PayPal Holdings Inc. shares declined after Cleveland Research downgraded the stock to Underperform from Neutral on October 19, 2026. The firm cited worsening third-quarter trends, including market-share losses and increased pricing pressure. It also noted slower international branded payment volumes and said PayPal likely missed third-quarter expectations.
The downgrade followed a similar bearish call from BofA Securities the previous week, adding to concerns that PayPal’s turnaround could take longer than expected. The stock had also reportedly attracted attention in September amid unconfirmed takeover speculation, but the analyst downgrade appeared to be the primary driver of the day’s decline.