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PYPL

S&P 500
Favorable · 66/100

PayPal

Financials
Transaction & Payment Processing Services

$42.34

0.4%

Updated Today 7:15 PM ET

Price — Past Year

▼ Down 38.0% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$37.50B

P/E

7.41x

Forward P/E (est.)

6.19x

ROE

25.1%

Revenue Growth

5.8%

EPS Growth

19.8%

Profit Margin

15.0%

FCF Yield

10.0%

Debt / Equity

0.56x

ROIC

16.0%

Interest Coverage

17.48x

Current Ratio

1.26x

Dividend Yield

1.3%

Implied Growth (rev. DCF)

-5.1%

Rating Score

66/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what PYPL's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. PYPL trades near $42.34, below its 50-day average ($45.86) and 200-day average ($54.87). Price below both averages is a downtrend — momentum is against buyers for now.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 39 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.

Volatility — ATR. Average True Range is the typical daily move. PYPL's is $1.39 (~3.3% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month PYPL found buyers near $40.20 (support) and sellers near $45.99 (resistance); its 52-week range is $38.46–$79.50. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 1.6× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

PayPal (PYPL) is a large-cap company in the Transaction & Payment Processing Services industry, part of the Financials sector of the S&P 500, with a market value around $37.50B.

In its latest reported year it generated about $33.17B in revenue and $5.23B in net profit.

Our model rates PYPL Favorable (66/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

6.9%

Revenue moved from $25.37B in 2021 to $33.17B in 2025, a 6.9% compound annual growth rate. The most recent year grew a steady 5.8% year over year. Slower, mature growth is common for established businesses.

Profitability
Research

Gross Margin

40.9%

Operating Margin

18.3%

Net Margin

15.8%

ROE

25.1%

PayPal keeps about 15.0% of each sales dollar as net profit, with a 40.9% gross margin and 18.3% operating margin. Return on equity is 25.1% and return on invested capital about 16.0%. Margins this wide usually signal pricing power or a cost advantage.

Debt Analysis
Research

Total Debt

$10.88B

Net Debt

$3.90B

Net Debt / EBITDA

0.64x

Debt / Equity

0.56x

Leverage: debt-to-equity is 0.6x, and operating profit covers interest about 17.5x, with a current ratio of 1.3x. That is a moderate, manageable debt load for most businesses. It carries roughly $10.88B of total debt against $6.98B of cash.

Cash Flow Analysis
Research

Operating CF

$6.42B

Free Cash Flow

$5.56B

FCF Margin

16.8%

In the latest year PayPal produced about $6.42B of operating cash flow and $5.56B of free cash flow after capital spending. That is a free-cash-flow yield of about 10.0% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.

Valuation Analysis
Research

P/E

7.41x

P/S

1.16x

P/B

2.63x

EV / EBITDA

6.03x

PYPL trades at 7.4x trailing earnings (about 6.2x on estimated forward earnings), 1.2x sales, and 2.6x book value. Reverse-engineering today's price implies the market expects roughly -5.1% long-term free-cash-flow growth. That is an undemanding multiple — potentially cheap if the business is stable.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
7.4xCheap
Forward P/E
6.2xCheap
P/S ratio
1.2xCheap
Revenue growth
5.8%Average
EPS growth
19.8%Strong
Gross margin
40.9%Average
Net margin
15.0%Strong
ROE
25.1%Strong

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How PYPL stacks up against its Financials peers — valuation, profitability, and growth versus the sector median.

In the Financials sector (76 S&P 500 companies), PYPL ranks #33 of 76 by our overall rating. It trades at a discount versus the sector on earnings (7.4x P/E vs. 15.2x median) with a higher return on equity (25.1% vs. 15.3%) and slower revenue growth (5.8% vs. 9.1%).

P/E vs sector

7.4x

median 15.2x

ROE vs sector

25.1%

median 15.3%

Growth vs sector

5.8%

median 9.1%

Sector rank

#33

of 76 by rating

CompanyP/ERev Gr.Rating
PYPLThis stock7.4x5.8%Favorable· 66
XYZ55.1x2.3%Weak· 25
FISV7.9x1.9%Neutral· 50
CPAY18.8x18.3%Favorable· 71
FIS7.4x12.2%Favorable· 70
GPN13.1x-12.6%Neutral· 44
JKHY17.3x8.4%Strong· 74
PRU10.7x3.9%Neutral· 50
Financials median15.2x9.1%65/100

Valuation vs. quality map

sector medianXYZFISVCPAYFISGPNJKHYPRUPYPLP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Financials companies by sub-industry and size. Sector median is across all 76 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$40.26$64.42

vs. $42.34 today · expected CAGR -1%9%

Metric20262027202820292030
Revenue$35.16B$37.27B$39.51B$41.88B$44.39B
Net income$5.63B$5.96B$6.32B$6.70B$7.10B
EPS$6.38$6.76$7.17$7.60$8.05
Share price (low)$31.89$33.80$35.83$37.98$40.26
Share price (high)$51.02$54.08$57.33$60.77$64.42
CAGR (low–high)-25% / 21%-11% / 13%-5% / 11%-3% / 9%-1% / 9%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for PYPL:

  • High net margins (15.0%) point to pricing power or efficiency.
  • Strong return on equity (25.1%) shows capital is put to work well.
  • Healthy free-cash-flow yield (~10.0%) funds buybacks and dividends.
  • Our model's overall read is Favorable (66/100).
Bear Case

The case against PYPL:

  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the fundamentals screen favourably: PayPal is a large-cap financials business growing at a mature pace, with solid profitability, and a sound balance sheet. It trades at 7.4x earnings, which our model scores Favorable (66/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.