The Ratings Game: PayPal stock slips after downgrade: ‘Hard to ignore e-commerce woes’

PayPal Holdings Inc. PYPL shares have a “supportive” valuation after a recent slide, but the company may still face challenges stemming from pressure on the e-commerce industry, according to an analyst.

Redburn analyst Fahed Kunwar downgraded PayPal’s stock to neutral from buy Friday, warning of the potential for sluggish e-commerce trends that could impact the company’s ability to meet growth expectations. PayPal has already ratcheted down projections for the year, but Kunwar has doubts about whether the company can clear…