The Trade Desk and PayPal Poised for Stock Rebound in 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3d ago
0mins
Source: NASDAQ.COM
- Trade Desk Performance Recovery: In Q3 2025, The Trade Desk reported an 18% year-over-year revenue increase, and despite market dissatisfaction, the anticipated rebound in political ad spending in 2026 suggests a strong recovery potential in the advertising market.
- Attractive Valuation: With a forward P/E ratio below 18, The Trade Desk stands out as a rare value stock with growth potential, allowing investors to capitalize on its low price point while anticipating future returns.
- PayPal Buyback Strategy: Amid a 30% stock decline in 2025, PayPal's management is directing nearly all free cash flow into share repurchases, aiming to enhance diluted earnings per share (EPS) growth rate, which is expected to lay the groundwork for future stock price rebounds.
- EPS Growth Potential: Although PayPal's growth has been slow, it achieved impressive diluted EPS growth in the latter half of the year, and if it continues to buy back shares at bargain prices, it is poised to return to a reasonable valuation level, potentially leading to significant stock gains in 2026.
Analyst Views on PYPL
Wall Street analysts forecast PYPL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for PYPL is 83.10 USD with a low forecast of 66.00 USD and a high forecast of 105.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
30 Analyst Rating
11 Buy
16 Hold
3 Sell
Moderate Buy
Current: 59.100
Low
66.00
Averages
83.10
High
105.00
Current: 59.100
Low
66.00
Averages
83.10
High
105.00
About PYPL
PayPal Holdings, Inc. offers a technology platform. The Company’s products are designed to enable digital payments and simplify commerce experiences for consumers and merchants to make selling, shopping, and sending and receiving money simple, personalized, and secure, online or offline, including mobile. It provides consumers with a digital wallet that enables them to send payments to merchants securely using a variety of funding sources, which include a bank account, a PayPal or Venmo account balance, its consumer credit products, a credit card, a debit card, certain cryptocurrencies, or other stored value products. It operates a global, two-sided network at scale that connects consumers and merchants with 434 million active accounts across approximately 200 markets. Its brands include PayPal, Braintree, Venmo, Xoom, Hyperwallet, PayPal Zettle, PayPal Honey, and Paidy. It offers financing products through the PayPal Working Capital (PPWC) and PayPal Business Loan (PPBL).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
