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$56.56
Market Capi
$50B
Growth-adj P/E (3-yr hist)i
0.4x
Growth-adj P/E (3-yr proj)i
n/a
P/S 26Ei
1.5x
P/S 28Ei
1.3x
EV/EBIT 26Ei
8.8x
EV/EBIT 28Ei
8.7x
P/E 26Ei
11x
P/E 28Ei
9.3x
P/S 26Ei
1.5x
EV/EBIT 26Ei
8.8x
P/E 26Ei
11x
P/S 28Ei
1.3x
EV/EBIT 28Ei
8.7x
P/E 28Ei
9.3x
Revenue
2026E
$34B
Gross Margini
41%
Hist. CAGRi
6.4%
Proj. CAGRi
4.1%
EBIT
2026E
$5.9B
Op. Margini
19%
Hist. CAGRi
15%
Proj. CAGRi
-0.8%
Net profit
2026E
$4.5B
Net Margini
16%
Hist. CAGRi
29%
Proj. CAGRi
-3.3%
Business Model
Recent Developments
Average Targeti
$51.45+13%
Consensusi
Hold
43 analysts covering
Net debti
$2.3B
Div. Yieldi
0.9%
Buyback Yldi
6.7%
Market Capi
$50B
P/E 26Ei
11x
Adj. P/E (fwd.)i
—
Revenue 26E
$34B
Proj. CAGRi
4.1%
Gross Margini
41%
EBIT 26E
$5.9B
Proj. CAGRi
-0.8%
Op. Margini
19%
Net Profit 26E
$4.5B
Proj. CAGRi
-3.3%
Net Margini
16%
Average Targeti
$51.45+13%
Consensusi
Hold
43 analysts covering
Profile
PayPal operates a global two-sided payments network connecting consumers and merchants across online and in-person channels. Revenue breaks down by type rather than named business unit:
Industry
PayPal serves two distinct sides: merchants ranging from global enterprise retailers to individual small business owners, and consumers managing everyday spending, peer-to-peer transfers, and credit. The US accounts for roughly 57% of revenue; Europe and international markets make up the rest. The payments industry is highly competitive — Stripe, Adyen, Apple Pay, and card networks all contest the same checkout real estate — but switching costs for embedded merchants remain meaningful. Margins in transaction processing compress as volume scales and pricing competition intensifies.
Key metrics
Economic moat
PayPal's most durable advantage is its two-sided network of 434 million consumer accounts — merchants accept PayPal because consumers expect it, and consumers use PayPal because it's accepted everywhere. This creates a reinforcing loop that new entrants struggle to replicate from scratch. Braintree's deep developer integration and Venmo's social payment graph add secondary switching-cost layers. The risk is that PayPal functions increasingly as a pass-through rather than a destination, eroding the premium justification for its take rate as commoditized checkout infrastructure.
Enrique Lores
Lores became CEO on March 1, 2026, arriving from HP Inc. where he served as President and CEO since 2019, overseeing that company's separation from HPE and a sustained period of margin recovery and capital returns. His appointment represents a significant strategic bet: PayPal's board chose an operational turnaround specialist over a fintech or platform-native executive, signaling that execution discipline is the priority over product innovation in the near term.
Jamie Miller
Miller joined as CFO effective February 2026 alongside the CEO transition, bringing financial leadership continuity through the restructuring period. Her background includes senior finance roles at large-cap industrials, suggesting a focus on capital allocation rigor and cost discipline.
Srinivasan Venkatesan
Venkatesan has held the CTO role since June 2024, carrying responsibility for PayPal's technology modernization and AI integration agenda. His tenure predates the Lores era, providing continuity on the engineering side as the business restructures around three operating units.
Other key figures
Diego Scotti (Chief Marketing Officer since December 2023) leads brand and consumer marketing. The April 2026 restructure added Anshu Bhardwaj as Chief AI Transformation & Simplification Officer and Antonio Lucio as Chief Marketing & Corporate Affairs Officer — roles that reflect the new leadership team's emphasis on AI-driven efficiency and brand repositioning under Lores.
P/S Ratioi
EV/EBITi
P/E Ratioi
Revenue
CAGR (hist. 3-yr)i
0%
CAGR (proj. 3-yr)i
0%
EBIT
CAGR (hist. 3-yr)i
0%
CAGR (proj. 3-yr)i
0%
Net profit
CAGR (hist. 3-yr)i
0%
CAGR (proj. 3-yr)i
0%
Values in billions of USD.
Operating cashflow · Levered Free Cash Flow
Free Cash Flow
CAPEX
Values in billions of USD.
Margins
Rentability
Balance sheet
Values in billions of USD.
Liquidity ratios
Debt-to-Equity-Ratio
Last earnings
Q1 2026 revenue grew 7% year-over-year to $8.35B, driven by total payment volume expanding 11% to $463.96B — a sign the core transaction engine is still accelerating even as margin pressure persists.
Non-GAAP EPS of $1.34 beat consensus by roughly $0.07, though GAAP EPS fell 6% year-over-year, reflecting the gap between reported and adjusted profitability that continues to frustrate some investors.
Management reiterated full-year 2026 guidance calling for mid-single digit GAAP EPS decline and non-GAAP EPS ranging from low-single digit decline to slightly positive — a cautious range that offered little incremental upside for shareholders.
Recent developments
On March 1, 2026, Enrique Lores took over as President and CEO, a high-profile hire from HP Inc. His appointment signals the board's intent to import operational discipline and enterprise sales expertise into a company still navigating a post-pandemic normalization.
On April 29, 2026, PayPal announced a strategic reorganization into three distinct business units: Checkout Solutions & PayPal, Consumer Financial Services & Venmo, and Payment Services & Crypto. The move is designed to simplify decision-making and accelerate execution across each unit independently.
New executive appointments accompanied the restructure, including Frank Keller as President of Checkout Solutions, Anshu Bhardwaj as Chief AI Transformation Officer, and Antonio Lucio as Chief Marketing & Corporate Affairs Officer — filling roles that had been vacant or consolidated under prior leadership.
Debate & sentiment
Bulls point to deeply discounted valuation multiples relative to the company's free cash flow generation and buyback pace — PayPal repurchased approximately $1.5B of stock in Q1 2026 alone, signaling management confidence in intrinsic value even as the stock trades near multi-year lows.
Bears worry that revenue growth is outpacing profit growth in the wrong direction — TPV expansion is healthy, but GAAP earnings are declining, and the new three-unit structure adds execution risk during a critical leadership transition under a CEO with no prior fintech experience.
The Lores appointment is itself a binary signal: optimists see a proven operational turnaround specialist, while skeptics note the mismatch between PayPal's platform-and-network business and HP's hardware-distribution model. How quickly the new org structure shows margin improvement will likely determine whether sentiment shifts meaningfully before year-end.
Consensusi
Hold
Average targeti
$51.45+13%
Highest targeti
$147.39+224%
Lowest targeti
$32.00-30%
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