PayPal downgraded to Neutral from Outperform at Daiwa

Daiwa analyst Kazuya Nishimura downgraded PayPal to Neutral from Outperform with a price target of $62, down from $64. The firm says it is difficult to envision medium- and long-term earnings growth until it sees a return to a clear growth trajectory for transaction margin dollars and benefits from ramped-up investments emerge. With PayPal’s 2024 guidance looking conservative, there is “considerable potential for an overshoot, but at this stage we are lacking the conviction to factor in sharp upside,” the analyst tells investors in a research note.