41.975 USD
-10.35 (-19.79%)
Last: Feb 3, 2026, 03:46 PM
Taking everything into account, PYPL scores 6 out of 10 in our fundamental rating. PYPL was compared to 97 industry peers in the Financial Services industry. While PYPL has a great profitability rating, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on PYPL. With these ratings, PYPL could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
- PYPL had positive earnings in the past year.
- PYPL had a positive operating cash flow in the past year.
- Each year in the past 5 years PYPL has been profitable.
- In the past 5 years PYPL always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 6.16%, PYPL is in the better half of the industry, outperforming 78.35% of the companies in the same industry.
- PYPL's Return On Equity of 24.34% is amongst the best of the industry. PYPL outperforms 89.69% of its industry peers.
- With an excellent Return On Invested Capital value of 14.11%, PYPL belongs to the best of the industry, outperforming 90.72% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for PYPL is above the industry average of 8.50%.
- The 3 year average ROIC (11.47%) for PYPL is below the current ROIC(14.11%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.16% | ||
| ROE | 24.34% | ||
| ROIC | 14.11% |
ROA(3y)4.44%
ROA(5y)4.96%
ROE(3y)17.47%
ROE(5y)18.52%
ROIC(3y)11.47%
ROIC(5y)10.62%
1.3 Margins
- With a Profit Margin value of 14.96%, PYPL perfoms like the industry average, outperforming 58.76% of the companies in the same industry.
- In the last couple of years the Profit Margin of PYPL has remained more or less at the same level.
- PYPL has a better Operating Margin (19.16%) than 67.01% of its industry peers.
- PYPL's Operating Margin has improved in the last couple of years.
- PYPL's Gross Margin of 41.56% is fine compared to the rest of the industry. PYPL outperforms 60.82% of its industry peers.
- In the last couple of years the Gross Margin of PYPL has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.16% | ||
| PM (TTM) | 14.96% | ||
| GM | 41.56% |
OM growth 3Y2.07%
OM growth 5Y2.92%
PM growth 3Y-7.41%
PM growth 5Y-1.18%
GM growth 3Y-4.8%
GM growth 5Y-2.04%
2. Health
2.1 Basic Checks
- PYPL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- PYPL has less shares outstanding than it did 1 year ago.
- PYPL has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for PYPL is higher compared to a year ago.
2.2 Solvency
- PYPL has an Altman-Z score of 1.94. This is not the best score and indicates that PYPL is in the grey zone with still only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 1.94, PYPL is in the better half of the industry, outperforming 76.29% of the companies in the same industry.
- The Debt to FCF ratio of PYPL is 2.06, which is a good value as it means it would take PYPL, 2.06 years of fcf income to pay off all of its debts.
- PYPL has a Debt to FCF ratio of 2.06. This is in the better half of the industry: PYPL outperforms 73.20% of its industry peers.
- PYPL has a Debt/Equity ratio of 0.56. This is a neutral value indicating PYPL is somewhat dependend on debt financing.
- PYPL has a Debt to Equity ratio of 0.56. This is comparable to the rest of the industry: PYPL outperforms 53.61% of its industry peers.
- Even though the debt/equity ratio score it not favorable for PYPL, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.06 | ||
| Altman-Z | 1.94 |
ROIC/WACC1.78
WACC7.92%
2.3 Liquidity
- A Current Ratio of 1.34 indicates that PYPL should not have too much problems paying its short term obligations.
- PYPL has a Current ratio of 1.34. This is in the better half of the industry: PYPL outperforms 63.92% of its industry peers.
- PYPL has a Quick Ratio of 1.34. This is a normal value and indicates that PYPL is financially healthy and should not expect problems in meeting its short term obligations.
- With a decent Quick ratio value of 1.34, PYPL is doing good in the industry, outperforming 64.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
- PYPL shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.19%.
- PYPL shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.87% yearly.
- Looking at the last year, PYPL shows a small growth in Revenue. The Revenue has grown by 4.47% in the last year.
- Measured over the past years, PYPL shows a quite strong growth in Revenue. The Revenue has been growing by 12.34% on average per year.
EPS 1Y (TTM)-0.19%
EPS 3Y2.76%
EPS 5Y9.87%
EPS Q2Q%11.67%
Revenue 1Y (TTM)4.47%
Revenue growth 3Y7.82%
Revenue growth 5Y12.34%
Sales Q2Q%7.26%
3.2 Future
- The Earnings Per Share is expected to grow by 13.14% on average over the next years. This is quite good.
- The Revenue is expected to grow by 6.28% on average over the next years.
EPS Next Y9.71%
EPS Next 2Y8.71%
EPS Next 3Y9.86%
EPS Next 5Y13.14%
Revenue Next Year5.07%
Revenue Next 2Y5.38%
Revenue Next 3Y5.72%
Revenue Next 5Y6.28%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 7.98, the valuation of PYPL can be described as very cheap.
- Based on the Price/Earnings ratio, PYPL is valued a bit cheaper than 63.92% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 28.41, PYPL is valued rather cheaply.
- A Price/Forward Earnings ratio of 7.13 indicates a rather cheap valuation of PYPL.
- PYPL's Price/Forward Earnings ratio is in line with the industry average.
- PYPL is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.64, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.98 | ||
| Fwd PE | 7.13 |
4.2 Price Multiples
- PYPL's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. PYPL is cheaper than 85.57% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, PYPL is valued a bit cheaper than the industry average as 78.35% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.06 | ||
| EV/EBITDA | 6.58 |
4.3 Compensation for Growth
- PYPL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- PYPL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.82
PEG (5Y)0.81
EPS Next 2Y8.71%
EPS Next 3Y9.86%
5. Dividend
5.1 Amount
- PYPL has a Yearly Dividend Yield of 1.05%. Purely for dividend investing, there may be better candidates out there.
- In the last 3 months the price of PYPL has falen by -20.98%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
- Compared to an average industry Dividend Yield of 1.99, PYPL has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, PYPL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.05% |
5.2 History
- PYPL does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y8.71%
EPS Next 3Y9.86%
NASDAQ:PYPL (2/3/2026, 3:46:09 PM)
41.975
-10.35 (-19.79%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)10-28 2025-10-28/bmo
Earnings (Next)02-03 2026-02-03/bmo
Inst Owners80.89%
Inst Owner Change-2.32%
Ins Owners0.09%
Ins Owner Change0.12%
Market Cap39.27B
Revenue(TTM)32.86B
Net Income(TTM)4.92B
Analysts68.8
Price Target76.97 (83.37%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.05% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.61%
Min EPS beat(2)5.83%
Max EPS beat(2)9.38%
EPS beat(4)4
Avg EPS beat(4)7.86%
Min EPS beat(4)3.97%
Max EPS beat(4)12.26%
EPS beat(8)8
Avg EPS beat(8)9.88%
EPS beat(12)11
Avg EPS beat(12)7.2%
EPS beat(16)13
Avg EPS beat(16)6.14%
Revenue beat(2)2
Avg Revenue beat(2)0.4%
Min Revenue beat(2)0.26%
Max Revenue beat(2)0.55%
Revenue beat(4)2
Avg Revenue beat(4)-0.63%
Min Revenue beat(4)-2.67%
Max Revenue beat(4)0.55%
Revenue beat(8)3
Avg Revenue beat(8)-0.71%
Revenue beat(12)3
Avg Revenue beat(12)-1.01%
Revenue beat(16)3
Avg Revenue beat(16)-1.07%
PT rev (1m)-4.92%
PT rev (3m)-8.46%
EPS NQ rev (1m)-0.24%
EPS NQ rev (3m)-1.56%
EPS NY rev (1m)0.01%
EPS NY rev (3m)2.08%
Revenue NQ rev (1m)-0.18%
Revenue NQ rev (3m)0.3%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)0.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.98 | ||
| Fwd PE | 7.13 | ||
| P/S | 1.2 | ||
| P/FCF | 7.06 | ||
| P/OCF | 6.11 | ||
| P/B | 1.94 | ||
| P/tB | 4.35 | ||
| EV/EBITDA | 6.58 |
EPS(TTM)5.26
EY12.53%
EPS(NY)5.89
Fwd EY14.02%
FCF(TTM)5.95
FCFY14.17%
OCF(TTM)6.87
OCFY16.36%
SpS35.12
BVpS21.59
TBVpS9.65
PEG (NY)0.82
PEG (5Y)0.81
Graham Number50.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.16% | ||
| ROE | 24.34% | ||
| ROCE | 18.05% | ||
| ROIC | 14.11% | ||
| ROICexc | 20.4% | ||
| ROICexgc | 37.98% | ||
| OM | 19.16% | ||
| PM (TTM) | 14.96% | ||
| GM | 41.56% | ||
| FCFM | 16.93% |
ROA(3y)4.44%
ROA(5y)4.96%
ROE(3y)17.47%
ROE(5y)18.52%
ROIC(3y)11.47%
ROIC(5y)10.62%
ROICexc(3y)17.88%
ROICexc(5y)16.45%
ROICexgc(3y)39.06%
ROICexgc(5y)35.94%
ROCE(3y)14.68%
ROCE(5y)13.59%
ROICexgc growth 3Y7.88%
ROICexgc growth 5Y4.11%
ROICexc growth 3Y11.61%
ROICexc growth 5Y4.7%
OM growth 3Y2.07%
OM growth 5Y2.92%
PM growth 3Y-7.41%
PM growth 5Y-1.18%
GM growth 3Y-4.8%
GM growth 5Y-2.04%
F-Score8
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.06 | ||
| Debt/EBITDA | 1.55 | ||
| Cap/Depr | 88.04% | ||
| Cap/Sales | 2.62% | ||
| Interest Coverage | 15.43 | ||
| Cash Conversion | 88.34% | ||
| Profit Quality | 113.18% | ||
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.34 | ||
| Altman-Z | 1.94 |
F-Score8
WACC7.92%
ROIC/WACC1.78
Cap/Depr(3y)59.3%
Cap/Depr(5y)64.5%
Cap/Sales(3y)2.27%
Cap/Sales(5y)2.88%
Profit Quality(3y)157.9%
Profit Quality(5y)143.67%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.19%
EPS 3Y2.76%
EPS 5Y9.87%
EPS Q2Q%11.67%
EPS Next Y9.71%
EPS Next 2Y8.71%
EPS Next 3Y9.86%
EPS Next 5Y13.14%
Revenue 1Y (TTM)4.47%
Revenue growth 3Y7.82%
Revenue growth 5Y12.34%
Sales Q2Q%7.26%
Revenue Next Year5.07%
Revenue Next 2Y5.38%
Revenue Next 3Y5.72%
Revenue Next 5Y6.28%
EBIT growth 1Y10.67%
EBIT growth 3Y10.05%
EBIT growth 5Y15.61%
EBIT Next Year26.31%
EBIT Next 3Y11.09%
EBIT Next 5Y10.48%
FCF growth 1Y74.78%
FCF growth 3Y11.44%
FCF growth 5Y14.98%
OCF growth 1Y68.22%
OCF growth 3Y8.72%
OCF growth 5Y12.85%
PAYPAL HOLDINGS INC / PYPL FAQ
Can you provide the ChartMill fundamental rating for PAYPAL HOLDINGS INC?
ChartMill assigns a fundamental rating of 6 / 10 to PYPL.
What is the valuation status of PAYPAL HOLDINGS INC (PYPL) stock?
ChartMill assigns a valuation rating of 6 / 10 to PAYPAL HOLDINGS INC (PYPL). This can be considered as Fairly Valued.
Can you provide the profitability details for PAYPAL HOLDINGS INC?
PAYPAL HOLDINGS INC (PYPL) has a profitability rating of 7 / 10.
What is the financial health of PAYPAL HOLDINGS INC (PYPL) stock?
The financial health rating of PAYPAL HOLDINGS INC (PYPL) is 6 / 10.
Can you provide the expected EPS growth for PYPL stock?
The Earnings per Share (EPS) of PAYPAL HOLDINGS INC (PYPL) is expected to grow by 9.71% in the next year.