Paypal (PYPL) Stock Moves -1.13%: What You Should Know

In the latest trading session, Paypal (PYPL) closed at $110.91, marking a -1.13% move from the previous day. This change was narrower than the S&P 500's 1.71% loss on the day. At the same time, the Dow lost 0.98%, and the tech-heavy Nasdaq lost 1.87%.

Coming into today, shares of the technology platform and digital payments company had lost 6.43% in the past month. In that same time, the Computer and Technology sector lost 8.08%, while the S&P 500 lost 9.13%.

PYPL will be looking to display strength as it nears its next earnings release. In that report, analysts expect PYPL to post earnings of $0.78 per share. This would mark no growth from the year-ago period. Our most recent consensus estimate is calling for quarterly revenue of $4.80 billion, up 16.28% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $3.45 per share and revenue of $20.85 billion, which would represent changes of +11.29% and +17.32%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for PYPL. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.06% lower. PYPL is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that PYPL has a Forward P/E ratio of 32.53 right now. This represents a discount compared to its industry's average Forward P/E of 41.21.

We can also see that PYPL currently has a PEG ratio of 1.77. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Software was holding an average PEG ratio of 2.35 at yesterday's closing price.

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 165, which puts it in the bottom 36% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.