Ongoing Securities Investigation into PayPal Holdings, Inc. (PYPL) - Contact Levi & Korsinsky

New York, New York--(Newsfile Corp. - February 9, 2026) - Levi & Korsinsky notifies investors that it has commenced an investigation into PayPal Holdings, Inc. ("PayPal Holdings, Inc.") (NASDAQ: PYPL) concerning potential violations of the federal securities laws.

The timeline of analyst expectations and company communications reveals a notable trajectory. On January 28, 2026, Rothschild & Co Redburn issued a downgrade, cutting PayPal's price target to $50 from $70. The following day, Morgan Stanley also reduced its target to $50, citing slower checkout growth. On February 2, just one day before earnings, analysts published expectations for mid-single-digit revenue growth and higher earnings per share.

The actual results disclosed on February 3 represented a meaningful miss versus these expectations. Revenue of $8.68 billion fell $120 million short of the $8.80 billion estimate, a gap of approximately 1.4%. Adjusted earnings of $1.23 per share missed the consensus range of $1.30 to $1.33 by 5.4% to 7.5%. Perhaps more significantly, the company's forward guidance projected 2026 transaction margin dollars to decline alongside an adjusted earnings per share range of a low single digit decline to a slightly positive gain, figures that were substantially below what the investment community had been modeling.

During the company's third quarter 2025 earnings call on October 28, 2025, approximately 98 days before the latest disclosure, management had not indicated that such a dramatic revision to the company's outlook would be forthcoming. The investigation will examine what information was available to management during this period and when the factors necessitating the lowered guidance became apparent internally.

PayPal shares dropped 19-20% on February 3, falling to approximately $42 and establishing a new 52-week low. Short interest reportedly increased sharply as traders anticipated further declines.

If you suffered a loss on your PayPal Holdings, Inc. securities and would like to explore a potential recovery under the federal securities laws, Learn More About the Investigation or contact Joseph E. Levi, Esq. via email at [e-mail] or call [phone] to speak to our team of experienced shareholder advocates.

WHY LEVI & KORSINSKY: Over the past 20 years, Levi & Korsinsky LLP has established itself as a nationally-recognized securities litigation firm that has secured hundreds of millions of dollars for aggrieved shareholders and built a track record of winning high-stakes cases. The firm has extensive expertise representing investors in complex securities litigation and a team of over 70 employees to serve our clients. For seven years in a row, Levi & Korsinsky has ranked in ISS Securities Class Action Services' Top 50 Report as one of the top securities litigation firms in the United States. Attorney Advertising. Prior results do not guarantee similar outcomes.

CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
[e-mail]
Tel: [phone]
Fax: [phone]

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/283170

The PayPal Stock at the time of publication of the news with a raise of +1,30 % to 40,42USD on Nasdaq stock exchange (07. Februar 2026, 02:00 Uhr).