PayPal upgraded to Outperform from Market Perform at Bernstein

Bernstein upgraded PayPal to Outperform from Market Perform with a price target of $78, up from $71. The firm is encouraged by improved transaction gross profit performance from the company’s positive branded growth, Braintree pricing initiatives, and Venmo monetization. Improved product momentum and overall execution, under the new management team, can sustain PayPal’s gross profit growth at mid-single-digit levels despite competitive pressures, the analyst tells investors in a research note. Bernstein says PayPal also presents “strategic optionality with many waterfront properties on ecommerce/digital commerce.”