Should I buy Paypal stock in 2025?

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At HelloSafe, our expert has been monitoring Paypal’s performance for over three years. Every month, hundreds of thousands of Canadians rely on us to interpret market trends and highlight the best investment opportunities. Our analyses are provided for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never been, and will never be, compensated by Paypal.

What is Paypal?

*Estimated from net income/margin trends for Q1 2025; company does not explicitly report EBITDA for each quarter.

How much is Paypal stock?

The price of Paypal stock is rising this week. As of now, PYPL is trading at $65.41 USD, representing a 0.65% drop over the last 24 hours but a 2.96% increase over the past week.

Paypal's beta of 1.61 indicates higher volatility. With its active market presence and above-average volatility, Canadian investors may find both risk and opportunity in its performance trends.

Our full analysis on Paypal stock

Having rigorously examined PayPal Holdings, Inc.'s recent results, stock behaviour over the last three years, and competitive context, our proprietary models integrating current financials, technical analysis, and market intelligence highlight several emerging patterns. Synthesizing these diverse viewpoints reveals a technology stock that—despite challenges—could be on the cusp of a renewed cycle of opportunity. So, why might PayPal stock once again become a strategic entry point into the digital payments sector in 2025?

Recent Performance and Market Context

PayPal's share price closed at $65.41 on May 2, 2025, having registered a modest but notable weekly gain of nearly 3%. Looking back, the stock's trajectory over the past year has been pressured, declining from a 52-week high of $93.66—representing a six-month retreat of 14%. Despite this drawdown, the stabilization in recent weeks and strengthening short-term momentum suggest the market may be recalibrating its expectations.

These dynamics unfold in a digital payments market that continues to expand, even as macroeconomic uncertainty persists. PayPal’s strong Q1 2025 earnings report—where net income jumped 45% and EPS beat consensus by over 14%—helped arrest recent declines, highlighting management’s ability to drive operating leverage even amidst tepid top-line growth. The company reaffirmed its full-year guidance, a decision generally interpreted by analysts as a signal of operational stability and confidence.

On a broader scale, the global fintech sector remains a vector of disruptive innovation, with digital payments at its core. In North America, regulatory approaches remain constructive, digital commerce adoption continues to accelerate, and tech-enabled financial services are deeply embedded in consumption patterns. These macro and sectoral tailwinds consistently enrich the PayPal investment thesis.

Technical Analysis

From a technical perspective, PayPal currently presents a nuanced setup. The Relative Strength Index (RSI) stands at a neutral 53.27, not yet overbought nor oversold—a classic marker of potential upside should bullish catalysts materialize. Recent MACD readings deliver a slight short-term sell signal (-0.61), but the price trend has reversed above the 20-day exponential moving average ($64.05), generating a near-term buy indication. More importantly, robust support zones are established at $64.64, $62.97, and $61.57, with resistance levels at $67.71, $69.11, and $70.78—a relatively tight trading range that could precede volatility expansion.

While longer-term moving averages (50, 100, 200 days) remain above the current price, this lag often precedes inflection points, especially as short-term bullish momentum builds. The recent uptick in weekly price performance—paired with positive volume trends—suggests PayPal may be forming a durable base, positioning the stock for a technical breakout should further catalysts emerge.

Fundamental Analysis

• Profitability Resilience: Net income rose 45% year-over-year to $1.29 billion, despite just 1% revenue growth. EPS of $1.33 (adjusted) topped expectations, demonstrating disciplined cost controls and expanding gross margin—from 39% to 42.6%.
• Sustainable Cashflow: The underlying total payment volume reached $417 billion, expanding 4% on a currency-neutral basis, with particularly strong growth in branded experiences (+8% in Q1).
• Attractive Valuation: PayPal trades at a P/E of 14.67—substantially discounted relative to the wider tech sector, where price-to-earnings multiples are higher. This valuation arguably prices in much pessimism and provides a favourable risk/reward balance. The lack of dividend does mean returns are capital-gains focused, but the potential for multiple expansion remains intact.
• Structural Advantages: The business is anchored by a two-sided platform—connecting merchants and consumers—enabling network effects at scale. Brand strength, an extensive merchant network, and relentless innovation in value-added services such as “agentic commerce” fortify its moat against both established competitors and emerging fintech threats.

Notably, while revenue growth remains modest in the low single digits, management is actively pursuing diversification beyond core payments into incremental, higher-margin services—expanding addressable market and future growth potential.

Volume and Liquidity

Liquidity remains one of PayPal’s key structural advantages. The stock’s average daily volume—13.26 million shares—speaks to enduring institutional interest and the ability for investors to enter and exit positions efficiently, even at scale. This level of trading activity reflects underlying market confidence and enables vibrant price discovery, both essential to dynamic valuation over time. Furthermore, PayPal’s market capitalization of $64 billion firmly anchors it among leading North American tech equities.

The free float underpins adaptability as investor sentiment evolves. High liquidity combined with attractive valuation can set the stage for sharp re-ratings amidst positive surprises or shifting sector dynamics, making timing considerations particularly strategic.

Catalysts and Positive Outlook

• Product and Platform Innovations: Continued investment in agentic commerce and artificial intelligence-driven payment solutions position the company at the forefront of digital transaction trends. New branded experiences, which saw 8% growth in Q1, are capturing incremental share in a highly competitive market.
• Operational Efficiency: Expansion of the gross margin (now at 42.6%) and the net income margin (16.5%) highlight a company driving value through both scale and efficiency, with guidance for the year reaffirmed—and even flagged as conservative by some analysts.
• Strategic Diversification: PayPal’s pivot from pure-play payments to integrated value-added services (such as fraud prevention, merchant analytics, and loyalty platforms) broadens revenue sources and reduces cyclicality risk.
• ESG and Sustainable Practice: Increasing attention to environmental, social, and governance (ESG) priorities positions the company as a trusted platform for both merchants and consumers, particularly as sustainable finance gains importance with Canadian and global investors.
• Favourable Sector Tailwinds: The overall digital payments market remains on a secular growth path, buoyed by digital commerce penetration and positive regulatory trends—even amid macroeconomic volatility. This environment provides ample room for PayPal to continue expanding its service suite and market share.

Collectively, these positive factors suggest that PayPal's recent period of underperformance could be approaching its conclusion—particularly as management executes on strategic priorities embedded in its forward guidance.

Investment Strategies

• Short-Term Entry: With price recently bouncing above its 20-day EMA and RSI confirming neutral momentum, those seeking a tactical position may view the present support levels ($64.64, $62.97) as advantageous risk-managed entry zones. Any upside break through immediate resistance at $67.71 could trigger accelerated buying interest.
• Medium-Term Positioning: The discount to historical median valuations (P/E ~15), ongoing profitability improvements, and catalyzing product innovations combine to create a favourable scenario for investors willing to look past near-term volatility and focus on Q2–Q3 execution milestones. The confirmed maintenance of full-year guidance is particularly reassuring here.
• Long-Term Accumulation: For patient investors, PayPal represents a business with structural moats, vast addressable market, and ongoing innovation. Entry at current prices or during any further technical retracement below $65 may offer an attractive cost basis, with upside potential amplified as revenue growth initiatives bear fruit.

Key consideration: Position sizing and time horizon should be matched to both short-term volatility (Beta at 1.61) and the upside potential signaled by analysts’ consensus target of $85—implying a potential 30% appreciation from current levels.

Is It the Right Time to Buy Paypal?

• Robust profitability and margin expansion despite moderate headline growth
• A discounted valuation providing a margin of safety for new entrants
• Clear signs of operational excellence and focused innovation in products and technology
• A high-liquidity profile that facilitates nimble entry and exit points for all investor types

With management reaffirming full-year guidance, strong cash flows, and a healthy pipeline of innovation initiatives, the stock seems to represent an excellent opportunity for those seeking exposure to a global fintech leader with a proven ability to reinvent itself. While near-term volatility persists, the fundamentals justify renewed interest—the prospect of a sustained recovery or a new bullish cycle appears increasingly realistic as PayPal consolidates near historic support.

Positioned at the intersection of digital payments innovation and operational excellence, PayPal stock stands as a highly appealing candidate for inclusion in a forward-looking technology portfolio. Now could well be the start of a new momentum phase, inviting investors to strongly consider the upside potential that PayPal can deliver over the coming quarters and years.

How to buy Paypal stock in Canada?

Buying shares in PayPal Holdings, Inc. (PYPL) online is both simple and secure when you use a regulated broker in Canada. Today, investors have two main options: traditional spot buying, where you purchase actual shares, and trading Contracts for Difference (CFDs), which let you capitalize on price fluctuations using leverage—without owning the underlying stock. Both methods are easily accessible with just a few clicks, and your assets are protected by rigorous Canadian and international regulations. To find the best fit for your needs, a broker comparison table is available further down this page.

Spot Buying

Spot buying means purchasing real PayPal shares in your name through a stockbroker. Your shares are held in your investment account, and you fully participate in any price appreciation (or loss). For Canadian investors, brokers typically charge a fixed commission per order—usually between $4 and $10 CAD per trade.

Important example

Example: Suppose the PayPal share price is $65.41 USD (about $89 CAD). With a $1,000 CAD investment and a brokerage fee of approximately $5, you can buy about 11 shares ($1,000 – $5 ≈ $995 ÷ $89 ≈ 11 shares).

Gain scenario: If PayPal’s share price rises by 10%, your shares are now worth about $1,100 CAD.
Result: +$100 gross gain, representing +10% on your investment.

Trading via CFD

CFD (Contract for Difference) trading lets you speculate on PayPal’s share price without owning actual shares. With CFDs, you can use leverage—multiplying your market exposure and potential gains or losses. Fees for CFDs are based on the spread (the difference between buy and sell prices) and may include overnight financing costs if you hold your position beyond one day.

Important example

Example: You open a CFD position on PayPal with a $1,000 CAD deposit and 5x leverage, which gives you market exposure of $5,000 CAD.

Gain scenario: If the stock price rises 8%, your position increases by 8% × 5 = 40%.
Result: +$400 gain on your initial $1,000 (excluding fees and currency fluctuations).

Final Advice

Before investing, it’s crucial to compare the fees, trading platforms, and conditions offered by different brokers. The best choice depends on your investment goals, whether you want to own PayPal shares for the long term or take advantage of short-term price movements with CFDs. To help you make an informed decision, don’t forget to consult the detailed broker comparison further down the page.

Platforms

Minimum Deposit

Discover

#1

Tier 1 regulation, including ASIC and FSA

#1

Star Trader

4.9

Minimum Deposit

$50

Discover

with our partner Star Trader

#2

Broker specializing in Forex and CFDs

#2

IFC Markets

4.8

Minimum Deposit

$1

Discover

with our partner IFC Markets

#3

Broker regulated since 2006

#3

Avatrade

4.8

Minimum Deposit

$100

Discover

with our partner Avatrade

Our 7 tips for buying Paypal stock

The latest news about Paypal

PayPal’s Q1 2025 earnings beat expectations with a 23% EPS surge and robust profitability gains. In its latest quarterly results announced on May 2, 2025, PayPal reported earnings per share of $1.33 on an adjusted basis—surpassing analyst estimates by over 14%, and marking a 23% increase year-over-year. Net income for the quarter climbed to $1.29 billion (a 45% rise from the same period last year), with transaction margin dollars up 8% when excluding exceptional items. These strong results demonstrate management’s ongoing focus on operational efficiency and margin expansion, a constructive signal for Canadian investors seeking exposure to highly profitable fintech names with proven execution.

PayPal maintained full-year 2025 earnings guidance and continued to invest in strategic innovation, underscoring management’s confidence. Despite prevailing macroeconomic uncertainties, PayPal reaffirmed its 2025 adjusted EPS forecast of $4.95 to $5.10. This guidance stability in a volatile sector appears particularly meaningful for institutional investors in Canada looking for reliability and earnings visibility in their North American holdings. Furthermore, the company highlighted its ongoing investment in agentic commerce initiatives and AI-driven payment solutions, aiming to expand its range of value-added services. Such innovations represent potential long-term growth levers and reinforce PayPal’s relevance in a rapidly evolving digital payments environment.

Short-term technical indicators have shifted positive, with PayPal’s stock price overtaking its 20-day EMA and recording a weekly gain. In the last week, PayPal shares rose roughly 2.96% and are now trading above the 20-day exponential moving average, generating a technical buy signal on a short-term basis. The 14-day RSI rests in a neutral zone at 53.27, while mixed signals across other moving averages and MACD suggest an improving, but not yet confirmed, bullish momentum. For Canadian market participants sensitive to momentum dynamics and looking to optimize entry points, this improving technical tableau could present attractive short-term trading opportunities, especially as positive fundamentals continue to support the stock.

PayPal’s strong brand presence and expansive merchant network support its competitive advantage, including in the Canadian market. Through its global merchant network and advanced payment products—including those tailored for the Canadian consumer and business ecosystem—PayPal sustains its position as an essential service provider nationwide. The Canadian market, characterized by rising e-commerce activity and demand for digital payment solutions, benefits from PayPal’s continued product innovation and robust infrastructure. With the ongoing push toward agentic commerce and branded experiences growing 8% year-over-year, Canadian merchants and consumers have access to an increasingly integrated financial platform, supporting local adoption and underpinning regional growth prospects.

Canadian investors benefit from familiarity with PayPal’s regulatory compliance and tax-efficient structure, as the stock offers global exposure without dividend taxation concerns. For residents in Canada, PayPal’s fully compliant operations reduce cross-border risk, and its absence of a dividend means that investors do not face U.S. withholding taxes on payouts—streamlining portfolio administration. With a price-to-earnings ratio of 14.67 and a consensus target price representing a potential 30% upside, the stock remains an accessible and compelling vehicle for diversified exposure to the North American fintech sector, especially for those focused on total return rather than yield.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.