PayPal price target raised to $70 from $68 at JMP Securities

JMP Securities analyst David Scharf raised the firm’s price target on PayPal to $70 from $68 and keeps an Outperform rating on the shares. Most Consumer Finance and Consumer FinTech stocks remain in a “holding pattern” as lenders remain hesitant to meaningfully loosen credit following a strong recovery in valuation during Q4 and poor relative performance during Q1, the analyst tells investors in a research note. Gross profit margins at PayPal appear to finally show some signs of initial stabilization despite the ongoing mix-shift away from branded checkout, and investors may be viewing new CEO Alex Chriss’s initial 2024 guidance as beatable, JMP says.