PAYPAL HOLDINGS INC (1PYPL.MI) Stock Fundamental Analysis
Europe • Euronext Milan • BIT:1PYPL • US70450Y1038
34.01 EUR
-1.29 (-3.65%)
Last: Feb 11, 2026, 07:00 PM
Overall 1PYPL gets a fundamental rating of 6 out of 10. We evaluated 1PYPL against 59 industry peers in the Financial Services industry. While 1PYPL belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on 1PYPL. This makes 1PYPL very considerable for value investing!
1. Profitability
1.1 Basic Checks
- In the past year 1PYPL was profitable.
- 1PYPL had a positive operating cash flow in the past year.
- Each year in the past 5 years 1PYPL has been profitable.
- Each year in the past 5 years 1PYPL had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 6.53%, 1PYPL belongs to the best of the industry, outperforming 84.75% of the companies in the same industry.
- The Return On Equity of 1PYPL (25.83%) is better than 86.44% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 15.26%, 1PYPL belongs to the top of the industry, outperforming 86.44% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for 1PYPL is above the industry average of 9.72%.
- The 3 year average ROIC (13.68%) for 1PYPL is below the current ROIC(15.26%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.53% | ||
| ROE | 25.83% | ||
| ROIC | 15.26% |
ROA(3y)5.59%
ROA(5y)5.07%
ROE(3y)22.11%
ROE(5y)19.49%
ROIC(3y)13.68%
ROIC(5y)12.27%
1.3 Margins
- 1PYPL has a Profit Margin (15.78%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of 1PYPL has declined.
- 1PYPL's Operating Margin of 19.28% is fine compared to the rest of the industry. 1PYPL outperforms 62.71% of its industry peers.
- 1PYPL's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 41.48%, 1PYPL is in line with its industry, outperforming 45.76% of the companies in the same industry.
- In the last couple of years the Gross Margin of 1PYPL has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.28% | ||
| PM (TTM) | 15.78% | ||
| GM | 41.48% |
OM growth 3Y9.47%
OM growth 5Y3.83%
PM growth 3Y21.52%
PM growth 5Y-4.24%
GM growth 3Y-0.68%
GM growth 5Y-2.31%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1PYPL is creating value.
- The number of shares outstanding for 1PYPL has been reduced compared to 1 year ago.
- Compared to 5 years ago, 1PYPL has less shares outstanding
- 1PYPL has a better debt/assets ratio than last year.
2.2 Solvency
- 1PYPL has an Altman-Z score of 1.82. This is not the best score and indicates that 1PYPL is in the grey zone with still only limited risk for bankruptcy at the moment.
- 1PYPL has a Altman-Z score of 1.82. This is in the better half of the industry: 1PYPL outperforms 64.41% of its industry peers.
- The Debt to FCF ratio of 1PYPL is 1.79, which is an excellent value as it means it would take 1PYPL, only 1.79 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of 1PYPL (1.79) is better than 77.97% of its industry peers.
- 1PYPL has a Debt/Equity ratio of 0.49. This is a healthy value indicating a solid balance between debt and equity.
- 1PYPL has a Debt to Equity ratio of 0.49. This is comparable to the rest of the industry: 1PYPL outperforms 52.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 1.79 | ||
| Altman-Z | 1.82 |
ROIC/WACC1.88
WACC8.1%
2.3 Liquidity
- 1PYPL has a Current Ratio of 1.29. This is a normal value and indicates that 1PYPL is financially healthy and should not expect problems in meeting its short term obligations.
- 1PYPL has a Current ratio (1.29) which is comparable to the rest of the industry.
- A Quick Ratio of 1.29 indicates that 1PYPL should not have too much problems paying its short term obligations.
- 1PYPL has a Quick ratio (1.29) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.29 |
3. Growth
3.1 Past
- 1PYPL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.43%.
- Measured over the past 5 years, 1PYPL shows a small growth in Earnings Per Share. The EPS has been growing by 5.53% on average per year.
- Looking at the last year, 1PYPL shows a small growth in Revenue. The Revenue has grown by 4.32% in the last year.
- 1PYPL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.11% yearly.
EPS 1Y (TTM)6.43%
EPS 3Y8.67%
EPS 5Y5.53%
EPS Q2Q%3.36%
Revenue 1Y (TTM)4.32%
Revenue growth 3Y6.43%
Revenue growth 5Y9.11%
Sales Q2Q%3.71%
3.2 Future
- Based on estimates for the next years, 1PYPL will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.78% on average per year.
- Based on estimates for the next years, 1PYPL will show a small growth in Revenue. The Revenue will grow by 7.83% on average per year.
EPS Next Y10.74%
EPS Next 2Y11.08%
EPS Next 3Y14.21%
EPS Next 5Y12.78%
Revenue Next Year5.6%
Revenue Next 2Y5.94%
Revenue Next 3Y6.4%
Revenue Next 5Y7.83%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 7.64, the valuation of 1PYPL can be described as very cheap.
- Compared to the rest of the industry, the Price/Earnings ratio of 1PYPL indicates a rather cheap valuation: 1PYPL is cheaper than 81.36% of the companies listed in the same industry.
- 1PYPL's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.18.
- The Price/Forward Earnings ratio is 6.90, which indicates a rather cheap valuation of 1PYPL.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of 1PYPL indicates a somewhat cheap valuation: 1PYPL is cheaper than 79.66% of the companies listed in the same industry.
- 1PYPL is valuated cheaply when we compare the Price/Forward Earnings ratio to 28.01, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.64 | ||
| Fwd PE | 6.9 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, 1PYPL is valued a bit cheaper than the industry average as 79.66% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1PYPL indicates a somewhat cheap valuation: 1PYPL is cheaper than 79.66% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.81 | ||
| EV/EBITDA | 4.76 |
4.3 Compensation for Growth
- 1PYPL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- 1PYPL has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as 1PYPL's earnings are expected to grow with 14.21% in the coming years.
PEG (NY)0.71
PEG (5Y)1.38
EPS Next 2Y11.08%
EPS Next 3Y14.21%
5. Dividend
5.1 Amount
- 1PYPL has a Yearly Dividend Yield of 1.40%. Purely for dividend investing, there may be better candidates out there.
- The stock price of 1PYPL dropped by -38.68% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
- Compared to an average industry Dividend Yield of 2.15, 1PYPL has a dividend in line with its industry peers.
- 1PYPL's Dividend Yield is slightly below the S&P500 average, which is at 1.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 1PYPL pays out 2.48% of its income as dividend. This is a sustainable payout ratio.
DP2.48%
EPS Next 2Y11.08%
EPS Next 3Y14.21%
BIT:1PYPL (2/11/2026, 7:00:00 PM)
34.01
-1.29 (-3.65%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)02-03 2026-02-03/bmo
Earnings (Next)04-27 2026-04-27/amc
Inst Owners80.89%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap31.82B
Revenue(TTM)33.17B
Net Income(TTM)5.23B
Analysts68.8
Price Target63.49 (86.68%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
Yearly Dividend0.12
Dividend Growth(5Y)N/A
DP2.48%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.63%
Min EPS beat(2)-6.12%
Max EPS beat(2)9.38%
EPS beat(4)3
Avg EPS beat(4)5.34%
Min EPS beat(4)-6.12%
Max EPS beat(4)12.26%
EPS beat(8)7
Avg EPS beat(8)8.3%
EPS beat(12)10
Avg EPS beat(12)6.57%
EPS beat(16)13
Avg EPS beat(16)5.95%
Revenue beat(2)1
Avg Revenue beat(2)-1.54%
Min Revenue beat(2)-3.34%
Max Revenue beat(2)0.26%
Revenue beat(4)2
Avg Revenue beat(4)-1.3%
Min Revenue beat(4)-3.34%
Max Revenue beat(4)0.55%
Revenue beat(8)3
Avg Revenue beat(8)-1.12%
Revenue beat(12)3
Avg Revenue beat(12)-1.11%
Revenue beat(16)3
Avg Revenue beat(16)-1.21%
PT rev (1m)-10.51%
PT rev (3m)-15.94%
EPS NQ rev (1m)-1.21%
EPS NQ rev (3m)-1.02%
EPS NY rev (1m)-1.34%
EPS NY rev (3m)-0.71%
Revenue NQ rev (1m)-0.37%
Revenue NQ rev (3m)-0.17%
Revenue NY rev (1m)-0.29%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.64 | ||
| Fwd PE | 6.9 | ||
| P/S | 1.14 | ||
| P/FCF | 6.81 | ||
| P/OCF | 5.9 | ||
| P/B | 1.87 | ||
| P/tB | 4.12 | ||
| EV/EBITDA | 4.76 |
EPS(TTM)4.45
EY13.08%
EPS(NY)4.93
Fwd EY14.5%
FCF(TTM)5
FCFY14.69%
OCF(TTM)5.76
OCFY16.94%
SpS29.79
BVpS18.19
TBVpS8.25
PEG (NY)0.71
PEG (5Y)1.38
Graham Number42.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.53% | ||
| ROE | 25.83% | ||
| ROCE | 18.96% | ||
| ROIC | 15.26% | ||
| ROICexc | 22.09% | ||
| ROICexgc | 42.08% | ||
| OM | 19.28% | ||
| PM (TTM) | 15.78% | ||
| GM | 41.48% | ||
| FCFM | 16.77% |
ROA(3y)5.59%
ROA(5y)5.07%
ROE(3y)22.11%
ROE(5y)19.49%
ROIC(3y)13.68%
ROIC(5y)12.27%
ROICexc(3y)21.02%
ROICexc(5y)18.45%
ROICexgc(3y)44.19%
ROICexgc(5y)39.13%
ROCE(3y)16.99%
ROCE(5y)15.24%
ROICexgc growth 3Y11.65%
ROICexgc growth 5Y5.93%
ROICexc growth 3Y15.6%
ROICexc growth 5Y8.67%
OM growth 3Y9.47%
OM growth 5Y3.83%
PM growth 3Y21.52%
PM growth 5Y-4.24%
GM growth 3Y-0.68%
GM growth 5Y-2.31%
F-Score8
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 1.79 | ||
| Debt/EBITDA | 1.36 | ||
| Cap/Depr | 88.47% | ||
| Cap/Sales | 2.57% | ||
| Interest Coverage | 15.75 | ||
| Cash Conversion | 87.19% | ||
| Profit Quality | 106.33% | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.29 | ||
| Altman-Z | 1.82 |
F-Score8
WACC8.1%
ROIC/WACC1.88
Cap/Depr(3y)70.92%
Cap/Depr(5y)67.63%
Cap/Sales(3y)2.27%
Cap/Sales(5y)2.59%
Profit Quality(3y)122.96%
Profit Quality(5y)139.46%
High Growth Momentum
Growth
EPS 1Y (TTM)6.43%
EPS 3Y8.67%
EPS 5Y5.53%
EPS Q2Q%3.36%
EPS Next Y10.74%
EPS Next 2Y11.08%
EPS Next 3Y14.21%
EPS Next 5Y12.78%
Revenue 1Y (TTM)4.32%
Revenue growth 3Y6.43%
Revenue growth 5Y9.11%
Sales Q2Q%3.71%
Revenue Next Year5.6%
Revenue Next 2Y5.94%
Revenue Next 3Y6.4%
Revenue Next 5Y7.83%
EBIT growth 1Y10.98%
EBIT growth 3Y16.51%
EBIT growth 5Y13.29%
EBIT Next Year16.39%
EBIT Next 3Y11.28%
EBIT Next 5Y10.31%
FCF growth 1Y-17.78%
FCF growth 3Y2.9%
FCF growth 5Y0.78%
OCF growth 1Y-13.88%
OCF growth 3Y3.34%
OCF growth 5Y0.63%
PAYPAL HOLDINGS INC / 1PYPL.MI FAQ
Can you provide the ChartMill fundamental rating for PAYPAL HOLDINGS INC?
ChartMill assigns a fundamental rating of 6 / 10 to 1PYPL.MI.
What is the valuation status of PAYPAL HOLDINGS INC (1PYPL.MI) stock?
ChartMill assigns a valuation rating of 9 / 10 to PAYPAL HOLDINGS INC (1PYPL.MI). This can be considered as Undervalued.
What is the profitability of 1PYPL stock?
PAYPAL HOLDINGS INC (1PYPL.MI) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for 1PYPL stock?
The Price/Earnings (PE) ratio for PAYPAL HOLDINGS INC (1PYPL.MI) is 7.64 and the Price/Book (PB) ratio is 1.87.
Can you provide the dividend sustainability for 1PYPL stock?
The dividend rating of PAYPAL HOLDINGS INC (1PYPL.MI) is 3 / 10 and the dividend payout ratio is 2.48%.