Goldman Sachs has downgraded PayPal Holdings Inc (PYPL) from Neutral to Sell, reflecting heightened caution regarding the company's outlook. This revision, announced on October 12, 2025, may indicate concerns about competitive pressures, market conditions, or execution risks that could affect performance.
Currently, PayPal's shares trade at $67.40, with a market capitalisation of $61.0 billion. The company operates within the financial services sector, providing technology platforms that facilitate digital payments and enhance commerce experiences for both merchants and consumers. PayPal boasts 434 million active accounts across approximately 200 markets, connecting users through its suite of brands, including PayPal, Venmo, and Braintree.
Analysts' ratings and price targets offer insights based on extensive research and financial models. However, they are contingent on various assumptions that may not materialise. Investors are advised to consider a range of factors, including company fundamentals, competitive positioning, and industry trends, when making decisions. Analyst perspectives should complement other data rather than serve as the sole basis for investment choices.
It is important to note that analyst ratings can change as new information emerges, and different analysts may hold divergent views on the same company. As of November 1, 2025, the analyst consensus on PayPal is classified as Buy, with 8 Strong Buy, 16 Buy, 24 Hold, 2 Sell, and 1 Strong Sell ratings among 51 analysts surveyed.
Upcoming earnings reports are scheduled, with estimates indicating EPS of $1.50 and revenue of $8.9 billion for July 26, 2026, and EPS of $1.43 with revenue of $8.5 billion for April 26, 2026. Recent earnings performance has shown positive surprises, including a Q3 2025 EPS of $1.34 against an estimate of $1.23, marking a 9.4% surprise.
This update provides insight into the shifting landscape for PayPal Holdings Inc as it navigates competitive challenges in the digital payments sector.