Wall Street Loses Faith in PayPal’s Near-Term Prospects

PayPal US70450Y1038

PayPal Holdings, Inc. is entering the new year facing a notable retreat in support from major financial institutions. A cluster of prominent investment banks have downgraded their outlooks for the digital payments company in a short span, citing concerns over weakening U.S. consumer spending and its direct impact on transaction volumes.

This pessimistic shift culminated on January 5, when Monness Crespi Hardt lowered its rating from “Buy” to “Neutral.” This move followed a series of similar actions by other heavyweight analysts in recent weeks:

• JPMorgan issued a “Sell” recommendation on December 4, setting a price target of $70.
• Bank of America downgraded Read more...