Shares of PayPal (NASDAQ: PYPL) fell over 11% in after-hours trading after the company reported earnings for its third quarter of Fiscal Year 2022. Earnings per share came in at $1.08, which beat analysts’ consensus estimate of $0.96 per share.
Sales increased by 10.8% year-over-year, with revenue hitting $6.85 billion. This beat analysts’ expectations of $6.816 billion.
Looking forward, management now expects revenue and adjusted earnings per share for Fiscal Year 2022 to be $27.53 billion and between $4.07-$4.09, respectively.
For reference, analysts were expecting $27.87 billion in revenue along with an adjusted EPS of $3.93.
Is PayPal Stock a Buy, Sell, or Hold?
PayPal has a Strong Buy consensus rating based on 22 Buys, five Holds, and zero Sells assigned in the past three months. The average PYPL stock price target of $119.54 implies 56.16% upside potential.