PayPal Holdings, Inc. (PYPL) P/E Ratio History
UndervaluedTrading at 11.0x vs 5Y avg 22.3x · 20th percentile · Below historical baseline · Data 2015–2026
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P/E Ratio Analysis
As of November 7, 2026, PayPal Holdings, Inc. (PYPL) trades at a price-to-earnings ratio of 11.0x, with a stock price of $59.24 and trailing twelve-month earnings per share of $5.51.
The current P/E is 51% below its 5-year average of 22.3x. Over the past five years, PYPL's P/E has ranged from a low of 8.2x to a high of 53.7x, placing the current valuation at the 20th percentile of its historical range.
Compared to the Financial Services sector median P/E of 14.1x, PYPL trades at a 22% discount to its sector peers. The sector includes 819 companies with P/E ratios ranging from 0.0x to 196.1x.
The PEG ratio of 1.24 (P/E divided by 36% EPS growth) suggests a fair valuation relative to its earnings growth. Peter Lynch popularized the rule that a PEG below 1.0 indicates an attractive entry point.
Relative to the broader market, PYPL trades at a notable discount to the S&P 500 median P/E of 26.3x. Investors should consider the company's growth prospects, competitive position, and earnings quality when evaluating whether the current valuation is justified.
For a comprehensive intrinsic value estimate using discounted cash flow analysis, see our PYPL DCF Valuation Calculator →
Note: P/E ratio is just one valuation metric. It does not account for balance sheet strength, cash flow quality, or growth sustainability. Always conduct comprehensive due diligence before making investment decisions.
PYPL Cross-Benchmark Valuation
How does the current P/E compare to sector peers and the broader market?
PYPL P/E vs Peers
Merchant Acquiring and POS peers sorted by market cap
| Company | Market Cap | P/E Ratio | PEG Ratio | EPS Growth (1Y) |
|---|---|---|---|---|
| $789B | 41.4 | 2.62 | +5% | |
| $577B | 39.5 | 1.88 | +19% | |
| $15B | 38.3 | 1.57 | -47% | |
| $34B | 9.9Lowest | 0.28Best | +18% | |
| $24B | 16.7 | 0.68 | -5% | |
| $6B | 21.5 | - | +13% | |
| $23B | 454.1 | - | +109% | |
| $21B | 41.6 | - | +0% | |
| $5B | 40.2 | - | +70% | |
| $5B | 72.0 | - | +263%Best |
Lower P/E can signal a discount or weaker growth expectations; PEG adds growth context.
PYPL Historical P/E Data (2015–2026)
Quarterly P/E ratios calculated from closing price and TTM EPS
| Quarter | Period End | Price | TTM EPS | P/E Ratio | vs Avg |
|---|---|---|---|---|---|
| FY2026 Q3 | Sep 30 2026 | $52.53 | $5.24 | 10.0x | -74% |
| FY2026 Q2 | - | $43.18 | $5.29 | 8.2x | -79% |
| FY2026 Q1 | - | $45.23 | $5.33 | 8.5x | -78% |
| FY2025 Q4 | Dec 31 2025 | $58.38 | $5.41 | 10.8x | -72% |
| FY2025 Q3 | - | $67.06 | $4.99 | 13.4x | -65% |
| FY2025 Q2 | Jun 30 2025 | $74.32 | $4.68 | 15.9x | -58% |
| FY2025 Q1 | Mar 31 2025 | $65.25 | $4.47 | 14.6x | -62% |
| FY2024 Q4 | - | $85.35 | $4.01 | 21.3x | -44% |
| FY2024 Q3 | Sep 30 2024 | $78.03 | $4.19 | 18.6x | -51% |
| FY2024 Q2 | Jun 30 2024 | $58.03 | $4.13 | 14.1x | -63% |
| FY2024 Q1 | Mar 31 2024 | $66.99 | $3.97 | 16.9x | -56% |
| FY2023 Q4 | Dec 31 2023 | $61.41 | $3.84 | 16.0x | -58% |
| FY2023 Q3 | Sep 30 2023 | $58.46 | $3.36 | 17.4x | -54% |
| FY2023 Q2 | Jun 30 2023 | $66.73 | $3.58 | 18.6x | -51% |
| FY2023 Q1 | Mar 31 2023 | $75.94 | $2.37 | 32.0x | -16% |
| FY2022 Q4 | Dec 31 2022 | $71.22 | $2.10 | 33.9x | -11% |
| FY2022 Q3 | Sep 30 2022 | $86.07 | $1.96 | 43.9x | +16% |
| FY2022 Q2 | - | $69.84 | $1.73 | 40.4x | +6% |
| FY2022 Q1 | - | $115.65 | $3.02 | 38.3x | +1% |
| FY2021 Q4 | Dec 31 2021 | $188.58 | $3.51 | 53.7x | +41% |
| FY2021 Q3 | - | $260.21 | $4.18 | 62.3x | +64% |
| FY2021 Q2 | Jun 30 2021 | $291.48 | $4.12 | 70.7x | +86% |
| FY2021 Q1 | Mar 31 2021 | $242.84 | $4.41 | 55.1x | +45% |
| FY2020 Q4 | - | $234.20 | $3.56 | 65.8x | +73% |
| FY2020 Q3 | Sep 30 2020 | $197.03 | $2.65 | 74.4x | +96% |
| FY2020 Q2 | - | $174.23 | $2.18 | 79.9x | +110% |
| FY2020 Q1 | - | $95.74 | $1.58 | 60.6x | +59% |
| FY2019 Q4 | - | $108.17 | $2.07 | 52.3x | +37% |
| FY2019 Q3 | Sep 30 2019 | $103.59 | $2.13 | 48.6x | +28% |
| FY2019 Q2 | Jun 30 2019 | $114.46 | $2.10 | 54.5x | +43% |
| FY2019 Q1 | Mar 31 2019 | $103.84 | $1.85 | 56.1x | +48% |
| FY2018 Q4 | Dec 31 2018 | $84.09 | $1.71 | 49.2x | +29% |
| FY2018 Q3 | Sep 30 2018 | $87.84 | $1.72 | 51.1x | +34% |
| FY2018 Q2 | Jun 30 2018 | $83.27 | $1.67 | 49.9x | +31% |
| FY2018 Q1 | Mar 31 2018 | $75.87 | $1.57 | 48.3x | +27% |
| FY2017 Q4 | Dec 31 2017 | $73.62 | $1.47 | 50.1x | +32% |
| FY2017 Q3 | Sep 30 2017 | $64.03 | $1.29 | 49.6x | +31% |
| FY2017 Q2 | Jun 30 2017 | $53.67 | $1.25 | 42.9x | +13% |
| FY2017 Q1 | Mar 31 2017 | $43.02 | $1.18 | 36.5x | -4% |
| FY2016 Q4 | Dec 31 2016 | $39.47 | $1.16 | 34.0x | -10% |
| FY2016 Q3 | Sep 30 2016 | $40.97 | $1.14 | 35.9x | -5% |
| FY2016 Q2 | - | $36.51 | $1.12 | 32.6x | -14% |
| FY2016 Q1 | - | $38.60 | $1.10 | 35.1x | -8% |
| FY2015 Q4 | - | $36.20 | $1.01 | 35.8x | -6% |
| FY2015 Q3 | Sep 30 2015 | $31.04 | $0.95 | 32.7x | -14% |
Average P/E for displayed period: 38.0x
PYPL Chart Terminal
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Intrinsic Valuation
DCF models, multiple analysis, and analyst estimates.
Historical Returns
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Peer Comparison
Compare growth, multiples, and margins vs sector.
PYPL — Frequently Asked Questions
Quick answers to the most common questions about buying PYPL stock.
What is PYPL's P/E ratio?
PayPal Holdings, Inc. (PYPL) trailing twelve-month P/E ratio is 11.0x, based on TTM diluted EPS of $5.51. The 5-year average P/E is 22.3x and the historical range spans 8.2x to 53.7x.
Is PYPL stock overvalued or undervalued?
PYPL trades at 11.0x P/E, below its 5-year average of 22.3x. At the 20th percentile of its historical range (8.2x–53.7x), the stock is priced at a discount to its own history.
Is PYPL stock expensive?
No, PYPL is not expensive on a historical basis. The current P/E of 11.0x is below the 5-year average of 22.3x and sits at the 20th percentile of its valuation range.
What is PYPL's historical P/E range?
Over the past 5 years, PYPL's P/E ratio has ranged from 8.2x to 53.7x, with a median of 17.4x and an average of 22.3x. The current P/E of 11.0x places the stock at the 20th percentile of this range. Full historical data spans 2015–2026.
How does PYPL's P/E compare to the S&P 500?
PYPL trades at 11.0x P/E versus the S&P 500 median of 26.3x. The 58% discount to the market suggests lower growth expectations or perceived higher risk.
How does PYPL's valuation compare to Financial Services peers?
PayPal Holdings, Inc. P/E of 11.0x compares to the Financial Services sector median of 14.1x. The discount suggests lower growth expectations, weaker margins, or higher perceived risk relative to peers. See the peer comparison table on this page for ticker-by-ticker P/E and PEG.
What is PYPL's PEG ratio?
PYPL PEG ratio is 1.24, based on a P/E of 11.0x and EPS growth of 35.6%. A PEG between 1 and 2 suggests valuation aligns with growth expectations — typically considered fair.
What is PYPL's earnings yield?
PYPL earnings yield is 9.13%, the inverse of its 11.0x P/E ratio. Earnings yield represents the percentage of each dollar invested that the company earns. It can be compared directly to bond yields to assess relative attractiveness of stocks versus fixed income.