PayPal Holdings (PYPL) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

PayPal Holdings

NasdaqGS•Financial Services•Credit Services

$58.21-0.57(-0.01%)After hours

Market Cap

$49.90B

P/E

10.6x

P/S

1.5x

P/B

2.6x

PayPal Holdings, Inc. operates a technology platform that enables digital payments for merchants and consumers worldwide. The company operates a two-sided network at scale that connects merchants and consumers that enables its customers to connect, transact, and send and receive payments through online and in person, as well as transfer and withdraw funds using various funding sources, such as bank accounts, PayPal or Venmo account balance, consumer credit and debit products, credit and debit cards, and cryptocurrencies, as well as other stored value products, including gift cards and eligible rewards. It provides payment solutions under the PayPal, PayPal Credit, Braintree, Venmo, Xoom, Hyperwallet, Honey, and Paidy names. The company was founded in 1998 and is headquartered in San Jose, California.

How this company scores

GoodMetricSide Score: 67/100

Strongest: Cash & Earnings Quality (23/25); weakest: Growth (13/25).

Profitability16/25

Growth13/25

Balance Sheet & Red Flags15/25

Cash & Earnings Quality23/25

Strengths

Strong marginsHigh ROECash-backed earningsConsistent free cash flow

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 10.6x5y range 7.9x – 54.1x

Currently below its 20-quarter median.

P/S · 1.5x5y range 1.1x – 8.9x

Currently below its 20-quarter median.

P/B · 2.6x5y range 2.0x – 10.4x

Currently below its 20-quarter median.

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

Some Concerns

Margin Pressure

Watch

Operating margins declined 6.9% — watch for continued compression, which may signal competitive or cost pressure.

Price & Volume

Market Cap $49.90B

Metrics at a Glance

as of September 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $34.30B
Q. Revenue: $8.58B
TTM EBITDA: $7.28B
TTM Op. Income: $5.83B
Q. Op. Income: $1.40B
TTM Net Income: $4.73B
Q. Net Income: $1.07B
EPS: $1.26
Shares Out.: $849.00M

$34.30B in TTM revenue grew 4.4% YoY, reaching $8.58B last quarter. TTM EBITDA of $7.28B and TTM operating income of $5.83B show growth is flowing through to the bottom line. TTM net income of $4.73B means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin: 19.3%
Op. Margin: 16.3%
Net Margin: 12.5%

Op. margin of 16.3% is down 1.7% YoY — costs are rising relative to revenue. Net margin at 12.5% Across the last 8 quarters, operating margin has fallen for 2 consecutive quarters — a weakening trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 10.6x
P/S Ratio: 1.5x
P/B Ratio: 2.6x

At 10.6x P/E, the stock trades below typical market levels. P/S of 1.5x and P/B of 2.6x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is down 22% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $81.62B
Cash: $7.16B
Long-Term Debt: $10.94B
Book Value: $19.48B
D/E Ratio: 0.6
Debt/EBITDA: 6.6

With $81.62B in assets and $10.94B in long-term debt, D/E is 0.6and book value is $19.48B — a conservative capital structure with a cushion to weather downturns. Across the last 8 quarters, debt/equity has risen for 2 consecutive quarters — a weakening trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $1.59B
TTM Free Cash Flow: $6.30B
FCF Margin: 18.4%
FCF / Net Income: 1.3

TTM FCF of $6.30B on $1.59B in operating cash flow. The FCF / Net Income ratio of 1.3x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 13% — a weakening trend.