analyst attributed the price revision to a slight dip in branded checkout growth and softer-than-expected transaction margin dollar guidance for the second half of 2025. Meanwhile, the company’s core PayPal button business delivered strong performance when “Buy Now Pay Later” and “Pay with Venmo” segments are included. The latter segment is estimated to deliver 1.5 times the company-wide transaction margin.
Furthermore, Barclays maintained its ‘Buy’ rating on PayPal Holdings, Inc. (NASDAQ:PYPL) on July 30 with a $90 target, and Needham maintained a ‘Hold’ rating the same day. Needham cited short-term e-commerce headwinds and modest EPS growth expectations.
With its global technology platform, PayPal Holdings, Inc. (NASDAQ:PYPL) allows consumers to send, receive, and manage digital payments through multiple funding sources and channels. It is included in our list of the most undervalued value stocks to buy.
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