Oppenheimer Remains Bullish Ahead of PayPal's (PYPL) 3Q Report
Get access to the best calls on Wall Street with StreetInsider.com's Ratings Insider Elite. Get your Free Trial here.
Oppenheimer reiterated an Outperform rating and $43.00 price target on PayPal (NASDAQ: PYPL) ahead of the company's 3Q earnings report. Oppenheimer estimates 27% total payment volume growth to $88.6B (vs. Street's $88.3B estimate). Revenue is expected to be $2.65B, In line with consensus estimates, and Adjusted EPS of $0.34 (vs. Street's $0.35).
Analyst Glenn Greene commented, "Heading into 3Q16 earnings (Thurs., 10/21, after market close), we affirm our Outperform rating and $43 price target for PayPal. We remain attracted to the company's unique digital payments assets (including Braintree, Venmo, Xoom) and impressive growth profile. We view the recently announced V/MA strategic partnerships as an important validation of PYPL's role in the payments ecosystem, and suspect transaction margin concerns are overblown. Accordingly, we would not preclude that PYPL reiterates its medium-term outlook with earnings. For 3Q16, PYPL expects revenue to grow 19-21% (~17-19% organic, by our estimate) in constant currency to a range of $2.62-2.67B, and adj. EPS in a range of $0.33-0.35. At ~22.5x our FY17E EPS, we believe PYPL shares are attractively valued."
Shares of PayPal closed at $39.48 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Texas Instruments (TXN) Tops Q4 EPS by 20c, Issues Solid Q1 Outlook
- Alibaba (BABA) PT Raised to $148 at Deutsche Bank
- UPDATE: Cree (CREE) Tops Q2 EPS by 20c, Offers Q3 Guidance
Create E-mail Alert Related CategoriesAnalyst Comments
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!