Despite its robust fundamentals and dominance in online transactions, its share price has stubbornly resisted the rising tide of the sector, trailing the XLK by a noteworthy 31.7% year-to-date. While cloud computing and software-as-a-service companies thrived on the increased digital adoption during the pandemic, PayPal faced headwinds from inflationary pressures and economic uncertainty. As Morgan Stanley (NYSE: MS) analysts aptly noted, this potential for increased digital ad spending could propel PayPal's share price towards their optimistic target of $118, representing a substantial climb from current levels.