PYPL PayPal Holdings, Inc. - Fundamental Analysis
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PYPL Stock | Fundamental Analysis & Investment Insights
NASDAQ
Financial Services
Credit Services
Current Price
Live
$56.89
Analyst Target
$74.48
+30.9%
Upside
52W High
$92.21
52W Low
$55.85
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Jan 17, 2026
Market cap
$54.35B
P/E
11.42
ROE
24.4%
Profit margin
15.0%
Debt/Equity
0.6
Dividend yield
0.99%
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
72%
Analysis Accuracy
PayPal's Piotroski F-Score of 6/9 indicates stable financial health, while the absence of an Altman Z-Score prevents a full distress risk assessment. The stock appears undervalued relative to its Graham Number of $49.04 and growth-based intrinsic value of $146.91, currently trading at $56.89. Strong profitability metrics like 24.36% ROE and 19.20% operating margin are offset by weak insider sentiment and bearish technical trends. Despite solid earnings growth and a low P/E ratio compared to sector peers, declining price performance and lack of insider buying suggest caution.
Key Strengths
Piotroski F-Score of 6 indicates stable financial health with balanced performance across profitability, leverage, and operating efficiency
High profitability with ROE of 24.36%, ROA of 4.70%, and operating margin of 19.20% exceeding sector averages
Attractive valuation with P/E of 11.42 well below sector average of 24.49, suggesting potential undervaluation
Strong earnings growth momentum with YoY EPS growth of 8.3% and recent quarterly beats averaging 10.71% surprise
Low debt burden with Debt/Equity ratio of 0.60, below sector average of 1.05, enhancing financial flexibility
Key Risks
Altman Z-Score unavailable, creating uncertainty around bankruptcy risk despite otherwise stable metrics
Bearish technical trend (0/100) and prolonged price underperformance with 1Y return of -35.9% and 5Y change of -76.9%
Insider selling activity totaling $2.43M over last 6 months with zero buy transactions, signaling lack of confidence from insiders
Very low dividend strength score (10/100) and minimal yield of 0.99%, reducing appeal for income investors
Weak liquidity position highlighted by a low Quick Ratio of 0.26, indicating potential difficulty in meeting short-term obligations without asset liquidation
AI Fair Value Estimate
Based on comprehensive analysis
$105.5
+85.4% above current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
61
Strong
82
65
58
70
30
AI Verdict
Neutral with upside potential if execution improves
Key drivers: Low valuation multiples, Strong ROE and earnings growth, Stable Piotroski score, Bearish technicals and insider activity
Confidence
75%
Value
82/100
Ref P/E, PEG, Graham Number
Positives
- Current price ($56.89) near Graham Number ($49.04)
- P/E of 11.42 significantly below sector average (24.49)
- Forward P/E of 9.88 suggests further earnings de-rating priced in
Watchpoints
- Intrinsic value ($146.91) not supported by current growth trajectory
- EV/EBITDA and other key EV metrics unavailable
Future
65/100
Ref Growth rates
Positives
- Revenue growth of 7.30% YoY
- Earnings growth of 31.30% YoY
- Q/Q EPS growth of 23.60%
Watchpoints
- Growth slowing from prior highs
- PEG Ratio unavailable due to inconsistent earnings expectations
Past
58/100
Ref Historical trends
Positives
- 21 out of 25 quarters beat EPS estimates
- Consistent earnings surprise averaging 10.71% over last 4 quarters
Watchpoints
- Recent price performance extremely weak: -35.9% over 1Y
- 5Y return of -76.9% indicates structural challenges
Health
70/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Piotroski F-Score of 6/9 indicates stable financial condition
- Debt/Equity of 0.60 is conservative relative to sector
Watchpoints
- Altman Z-Score not available, limiting distress risk analysis
- Quick Ratio of 0.26 signals weak short-term liquidity
Dividend
30/100
Ref Yield, Payout
Positives
- Dividend payout ratio of 0.00% allows for future increases
Watchpoints
- Dividend Strength score of 10/100
- Yield of only 0.99%
- No 5-year average yield data, suggesting short dividend history
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$56.89
Analyst Target
$74.48
Upside/Downside
+30.9%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for PYPL and closest competitors.
Updated 2026-01-16
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
PYPL
PayPal Holdings, Inc.
Primary
|
-76.9% | -28.9% | -35.9% | -23.1% | -5.5% | -1.3% |
|
BSBR
Banco Santander (Brasil) S.A.
Peer
|
+32.0% | +44.7% | +66.4% | +42.2% | +10.6% | +10.4% |
|
AFL
Aflac Incorporated
Peer
|
+158.3% | +57.2% | +4.8% | +4.7% | -3.2% | -2.2% |
|
ARES
Ares Management Corporation
Peer
|
+300.6% | +116.1% | -18.2% | -15.2% | -7.8% | -8.1% |
|
MET
MetLife, Inc.
Peer
|
+71.8% | +17.7% | -8.0% | +1.0% | -7.0% | -3.3% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
11.42
Forward P/E
9.88
PEG Ratio
N/A
P/B Ratio
2.65
P/S Ratio
1.65
EV/Revenue
1.66
EV/EBITDA
8.25
Market Cap
$54.35B
Profitability
Profit margins and return metrics
Profit Margin
14.96%
Operating Margin
19.2%
Gross Margin
41.56%
ROE
24.36%
ROA
4.7%
Growth
Revenue and earnings growth rates
Revenue Growth
+7.3%
Earnings Growth
+31.3%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+23.6%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
0.6
Moderate
Current Ratio
1.34
Good
Quick Ratio
0.26
Poor
Cash/Share
$11.49
Quarterly Earnings History
EPS performance vs analyst estimates
2026-02-03
$N/A
2025-10-28
$1.3
+14.5% surprise
2025-07-29
$1.29
+3.1% surprise
2025-04-29
$1.33
+14.5% surprise
Financial Services Sector Comparison
Comparing PYPL against 208 companies in the Financial Services sector
(5 bullish, 111 neutral, 92 bearish)
P/E Ratio
11.42
This Stock
vs
30.37
Sector Avg
-62.4%
(Discount)
Return on Equity (ROE)
24.36%
This Stock
vs
-7.62%
Sector Avg
-419.6%
(Below Avg)
Profit Margin
14.96%
This Stock
vs
82.75%
Sector Avg
-81.9%
(Weaker)
Debt to Equity
0.6
This Stock
vs
1.48
Sector Avg
-59.2%
(Less Debt)
Revenue Growth
7.3%
This Stock
vs
28.35%
Sector Avg
-74.2%
(Slower)
Current Ratio
1.34
This Stock
vs
3.81
Sector Avg
-64.8%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
PYPL
PayPal Holdings, Inc.
|
NEUTRAL | $54.35B | 11.42 | 24.4% | 15.0% | $56.89 | |
|
BSBR
Banco Santander (Brasil) S.A.
|
BEARISH | $51.52B | 24.18 | 9.9% | 26.9% | $6.77 | |
|
AFL
Aflac Incorporated
|
NEUTRAL | $57.28B | 14.22 | 15.6% | 23.6% | $107.09 | |
|
ARES
Ares Management Corporation
|
NEUTRAL | $51.07B | 68.07 | 17.1% | 12.1% | $155.89 | |
|
MET
MetLife, Inc.
|
NEUTRAL | $51.05B | 14.46 | 12.8% | 5.3% | $76.77 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2026-01-02 | LORES ENRIQUE J | Director | Stock Award | 2,881 | - |
| 2026-01-02 | STANLEY DEIRDRE | Director | Stock Award | 1,892 | - |
| 2026-01-02 | DORMAN DAVID WYATT | Director | Stock Award | 2,150 | - |
| 2025-12-15 | MILLER JAMIE S | Chief Operating Officer | Stock Award | 12,004 | - |
| 2025-12-15 | GILL MICHELLE | Officer | Stock Award | 12,004 | - |
| 2025-12-01 | KELLER FRANK | Officer | Stock Award | 5,792 | - |
| 2025-11-19 | KEREERE SUZAN | Officer | Sale | 4,162 | $249,057 |
| 2025-11-14 | KEREERE SUZAN | Officer | Stock Award | 8,503 | - |
| 2025-11-10 | WEBSTER AARON JAMES | Officer | Sale | 9,282 | $615,310 |
| 2025-11-03 | KEREERE SUZAN | Officer | Sale | 12,500 | $860,935 |
| 2025-10-30 | KEREERE SUZAN | Officer | Sale | 5,000 | $347,622 |
| 2025-10-30 | NATALI CHRIS | Officer | Sale | 1,374 | $94,987 |
| 2025-10-30 | SCOTTI DIEGO | Officer | Sale | 3,838 | $264,702 |
| 2025-10-15 | CHRISS JAMES ALEXANDER | Chief Executive Officer | Stock Award | 106,671 | - |
| 2025-10-15 | SCOTTI DIEGO | Officer | Stock Award | 8,588 | - |
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
HOLD
33 analysts
Piper Sandler
2026-01-14
Neutral
Neutral
Daiwa Capital
2026-01-13
Outperform
Neutral
Susquehanna
2026-01-08
Positive
Positive
Citigroup
2026-01-05
Neutral
Neutral
Mizuho
2025-12-22
Outperform
Outperform
Morgan Stanley
2025-12-18
Equal-Weight
Underweight
Baird
2025-12-12
Outperform
Neutral
B of A Securities
2025-12-11
Buy
Neutral
Wells Fargo
2025-12-09
Equal-Weight
Equal-Weight
Evercore ISI Group
2025-12-08
In-Line
In-Line
Past News Coverage
Recent headlines mentioning PYPL from our newsroom.
Newest → oldest
No matching news yet.