Valued at a market cap of $69.4 billion, PayPal Holdings, Inc. (PYPL) is a leading San Jose, California-based multinational financial technology company that facilitates digital payments for consumers and merchants globally. Established in 1998, PayPal has been at the forefront of the digital commerce revolution for over 25 years, operating in approximately 200 markets worldwide.

Companies worth more than $10 billion are generally labeled as “large-cap” stocks, and PayPal fits this criterion perfectly. Its market leadership is based on its vast global user base of over 426 million active accounts, strong brand recognition, and trusted reputation in digital payments. Its platform supports seamless, secure transactions across nearly 200 markets, giving it significant scale and network effects. 

However, the stock has retreated 22.3% from its 52-week high of $93.66 touched on Dec. 9. Shares of the fintech giant have increased 7.9% over the past three months, outpacing the Global X Fintech ETF’s (FINX) 7.3% rise over the same time frame. 

In the longer term, PYPL stock is down 14.7% on a YTD basis, underperforming FINX’s 1.4% gain. In addition, PayPal shares have gained 15% over the past 52 weeks, compared to FINX’s 26.1% return over the same time frame.

While PYPL has been trading above its 50-day moving average since early May, it has dipped below its 200-day moving average since late February.

PayPal shares climbed 2.1% on Apr. 29 after the company posted its Q1 2025 earnings. Revenue reached $7.8 billion, reflecting a modest 1% year-over-year increase, while adjusted EPS surged 23% to $1.33, beating analyst expectations by 15.7%. 

The company also improved its margins, with the operating margin expanding to 19.6%. Total payment volume grew 3% to $417.2 billion, and active accounts reached 436 million. For full-year 2025, PayPal has raised its guidance, projecting adjusted EPS between $4.95 and $5.10.

In the competitive fintech industry, PayPal has struggled to keep up with its rival, Visa Inc. (V), which saw a 16.4% increase on a YTD basis and a 35.1% gain over the past 52 weeks. 

Despite PYPL’s underperformance, analysts remain fairly optimistic about its prospects. The stock has a consensus rating of “Moderate Buy” from 45 analysts' coverage, and its mean price target of $80.23 implies a premium of 10.2% from the current market prices.