Mizuho upgraded the stock to “buy” from “neutral”
Digital payment platform PayPal Holdings Inc (NASDAQ:PYPL) is up 3.4% at $63.13 at last glance, after an upgrade from Mizuho to “buy” from “neutral.” The firm also threw in a hefty price-target hike to $90 from $68, a 47.4% premium to last session’s close, praising the company’s Fastlane option, which aims to boost the speed of guest checkout.
It’s also worth noting that PayPal announced that it was launching an ad network based on user purchase data from millions of its shoppers earlier this week. Headed for its first monthly loss in three months, the equity is holding on to a 2.1% year-to-date gain.
Of the 37 analysts in coverage, 26 still carry a “hold” rating on the stock, leaving plenty of room for further upgrades. The 12-month consensus price target of $76.39 is a 21.8% premium to current levels.
When betting on PYPL’s next move, options look like a good way to go. The stock’s Schaeffer’s Volatility Index (SVI) of 29% ranks in the low 9th percentile of its annual range, meaning options traders are pricing in low volatility expectations at the moment.