PayPal Holdings, Inc. (PYPL) stock analysis
Company overview and business model
Source fact: 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.
Classification: NASDAQ · Financial Services · Credit Services
Revenue and growth
Source fact: Revenue was USD 33.17 billion for the period ending 2025-12-31.
Caverian calculation: Revenue changed +4.3% (FY2025 vs FY2024).
Profitability
Source fact: Net income was USD 5.23 billion in the latest reported period.
Source metric: Reported net margin was 15.8%.
Balance sheet and liquidity
Source fact: Cash and equivalents were USD 8.05 billion.
Source fact: Total debt was USD 9.99 billion.
Source metric: Current ratio was 1.29x.
Cash-flow analysis
Source fact: Operating cash flow was USD 6.42 billion.
Source fact: Free cash flow was USD 5.56 billion.
Valuation
Source metrics: Trailing P/E 11.67x; Forward P/E 10.66x; Price to book 2.68x; Price to sales 1.55x; EV/EBITDA 8.71x.
Caverian model output: Value score was 75/100.
Competitive position
Classification: Peer context: Credit Services within Financial Services.
Caverian model output: Quality score was 76/100.
Caverian model output: Growth score was 69/100.
Material risks
Caverian calculation: Altman Z-score was 1.99 (grey zone).
Caverian calculation: Piotroski F-score was 8/9.
Data sources and freshness
Freshness: This report uses a stored upstream snapshot; statement periods are shown alongside the figures.
Methodology and limitations
Facts reproduce stored upstream fields. Calculations derive only from the displayed stored statements. Model outputs are Caverian interpretations, not investment advice or a buy/sell recommendation.
How Caverian approaches valuation · Sources and product principles