Booming interest in Bitcoin could push PayPal stock up to 45% higher than its current level, says Mizuho analyst Dan Dolev.
According to MarketWatch, Dolev boosted his price target from $290 to $350 in a recent note to clients — higher than any other analyst call on FactSet.
“Both our survey and management commentary unveil a dramatic increase in engagement due to crypto,” wrote Dolev on behalf of Japan’s Mizuho, which handles trillions in assets.
The Palo Alto fintech giant made waves in October when it allowed US users to buy, store, and sell digital assets with their PayPal wallets.
- Dolev reportedly reckons Bitcoin could generate nearly $2 billion for PayPal in 2023, up 10% from his previous estimate.
- A survey showed users handling Bitcoin use the app three times more than ‘nocoiners,’ and have higher cash balances.
- Lisa Ellis of MoffettNathanson also raised her PayPal target, from $280 to $300 (24% higher than current prices).
But Bitcoin’s impact on PayPal’s share price is so far muted, aside from a 6% jump on the day it adopted crypto.
PayPal is up 15% since its October announcement, more or less on par with the FANG+ index tracking tech stocks like Facebook, Amazon, Apple, and Netflix.