PayPal Holdings Stock Could be at its Lowest Point: Technical Analysis

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PAYPAL ($NASDAQ:PYPL): PayPal Holdings (PYPL) is a leading global payments platform that enables customers to make payments, send money, and accept payments for goods and services. Recently, technical analysis suggests that the stock may be at its lowest point. Analyzing the technical aspects of PayPal stock, it appears that a bottom has been reached. This is based on the trendline that was formed over the past few months, which indicates that the stock has reached a point of consolidation.

Additionally, the relative strength index (RSI) is currently trading in a positive range, which is a further indicator of momentum in the stock. With the technical analysis pointing to a bottom in the stock price, investors should be encouraged to take a closer look at the potential upside of investing in PayPal Holdings. Meanwhile, those already holding the stock could consider increasing their positions, as they may be able to benefit from a potentially promising rally.

Market Price

Monday’s trading session for PayPal Holdings stock ended with a minor gain of 0.2%. The stock opened at $59.1 and closed at $59.0, which could be seen as its lowest point since its recent peaks in late June and early July. Technical analysis of the stock indicates that support levels held, helping the stock recover a bit before dropping back down.

Monday’s closing could be seen as a consolidation of the last few weeks’ trading, with the potential to resume an uptrend in the near future. Overall, PayPal Holdings’ stock is currently in a weak position and investors should take this into consideration when making their buying decisions. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Paypal Holdings. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Paypal Holdings. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Paypal Holdings. More…

Key Ratios Snapshot

Some of the financial key ratios for Paypal Holdings are shown below. More…

Analysis

At GoodWhale, we specialize in analyzing the financials of PAYPAL HOLDINGS. Our Star Chart shows that PAYPAL HOLDINGS is strong in growth, profitability, and medium in asset; however, it is weak in dividend. In terms of financial health, PAYPAL HOLDINGS has an impressive score of 10/10, meaning that it is capable of riding out any crisis without the risk of bankruptcy. Based on these findings, we classify PAYPAL HOLDINGS as a ‘rhino’ type of company – one that has achieved moderate revenue or earnings growth. This makes it an attractive investment for longer-term investors looking for stability and steady returns. Investors who seek high-growth investments may find PAYPAL HOLDINGS to be a bit too conservative for their taste. More…

Peers

PayPal Holdings Inc is an American company operating a worldwide online payments system that supports online money transfers and serves as an electronic alternative to traditional paper methods like checks and money orders. The company operates as a payment processor for online vendors, auction sites, and many other commercial users, for which it charges a fee in exchange for benefits such as one-click transactions and password memory. PayPal’s primary competitors are Visa Inc, Mastercard Inc, American Express Co, and Discover Financial Services.

– Visa Inc ($NYSE:V)

Visa Inc is a global payments technology company that connects consumers, businesses, financial institutions, and governments in more than 200 countries and territories. Visa’s mission is to enable global commerce by making it easy, safe, and efficient for people and businesses to move money. The company’s products and services enable consumers and businesses to make purchases, send money, and accept payments. Visa also offers a suite of products and services for financial institutions, merchants, and government entities that help them to meet their customers’ needs.

Visa Inc had a market cap of 401.19B as of 2022. The company’s ROE was 31.6%. Visa Inc operates in more than 200 countries and territories and provides a wide range of products and services to consumers, businesses, financial institutions, and government entities.

– Mastercard Inc ($NYSE:MA)

Mastercard is a technology company that connects consumers, financial institutions, merchants, governments & businesses worldwide, enabling them to use secure & convenient electronic payments. As of 2022, Mastercard has a market cap of 295.32B and a Return on Equity of 110.3%. The company has been operational for over 50 years and is a leading player in the global payments industry. Mastercard is headquartered in Purchase, New York, United States.

– American Express Co ($NYSE:AXP)

American Express Co is a financial services company with a market cap of 104.64B as of 2022. The company provides credit cards, charge cards, and travelers’ cheques to consumers and businesses worldwide. It also operates a global merchant acquiring network. American Express Co was founded in 1850 and is headquartered in New York, New York.

Summary

Investing analysis into PayPal Holdings suggests that the company’s stock may have finally found an entry point. Technical analysis shows that there is strong support for the stock at current levels, and its downward trajectory may have finally come to an end. The relative strength index (RSI) suggests that the stock is not currently overbought or oversold, and the MACD line is much closer to the signal line than it has been for the past few weeks. Additionally, Fibonacci retracements show that the stock has reached a potential buy point.

However, investors should always exercise caution when investing and should do their own research before making any decisions.