PYPL
PayPal Holdings, Inc.
Financial - Credit Services
Market Cap$42.76B
5Y Perf.-70.0%
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Stock Comparison
PYPL vs V
Revenue, margins, valuation, and 5-year total return — side by side.
V
Visa Inc.
Financial - Credit Services
Market Cap$617.80B
5Y Perf.+68.9%
PYPL vs V — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | PYPL | V |
|---|---|---|
| Industry | Financial - Credit Services | Financial - Credit Services |
| Market Cap | $42.76B | $617.80B |
| Revenue (TTM) | $33.17B | $40.00B |
| Net Income (TTM) | $5.06B | $22.24B |
| Gross Margin | 46.6% | 80.4% |
| Operating Margin | 18.3% | 60.0% |
| Forward P/E | 8.8x | 24.6x |
| Total Debt | $9.99B | $25.17B |
| Cash & Equiv. | $8.05B | $20.15B |
PYPL vs V — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
PYPL
V
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| PayPal Holdings, In… (PYPL) | 100 | 30.0 | -70.0% |
| Visa Inc. (V) | 100 | 168.9 | +68.9% |
Price return only. Dividends and distributions are not included.
Quick Verdict: PYPL vs V
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: V leads in 6 of 7 categories, making it the strongest pick for growth and revenue expansion and profitability and margin quality. PayPal Holdings, Inc. is the stronger pick specifically for valuation and capital efficiency. As sector peers, any of these can serve as alternatives in the same allocation.
PYPL
PayPal Holdings, Inc.
The Banking Pick
PYPL is the clearest fit if your priority is sleep-well-at-night and valuation efficiency.
- Lower volatility, beta 1.39, Low D/E 49.3%, current ratio 1.29x
- PEG 0.99 vs V's 1.56
- Lower P/E (8.8x vs 24.6x), PEG 0.99 vs 1.56
Best for: sleep-well-at-night and valuation efficiency
V
Visa Inc.
The Banking Pick
V carries the broadest edge in this set and is the clearest fit for income & stability and growth exposure.
- Dividend streak 15 yrs, beta 0.68, yield 0.7%
- Rev growth 11.3%, EPS growth 4.8%
- 334.8% 10Y total return vs PYPL's 20.1%
Best for: income & stability and growth exposure
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | V | 11.3% NII/revenue growth vs PYPL's 4.3% |
| Value | PYPL | Lower P/E (8.8x vs 24.6x), PEG 0.99 vs 1.56 |
| Quality / Margins | V | Efficiency ratio 0.2% vs PYPL's 0.3% (lower = leaner) |
| Stability / Safety | V | Beta 0.68 vs PYPL's 1.39 |
| Dividends | V | 0.7% yield, 15-year raise streak, vs PYPL's 0.3% |
| Momentum (1Y) | V | -6.9% vs PYPL's -31.8% |
| Efficiency (ROA) | V | Efficiency ratio 0.2% vs PYPL's 0.3% |
PYPL vs V — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2025
FY 2025
PYPL vs V — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLVLAGGINGPYPL
PYPLPayPal Holdings, Inc.
1leads
VVisa Inc.
5leads
6 Total Categories
CATEGORYLEADERvs PYPLMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
V5/5
Valuation MetricsMultiples, price ratios, and targets
PYPL7/7
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
V5/9
Total Returns1Y, 3Y, 5Y total returns with dividends
V6/6
Risk & VolatilityBeta, volatility, and downside exposure
V2/2
Analyst OutlookRatings, price targets, and dividends
V2/2
Income & Cash Flow (Last 12 Months)
V leads this category, winning 5 of 5 comparable metrics.
Income & Cash Flow (Last 12 Months)
V and PYPL operate at a comparable scale, with $40.0B and $33.2B in trailing revenue. V is the more profitable business, keeping 50.1% of every revenue dollar as net income compared to PYPL's 15.8%.
| Metric | PYPLPayPal Holdings, … | VVisa Inc. |
|---|---|---|
| RevenueTrailing 12 months | $33.2B | $40.0B |
| EBITDAEarnings before interest/tax | $6.7B | $27.6B |
| Net IncomeAfter-tax profit | $5.1B | $22.2B |
| Free Cash FlowCash after capex | $5.5B | $21.2B |
| Gross MarginGross profit ÷ Revenue | +46.6% | +80.4% |
| Operating MarginEBIT ÷ Revenue | +18.3% | +60.0% |
| Net MarginNet income ÷ Revenue | +15.8% | +50.1% |
| FCF MarginFCF ÷ Revenue | +16.8% | +53.9% |
| Rev. Growth (YoY)Latest quarter vs prior year | — | — |
| EPS Growth (YoY)Latest quarter vs prior year | -6.2% | +35.3% |
V leads this category, winning 5 of 5 comparable metrics.
Valuation Metrics
PYPL leads this category, winning 7 of 7 comparable metrics.
Valuation Metrics
At 8.6x trailing earnings, PYPL trades at a 73% valuation discount to V's 31.6x P/E. Adjusting for growth (PEG ratio), PYPL offers better value at 0.97x vs V's 1.99x — a lower PEG means you pay less per unit of expected earnings growth.
| Metric | PYPLPayPal Holdings, … | VVisa Inc. |
|---|---|---|
| Market CapShares × price | $42.8B | $617.8B |
| Enterprise ValueMkt cap + debt − cash | $44.7B | $622.8B |
| Trailing P/EPrice ÷ TTM EPS | 8.59x | 31.57x |
| Forward P/EPrice ÷ next-FY EPS est. | 8.75x | 24.65x |
| PEG RatioP/E ÷ EPS growth rate | 0.97x | 1.99x |
| EV / EBITDAEnterprise value multiple | 6.36x | 24.70x |
| Price / SalesMarket cap ÷ Revenue | 1.29x | 15.45x |
| Price / BookPrice ÷ Book value/share | 2.22x | 16.70x |
| Price / FCFMarket cap ÷ FCF | 7.69x | 28.63x |
PYPL leads this category, winning 7 of 7 comparable metrics.
Profitability & Efficiency
V leads this category, winning 5 of 9 comparable metrics.
Profitability & Efficiency
V delivers a 58.9% return on equity — every $100 of shareholder capital generates $59 in annual profit, vs $25 for PYPL. PYPL carries lower financial leverage with a 0.49x debt-to-equity ratio, signaling a more conservative balance sheet compared to V's 0.66x. On the Piotroski fundamental quality scale (0–9), PYPL scores 8/9 vs V's 5/9, reflecting strong financial health.
| Metric | PYPLPayPal Holdings, … | VVisa Inc. |
|---|---|---|
| ROE (TTM)Return on equity | +25.1% | +58.9% |
| ROA (TTM)Return on assets | +6.3% | +22.7% |
| ROICReturn on invested capital | +15.0% | +29.2% |
| ROCEReturn on capital employed | +18.1% | +36.2% |
| Piotroski ScoreFundamental quality 0–9 | 8 | 5 |
| Debt / EquityFinancial leverage | 0.49x | 0.66x |
| Net DebtTotal debt minus cash | $1.9B | $5.0B |
| Cash & Equiv.Liquid assets | $8.0B | $20.2B |
| Total DebtShort + long-term debt | $10.0B | $25.2B |
| Interest CoverageEBIT ÷ Interest expense | 19.28x | 26.72x |
V leads this category, winning 5 of 9 comparable metrics.
Total Returns (Dividends Reinvested)
V leads this category, winning 6 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in V five years ago would be worth $14,474 today (with dividends reinvested), compared to $1,890 for PYPL. Over the past 12 months, V leads with a -6.9% total return vs PYPL's -31.8%. The 3-year compound annual growth rate (CAGR) favors V at 12.4% vs PYPL's -14.6% — a key indicator of consistent wealth creation.
| Metric | PYPLPayPal Holdings, … | VVisa Inc. |
|---|---|---|
| YTD ReturnYear-to-date | -19.8% | -6.9% |
| 1-Year ReturnPast 12 months | -31.8% | -6.9% |
| 3-Year ReturnCumulative with dividends | -37.6% | +41.8% |
| 5-Year ReturnCumulative with dividends | -81.1% | +44.7% |
| 10-Year ReturnCumulative with dividends | +20.1% | +334.8% |
| CAGR (3Y)Annualised 3-year return | -14.6% | +12.4% |
V leads this category, winning 6 of 6 comparable metrics.
Risk & Volatility
V leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
V is the less volatile stock with a 0.68 beta — it tends to amplify market swings less than PYPL's 1.39 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. V currently trades 85.8% from its 52-week high vs PYPL's 58.5% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | PYPLPayPal Holdings, … | VVisa Inc. |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 1.39x | 0.68x |
| 52-Week HighHighest price in past year | $79.50 | $375.51 |
| 52-Week LowLowest price in past year | $38.46 | $293.89 |
| % of 52W HighCurrent price vs 52-week peak | +58.5% | +85.8% |
| RSI (14)Momentum oscillator 0–100 | 58.9 | 62.4 |
| Avg Volume (50D)Average daily shares traded | 16.8M | 7.0M |
V leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
V leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Wall Street rates PYPL as "Hold" and V as "Buy". Consensus price targets imply 12.6% upside for V (target: $362) vs 11.2% for PYPL (target: $52). For income investors, V offers the higher dividend yield at 0.73% vs PYPL's 0.29%.
| Metric | PYPLPayPal Holdings, … | VVisa Inc. |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Buy |
| Price TargetConsensus 12-month target | $51.67 | $362.45 |
| # AnalystsCovering analysts | 70 | 61 |
| Dividend YieldAnnual dividend ÷ price | +0.3% | +0.7% |
| Dividend StreakConsecutive years of raises | 1 | 15 |
| Dividend / ShareAnnual DPS | $0.13 | $2.36 |
| Buyback YieldShare repurchases ÷ mkt cap | +14.2% | +2.2% |
V leads this category, winning 2 of 2 comparable metrics.
Key Takeaway
V leads in 5 of 6 categories (Income & Cash Flow, Profitability & Efficiency). PYPL leads in 1 (Valuation Metrics).
Best OverallVisa Inc. (V)Leads 5 of 6 categories
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PYPL vs V: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is PYPL or V a better buy right now?
For growth investors, Visa Inc.
(V) is the stronger pick with 11. 3% revenue growth year-over-year, versus 4. 3% for PayPal Holdings, Inc. (PYPL). PayPal Holdings, Inc. (PYPL) offers the better valuation at 8. 6x trailing P/E (8. 8x forward), making it the more compelling value choice. Analysts rate Visa Inc. (V) a "Buy" — based on 61 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — PYPL or V?
On trailing P/E, PayPal Holdings, Inc.
(PYPL) is the cheapest at 8. 6x versus Visa Inc. at 31. 6x. On forward P/E, PayPal Holdings, Inc. is actually cheaper at 8. 8x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: PayPal Holdings, Inc. wins at 0. 99x versus Visa Inc. 's 1. 56x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.
03Which is the better long-term investment — PYPL or V?
Over the past 5 years, Visa Inc.
(V) delivered a total return of +44. 7%, compared to -81. 1% for PayPal Holdings, Inc. (PYPL). Over 10 years, the gap is even starker: V returned +334. 8% versus PYPL's +20. 1%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — PYPL or V?
By beta (market sensitivity over 5 years), Visa Inc.
(V) is the lower-risk stock at 0. 68β versus PayPal Holdings, Inc. 's 1. 39β — meaning PYPL is approximately 105% more volatile than V relative to the S&P 500. On balance sheet safety, PayPal Holdings, Inc. (PYPL) carries a lower debt/equity ratio of 49% versus 66% for Visa Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — PYPL or V?
By revenue growth (latest reported year), Visa Inc.
(V) is pulling ahead at 11. 3% versus 4. 3% for PayPal Holdings, Inc. (PYPL). On earnings-per-share growth, the picture is similar: PayPal Holdings, Inc. grew EPS 35. 6% year-over-year, compared to 4. 8% for Visa Inc.. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — PYPL or V?
Visa Inc.
(V) is the more profitable company, earning 50. 1% net margin versus 15. 8% for PayPal Holdings, Inc. — meaning it keeps 50. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: V leads at 60. 0% versus 18. 3% for PYPL. At the gross margin level — before operating expenses — V leads at 80. 4%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is PYPL or V more undervalued right now?
The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.
By this metric, PayPal Holdings, Inc. (PYPL) is the more undervalued stock at a PEG of 0. 99x versus Visa Inc. 's 1. 56x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, PayPal Holdings, Inc. (PYPL) trades at 8. 8x forward P/E versus 24. 6x for Visa Inc. — 15. 9x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for V: 12. 6% to $362. 45.
08Which pays a better dividend — PYPL or V?
All stocks in this comparison pay dividends.
Visa Inc. (V) offers the highest yield at 0. 7%, versus 0. 3% for PayPal Holdings, Inc. (PYPL).
09Is PYPL or V better for a retirement portfolio?
For long-horizon retirement investors, Visa Inc.
(V) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 68), 0. 7% yield, +334. 8% 10Y return). Both have compounded well over 10 years (V: +334. 8%, PYPL: +20. 1%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between PYPL and V?
Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
In terms of investment character: PYPL is a mid-cap deep-value stock; V is a large-cap quality compounder stock. V pays a dividend while PYPL does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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Revenue Growth>
%
(PYPL: 4.3% · V: 11.3%)Net Margin>
%
(PYPL: 15.8% · V: 50.1%)P/E Ratio<
x
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