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PYPL
PayPal Holdings, Inc.
Summary
Business
Earnings Call
Valuation
Profitability
Financial Health
Intel
Yearly Return 10Y annualized return is positive but below market average at 6.6% per year
Earnings Expectations PYPL has met or exceeded earnings expectations in most recent quarters (9/10)
Positive Attractive P/E Ratio
Positive Reasonable Price-to-Sales Ratio
Negative High P/B Ratio
Negative Operating Profit Margin

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Overall, PayPal demonstrates strong business quality through solid financial performance, innovative product offerings, and effective capital management. However, challenges such as unbranded volume growth and external economic factors may pose risks. The future prospects appear positive with a focus on omnichannel growth, SMB solutions, and Venmo monetization, despite some anticipated headwinds from interest rate changes.

Analysis Date: February 4, 2025
Last Updated: May 29, 2025

+90%
+6.6% per year

Past performance does not guarantee future results. The data presented is indicative and may not be updated in real-time.

Country US
Exchange NASDAQ
Industry Financial - Credit Services
Sector Financial Services
Market Cap $89.76B
CEO Mr. James Alexander Chriss

PayPal Holdings, Inc. is a company that helps people and businesses send and receive money online easily and safely. They offer services like PayPal, Venmo, and Braintree, which let you pay for things, send money to friends, or even accept payments for your business. With PayPal, you can use different currencies and access your money from various parts of the world. Founded in 1998 and based in San Jose, California, PayPal makes online payments simple for everyone.

Streams of revenue

Transaction Revenue: 90%
Other Value Added Services: 10%

Geographic Distribution

UNITED STATES: 58%
Countries Other Than US And United Kingdom: 42%

Core Products

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Xoom International transfers
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Venmo Peer-to-peer payments
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PayPal Online payments
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Braintree Payment gateway
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PayPal Credit Digital credit line

Business Type

B2C Business to Consumer

Competitive Advantages

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Key Business Risks

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Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.

Graham Value Metrics

Benjamin Graham's value investing approach focuses on finding stocks with a significant margin of safety between their intrinsic value and market price.

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ROE: 22.320694268845052

ROA: None

Gross Profit Margin: 45.358689512332894

Net Profit Margin: 14.265988828218163

Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.

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About Profitability Metrics

Profitability metrics measure a company's ability to generate earnings relative to its revenue, operating costs, and other relevant metrics. Higher values generally indicate better performance.

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About Financial Health Metrics

Financial health metrics assess a company's ability to meet its financial obligations and its overall financial stability.

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Meeting Expectations

9 /10

Higher values indicate better execution and credibility

Recent Results

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EPS

1.16
Estimated
1.33
Actual
+14.66%
Difference

Revenue

$7849068671
Estimated
$7791000000
Actual
-0.74%
Difference
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Insider trading data shows purchase and sale activities by company executives and board members.

Insider Sentiment Analysis

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PYPL Stock Analysis: PayPal Holdings, Inc. Investment Guide

PYPL (PayPal Holdings, Inc.) is a Financial Services company listed on NASDAQ Global Select. The stock has generated 6.6% annual returns with an overall investment score of None/100.

Overall, PayPal demonstrates strong business quality through solid financial performance, innovative product offerings, and effective capital management. However, challenges such as unbranded volume growth and external economic factors may pose risks. The future prospects appear positive with a focus on omnichannel growth, SMB solutions, and Venmo monetization, despite some anticipated headwinds from interest rate changes.

PYPL Key Financial Metrics

PYPL financial analysis includes comprehensive valuation ratios, profitability metrics, and financial health indicators. The company has a valuation score of 2.5/100 and profitability score of 5.0/100 with financial health rated 6.8500000000000005/100.

About PayPal Holdings, Inc.

PayPal Holdings, Inc. is a company that helps people and businesses send and receive money online easily and safely. They offer services like PayPal, Venmo, and Braintree, which let you pay for things, send money to friends, or even accept payments for your business. With PayPal, you can use different currencies and access your money from various parts of the world. Founded in 1998 and based in San Jose, California, PayPal makes online payments simple for everyone.

PYPL Investment Recommendation

Based on our comprehensive analysis of PYPL, investors should consider the company's positive performance track record, earnings consistency (9/10 quarters beat expectations), and current valuation metrics when making investment decisions.

Financial Services Sector Analysis

PYPL operates in the Financial - Credit Services industry within the Financial Services sector. This analysis compares PayPal Holdings, Inc. performance against industry and sector benchmarks to provide context for investment decisions.

Frequently Asked Questions about PYPL Stock

Is PYPL a good investment?

PYPL (PayPal Holdings, Inc.) has generated 6.6% annual returns with an overall score of None/100. Overall, PayPal demonstrates strong business quality through solid financial performance, innovative product offerings, and effective capital management. However, challenges such as unbranded volume growth and external economic factors may pose … Investors should consider their risk tolerance and investment goals when evaluating PYPL.

What is PYPL P/E ratio and valuation?

PYPL valuation metrics including P/E ratio, price-to-book ratio, and price-to-sales ratio are analyzed on this page with comparisons to Financial - Credit Services industry and Financial Services sector benchmarks. The company currently has a valuation score of 2.5/100.

Should I buy PYPL stock now?

The decision to buy PYPL stock should be based on comprehensive analysis of financial metrics, market conditions, and individual investment goals. Our analysis provides profitability score of 5.0/100, financial health score of 6.8500000000000005/100, and detailed performance metrics to help inform your investment decision.

What are PYPL financial health indicators?

PYPL financial health analysis includes liquidity ratios, debt levels, cash flow metrics, and profitability indicators. The company has a financial health score of 6.8500000000000005/100 based on comprehensive analysis of balance sheet strength and operational efficiency.

How does PYPL compare to competitors?

PYPL performance is benchmarked against Financial - Credit Services industry peers and Financial Services sector averages. Our analysis includes comparative valuation ratios, profitability metrics, and growth indicators to provide context for PayPal Holdings, Inc.'s market position.

What are PYPL historical returns?

PYPL has generated 6.6% annual returns over the 10Y. Historical performance analysis includes price appreciation, dividend yields, and total shareholder returns compared to market benchmarks.

PYPL Key Investment Metrics Summary

  • Annual Return: 6.6%
  • Valuation Score: 2.5/100
  • Profitability Score: 5.0/100
  • Financial Health Score: 6.8500000000000005/100
  • Growth Score: 3.3687658862718206/100
  • Earnings Beat Rate: 9/10 quarters
  • Sector: Financial Services
  • Industry: Financial - Credit Services
  • Exchange: NASDAQ Global Select
  • Market Cap: 89757406200

PYPL Investment Thesis

PayPal Holdings, Inc. (PYPL) represents a moderate investment opportunity in the Financial Services sector. With an overall score of None/100, the company demonstrates areas for financial improvement.

Investment Strengths

  • Attractive P/E Ratio
  • Reasonable Price-to-Sales Ratio
  • Strong Return on Equity
  • Healthy Profit Margins
  • Low Debt-to-Equity Ratio
  • Strong Interest Coverage
  • Strong Operating and Financial Results
  • Focus on Innovation and Product Adoption
  • Strong Free Cash Flow and Share Buybacks
  • Commitment to Omnichannel Growth
  • Focus on Small and Medium Business (SMB) Solutions
  • Growth in Venmo and Monetization Strategies

Investment Risks

  • High P/B Ratio
  • Operating Profit Margin
  • Low Cash Ratio
  • Challenges with Unbranded Volume Growth
  • Headwinds from Interest Rate Cuts
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