PayPal Holdings
Market Cap
US$228.8b
Last Updated
2020/10/30 03:21 UTC
Data Sources
Company Financials +
Executive Summary
PayPal Holdings, Inc. operates as a technology platform and digital payments company that enables digital and mobile payments on behalf of consumers and merchants worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential with adequate balance sheet.
Similar Companies
Share Price & News
How has PayPal Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PYPL has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-3.9%
PYPL
-6.6%
US IT
-4.1%
US Market
1 Year Return
85.8%
PYPL
17.7%
US IT
12.0%
US Market
Return vs Industry: PYPL exceeded the US IT industry which returned 17.7% over the past year.
Return vs Market: PYPL exceeded the US Market which returned 12% over the past year.
Shareholder returns
| PYPL | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.9% | -6.6% | -4.1% |
| 30 Day | -1.0% | -5.1% | -0.2% |
| 90 Day | -0.5% | -2.5% | 2.8% |
| 1 Year | 85.8%85.8% | 18.9%17.7% | 14.6%12.0% |
| 3 Year | 165.8%165.8% | 78.4%71.6% | 35.8%26.8% |
| 5 Year | 438.2%438.2% | 135.4%117.1% | 75.2%55.6% |
Price Volatility Vs. Market
How volatile is PayPal Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Does PayPal Holdings' (NASDAQ:PYPL) CEO Salary Compare Well With Industry Peers?3 weeks ago | Simply Wall St
Is PayPal Holdings, Inc.'s (NASDAQ:PYPL) Latest Stock Performance Being Led By Its Strong Fundamentals?1 month ago | Simply Wall St
Should You Use PayPal Holdings's (NASDAQ:PYPL) Statutory Earnings To Analyse It?Valuation
Is PayPal Holdings undervalued compared to its fair value and its price relative to the market?
88.65x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: PYPL ($195.04) is trading above our estimate of fair value ($135.74)
Significantly Below Fair Value: PYPL is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: PYPL is poor value based on its PE Ratio (88.6x) compared to the US IT industry average (30.8x).
PE vs Market: PYPL is poor value based on its PE Ratio (88.6x) compared to the US market (18.1x).
Price to Earnings Growth Ratio
PEG Ratio: PYPL is poor value based on its PEG Ratio (4.2x)
Price to Book Ratio
PB vs Industry: PYPL is overvalued based on its PB Ratio (13x) compared to the US IT industry average (3.6x).
Next Steps
Future Growth
How is PayPal Holdings forecast to perform in the next 1 to 3 years based on estimates from 41 analysts?
21.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PYPL's forecast earnings growth (21.3% per year) is above the savings rate (2.2%).
Earnings vs Market: PYPL's earnings (21.3% per year) are forecast to grow slower than the US market (22% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: PYPL's revenue (16.3% per year) is forecast to grow faster than the US market (10% per year).
High Growth Revenue: PYPL's revenue (16.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PYPL's Return on Equity is forecast to be high in 3 years time (23.3%)
Next Steps
Past Performance
How has PayPal Holdings performed over the past 5 years?
16.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PYPL has high quality earnings.
Growing Profit Margin: PYPL's current net profit margins (13.4%) are lower than last year (15.4%).
Past Earnings Growth Analysis
Earnings Trend: PYPL's earnings have grown by 16.6% per year over the past 5 years.
Accelerating Growth: PYPL's earnings growth over the past year (2.9%) is below its 5-year average (16.6% per year).
Earnings vs Industry: PYPL earnings growth over the past year (2.9%) underperformed the IT industry 5.9%.
Return on Equity
High ROE: PYPL's Return on Equity (14.6%) is considered low.
Next Steps
Financial Health
How is PayPal Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: PYPL's short term assets ($46.5B) exceed its short term liabilities ($33.7B).
Long Term Liabilities: PYPL's short term assets ($46.5B) exceed its long term liabilities ($11.8B).
Debt to Equity History and Analysis
Debt Level: PYPL's debt to equity ratio (50.5%) is considered high.
Reducing Debt: PYPL's debt to equity ratio has increased from 0.8% to 50.5% over the past 5 years.
Debt Coverage: PYPL's debt is well covered by operating cash flow (69.9%).
Interest Coverage: PYPL's interest payments on its debt are well covered by EBIT (971.3x coverage).
Balance Sheet
Next Steps
Dividend
What is PayPal Holdings's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate PYPL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate PYPL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if PYPL's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if PYPL's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of PYPL's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.3yrs
Average management tenure
CEO
Dan Schulman (62 yo)
5.25yrs
Tenure
US$25,825,473
Compensation
Mr. Daniel H. Schulman, also known as Dan, has been the President of PayPal Holdings, Inc. since September 30, 2014 and has been its Chief Executive Officer since July 2015 and served as Chief Executive Of ...
CEO Compensation Analysis
Compensation vs Market: Dan's total compensation ($USD25.83M) is above average for companies of similar size in the US market ($USD11.21M).
Compensation vs Earnings: Dan's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 5.25yrs | US$25.83m | 0.038% $ 87.1m | |
| CFO & Executive VP of Global Customer Operations | 5.17yrs | US$11.18m | 0.0092% $ 21.0m | |
| Executive VP and Chief Business Affairs & Legal Officer | 4.08yrs | US$11.19m | 0.0045% $ 10.3m | |
| Executive VP and Chief Strategy | 5.5yrs | US$8.36m | 0.0052% $ 11.8m | |
| Chief Risk Officer and Executive VP of Risk & Platforms | 1.75yrs | US$8.84m | 0.0029% $ 6.5m | |
| VP, Chief Accounting Officer & Global Controller | 0.25yr | no data | 0.00046% $ 1.1m | |
| CTO & Senior VP | 4.5yrs | no data | no data | |
| Vice President of Corporate Finance & Investor Relations | no data | no data | no data | |
| Senior Vice President of Corporate Affairs | no data | no data | no data | |
| Executive VP of Global Sales | 0.58yr | no data | 0.00066% $ 1.5m | |
| Head of Engineering & GM of the Chennai Technology Center - India | no data | no data | no data | |
| Managing Director of India | 4.33yrs | no data | no data |
4.3yrs
Average Tenure
48yo
Average Age
Experienced Management: PYPL's management team is considered experienced (4.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 5.25yrs | US$25.83m | 0.038% $ 87.1m | |
| Independent Director | 5.25yrs | US$375.10k | 0.0015% $ 3.5m | |
| Independent Director | 5.33yrs | US$395.10k | 0.00078% $ 1.8m | |
| Independent Director | 5.33yrs | US$385.10k | 0.0029% $ 6.6m | |
| Independent Chairman of the Board | 5.25yrs | US$455.04k | 0.0040% $ 9.2m | |
| Independent Director | 5.33yrs | US$393.10k | 0.0016% $ 3.7m | |
| Independent Director | 3.08yrs | US$385.10k | 0.0015% $ 3.5m | |
| Independent Director | 3.33yrs | US$375.10k | 0.0014% $ 3.2m | |
| Independent Director | 5.25yrs | US$373.10k | 0.0016% $ 3.6m | |
| Independent Director | 1.75yrs | US$191.60k | 0.00046% $ 1.1m | |
| Independent Director | 3.75yrs | US$375.10k | 0.0013% $ 3.0m |
5.3yrs
Average Tenure
61yo
Average Age
Experienced Board: PYPL's board of directors are considered experienced (5.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: PYPL insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
PayPal Holdings, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: PayPal Holdings, Inc.
- Ticker: PYPL
- Exchange: NasdaqGS
- Founded: 1998
- Industry: Data Processing and Outsourced Services
- Sector: Software
- Market Cap: US$228.840b
- Shares outstanding: 1.17b
- Website: https://www.paypal.com
Number of Employees
Location
- PayPal Holdings, Inc.
- 2211 North First Street
- San Jose
- California
- 95131
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PYPL | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Jul 2015 |
| 2PP | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jul 2015 |
| 2PP | XTRA (XETRA Trading Platform) | Yes | Common Stock | DE | EUR | Jul 2015 |
| PYPL * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jul 2015 |
| 0R9U | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jul 2015 |
| PYPL | SWX (SIX Swiss Exchange) | Yes | Common Stock | CH | CHF | Jul 2015 |
| PYPL-U | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Jul 2015 |
| PYPL | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Jul 2015 |
| PYPL | BVL (Bolsa de Valores de Lima) | Yes | Common Stock | PE | USD | Jul 2015 |
| PYPL-RM | MISX (Micex - Rts) | Yes | Common Stock | RU | USD | Jul 2015 |
| PYPL | BASE (Buenos Aires Stock Exchange) | CEDEAR EACH 4 REP 1 COM USD0.0001 | AR | ARS | Apr 2019 | |
| PYPL34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 2 REPR 1 COM | BR | BRL | May 2019 |
Biography
PayPal Holdings, Inc. operates as a technology platform and digital payments company that enables digital and mobile payments on behalf of consumers and merchants worldwide. Its payment solutions include P ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/30 03:21 |
| End of Day Share Price | 2020/10/29 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.