PYPL
PayPal
$59.52
▼ 0.4%Updated Today 11:30 AM ET
PYPL at a glance — five pillars scored 0–100 from real filed financials.
Overall: Favorable · 68/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.
▼ Down 38.0% over the last 12 months
Market Cap
$40.11B
P/E
10.38x
Forward P/E (est.)
8.67x
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)
-4.3%
Rating Score
68/100
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 $40.11B.
In its latest reported year it generated about $33.17B in revenue and $5.23B in net profit.
Our model rates PYPL Favorable (68/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
Evidence of durable competitive advantage in the filed financials (8 years of history).
The filed history looks like a business competitors struggle to attack: high and steady margins, revenue that grows through cycles, and strong returns on capital.
17.3% average over the last 3 years
±1.4 pts around 15.9% across 8 years
grew in 7 of the last 7 year-over-year periods
positive in 8 of 8 years
16.0% latest fiscal year
A moat can't be proven by numbers alone — this scores the evidence a durable advantage leaves behind (pricing power, consistency, returns on capital), computed the same way for every stock. Pair it with the business overview before concluding anything.
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 $59.52, above its 50-day average ($44.88) and 200-day average ($53.77). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.
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 68 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 $1.47 (~2.5% 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 $45.49 (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 0.8× the 20-day average — about normal. 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.
4Y CAGR
6.9%
Revenue moved from $15.45B in 2018 to $33.17B in 2025, a 11.5% compound annual growth rate. The most recent year grew a steady 5.8% year over year. Slower, mature growth is common for established businesses.
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.
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.
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.
P/E
10.38x
P/S
1.16x
P/B
3.68x
EV / EBITDA
—
PYPL trades at 10.4x trailing earnings (about 8.7x on estimated forward earnings), 1.2x sales, and 3.7x book value. Reverse-engineering today's price implies the market expects roughly -4.3% long-term free-cash-flow growth. That is an undemanding multiple — potentially cheap if the business is stable.
A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.
DCF fair value / share
$119.81
Current price
$59.52
Starting FCF (latest 10-K)
$5.56B
Growth, years 1–5
5.8%
Fade to terminal, years 6–10
2.5%
Discount rate
9.0%
Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.
Where PYPL sits versus its Financials sector peers in the S&P 500.
Bands show the middle half (25th–75th percentile) of the 141 Financials companies in the S&P 500 — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.
How PYPL stacks up against its Financials peers — valuation, profitability, and growth versus the sector median.
In the Financials sector (289 S&P 500 companies), PYPL ranks #54 of 289 by our overall rating. It trades at a discount versus the sector on earnings (10.4x P/E vs. 15.8x median) with a higher return on equity (25.1% vs. 13.6%) and slower revenue growth (5.8% vs. 15.9%).
P/E vs sector
10.4x
median 15.8x
ROE vs sector
25.1%
median 13.6%
Growth vs sector
5.8%
median 15.9%
Sector rank
#54
of 289 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Financials companies by sub-industry and size. Sector median is across all 289 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$0.00 – $0.00
vs. $59.52 today · expected CAGR 1% – 12%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $35.16B | $37.27B | $39.51B | $41.88B | $44.39B |
| Net income | $5.63B | $5.96B | $6.32B | $6.70B | $7.10B |
| EPS | $8.35 | $8.85 | $9.38 | $9.94 | $10.54 |
| Share price (low) | $50.09 | $53.10 | $56.28 | $59.66 | $63.24 |
| Share price (high) | $83.49 | $88.50 | $93.81 | $99.43 | $105.40 |
| CAGR (low–high) | -16% / 40% | -6% / 22% | -2% / 16% | 0% / 14% | 1% / 12% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
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 (68/100).
The case against PYPL:
- Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
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 10.4x earnings, which our model scores Favorable (68/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Analyst Ratings
What 52 Wall Street analysts covering PYPL recommend (August 2026). Consensus is a useful sanity check — not a substitute for your own homework.
Latest SEC Filings
PYPL's most recent filings, straight from SEC EDGAR. Annual and quarterly reports are the deep dives; 8-Ks flag material events the moment they happen.
In the Idea Lab
PYPL — frequently asked questions
Is PYPL a good stock to buy?
We don't give buy or sell advice. Our model rates PayPal Favorable (68/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.
What is PYPL's rating on The Stocks School?
PayPal currently scores 68/100 (Favorable) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.
How our ratings work →Where does PYPL's data come from?
Live price data plus real fundamentals and 5-year financials pulled directly from PayPal's SEC filings — refreshed automatically, not hand-entered.
How is the 5-year projection for PYPL calculated?
It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.
Is this PYPL analysis financial advice?
No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell PYPL. Always do your own research and consider a licensed professional.
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.