PayPal (PYPL) stock soared on Tuesday following the release of the digital payments company’s Q3 2025 earnings report. This report started with adjusted earnings per share of $1.34, which easily beat Wall Street’s estimate of $1.20. The company’s adjusted EPS also increased 12% year-over-year.
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Revenue reported by PayPal came in at $8.4 billion, another beat compared to analysts’ estimate of $8.24 billion. The company’s revenue also grew 7% year-over-year. PayPal’s revenue gain came alongside an 8% year-over-year increase in total payment volume to $458.1 billion.
Investors will also note that PayPal announced an agreement with ChatGPT creator OpenAI (PC:OPAIQ). This will embed PayPal into ChatGPT starting next year, which will allow buyers and sellers to complete transactions through the artificial intelligence (AI) application.
PayPal stock was up 14.19% in pre-market trading on Tuesday, following a 0.69% rally on Monday. The shares were down 17.69% year-to-date and 12.49% over the past 12 months.
PayPal Guidance
PayPal updated its guidance for the full year of 2025 in its most recent earnings report. The company now expects adjusted EPS to range from $5.35 to $5.39, up from its previous guidance of $5.15 to $5.30. This updated guidance would have it beat Wall Street’s adjusted EPS estimate of $5.24.
PayPal also included an outlook for Q4 2025 in its latest earnings report. It expects adjusted EPS for the quarter to come in between $1.27 and $1.31. For comparison, Wall Street expects adjusted EPS of $1.31 for the quarter.
Is PayPal Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for PayPal is Hold, based on 10 Buy, 15 Hold, and three Sell ratings over the past three months. With that comes an average PYPL stock price target of $80.60, representing a potential 14.73% upside for the shares.
