Shares of PayPal Holdings Inc. are up 1.3% in premarket trading Friday after Stifel analyst Scott Devitt raised his rating on the stock to buy from hold. Devitt's upgrade comes on the heels of the company's second-ever investor day, which took place Thursday in San Francisco. "We believe PayPal is still in the early stages of its transformation from a button/online checkout company to a global payments platform with a sizable addressable market opportunity," Devitt wrote. He highlighted management's commentary around consumer choice, a once-controversial decision by PayPal to no longer steer customers away from funding their transactions with payment methods that are relatively more expensive for PayPal, such as credit cards. The company said Thursday that even with consumer choice in place, 70% of users have a lower-cost funding method as their preference. Devitt raised his price target to $99 from $82. He'd been on the sidelines for a year. PayPal shares are up 60% over the past 12 months, while the S&P 500 has gained 13%.