PAYPAL HOLDINGS INC (2PP.DE) Stock Fundamental Analysis

FRA:2PP • US70450Y1038

33.395 EUR
+0.66 (+2%)
Last: Feb 13, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership
Fundamental Rating

6

Overall 2PP gets a fundamental rating of 6 out of 10. We evaluated 2PP against 57 industry peers in the Financial Services industry. While 2PP belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. 2PP scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes 2PP very considerable for value investing!


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • In the past year 2PP was profitable.
  • 2PP had a positive operating cash flow in the past year.
  • 2PP had positive earnings in each of the past 5 years.
  • In the past 5 years 2PP always reported a positive cash flow from operatings.
2PP.DE Yearly Net Income VS EBIT VS OCF VS FCF2PP.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

1.2 Ratios

  • With an excellent Return On Assets value of 6.53%, 2PP belongs to the best of the industry, outperforming 83.05% of the companies in the same industry.
  • The Return On Equity of 2PP (25.83%) is better than 86.44% of its industry peers.
  • 2PP has a Return On Invested Capital of 15.26%. This is amongst the best in the industry. 2PP outperforms 86.44% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for 2PP is above the industry average of 8.99%.
  • The last Return On Invested Capital (15.26%) for 2PP is above the 3 year average (13.68%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 6.53%
ROE 25.83%
ROIC 15.26%
ROA(3y)5.59%
ROA(5y)5.07%
ROE(3y)22.11%
ROE(5y)19.49%
ROIC(3y)13.68%
ROIC(5y)12.27%
2PP.DE Yearly ROA, ROE, ROIC2PP.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20 25

1.3 Margins

  • 2PP has a Profit Margin of 15.78%. This is comparable to the rest of the industry: 2PP outperforms 57.63% of its industry peers.
  • In the last couple of years the Profit Margin of 2PP has declined.
  • Looking at the Operating Margin, with a value of 19.28%, 2PP is in the better half of the industry, outperforming 62.71% of the companies in the same industry.
  • In the last couple of years the Operating Margin of 2PP has grown nicely.
  • Looking at the Gross Margin, with a value of 41.48%, 2PP is in line with its industry, outperforming 45.76% of the companies in the same industry.
  • 2PP's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 19.28%
PM (TTM) 15.78%
GM 41.48%
OM growth 3Y9.47%
OM growth 5Y3.83%
PM growth 3Y21.52%
PM growth 5Y-4.24%
GM growth 3Y-0.68%
GM growth 5Y-2.31%
2PP.DE Yearly Profit, Operating, Gross Margins2PP.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

5

2. Health

2.1 Basic Checks

  • 2PP has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • 2PP has less shares outstanding than it did 1 year ago.
  • The number of shares outstanding for 2PP has been reduced compared to 5 years ago.
  • Compared to 1 year ago, 2PP has a worse debt to assets ratio.
2PP.DE Yearly Shares Outstanding2PP.DE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
2PP.DE Yearly Total Debt VS Total Assets2PP.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B 80B

2.2 Solvency

  • 2PP has an Altman-Z score of 1.81. This is a bad value and indicates that 2PP is not financially healthy and even has some risk of bankruptcy.
  • The Altman-Z score of 2PP (1.81) is better than 64.41% of its industry peers.
  • The Debt to FCF ratio of 2PP is 2.05, which is a good value as it means it would take 2PP, 2.05 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 2.05, 2PP is in the better half of the industry, outperforming 77.97% of the companies in the same industry.
  • A Debt/Equity ratio of 0.49 indicates that 2PP is not too dependend on debt financing.
  • With a Debt to Equity ratio value of 0.49, 2PP perfoms like the industry average, outperforming 52.54% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.49
Debt/FCF 2.05
Altman-Z 1.81
ROIC/WACC1.92
WACC7.96%
2PP.DE Yearly LT Debt VS Equity VS FCF2PP.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

2.3 Liquidity

  • A Current Ratio of 1.29 indicates that 2PP should not have too much problems paying its short term obligations.
  • The Current ratio of 2PP (1.29) is comparable to the rest of the industry.
  • 2PP has a Quick Ratio of 1.29. This is a normal value and indicates that 2PP is financially healthy and should not expect problems in meeting its short term obligations.
  • 2PP has a Quick ratio of 1.29. This is comparable to the rest of the industry: 2PP outperforms 57.63% of its industry peers.
Industry RankSector Rank
Current Ratio 1.29
Quick Ratio 1.29
2PP.DE Yearly Current Assets VS Current Liabilites2PP.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The Earnings Per Share has been growing slightly by 6.43% over the past year.
  • The Earnings Per Share has been growing slightly by 5.53% on average over the past years.
  • The Revenue has been growing slightly by 4.32% in the past year.
  • Measured over the past years, 2PP shows a quite strong growth in Revenue. The Revenue has been growing by 9.11% on average per year.
EPS 1Y (TTM)6.43%
EPS 3Y8.67%
EPS 5Y5.53%
EPS Q2Q%3.36%
Revenue 1Y (TTM)4.32%
Revenue growth 3Y6.43%
Revenue growth 5Y9.11%
Sales Q2Q%3.71%

3.2 Future

  • The Earnings Per Share is expected to grow by 12.78% on average over the next years. This is quite good.
  • Based on estimates for the next years, 2PP will show a small growth in Revenue. The Revenue will grow by 6.93% on average per year.
EPS Next Y10.74%
EPS Next 2Y11.08%
EPS Next 3Y14.21%
EPS Next 5Y12.78%
Revenue Next Year5.6%
Revenue Next 2Y5.94%
Revenue Next 3Y6.4%
Revenue Next 5Y6.93%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
2PP.DE Yearly Revenue VS Estimates2PP.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10B 20B 30B 40B 50B
2PP.DE Yearly EPS VS Estimates2PP.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2 4 6 8 10

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Find the best growth stocksShow best growing peers

9

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 7.47, which indicates a rather cheap valuation of 2PP.
  • Based on the Price/Earnings ratio, 2PP is valued cheaply inside the industry as 81.36% of the companies are valued more expensively.
  • 2PP's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.68.
  • With a Price/Forward Earnings ratio of 6.75, the valuation of 2PP can be described as very cheap.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of 2PP indicates a rather cheap valuation: 2PP is cheaper than 81.36% of the companies listed in the same industry.
  • 2PP's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.06.
Industry RankSector Rank
PE 7.47
Fwd PE 6.75
2PP.DE Price Earnings VS Forward Price Earnings2PP.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, 2PP is valued cheaply inside the industry as 81.36% of the companies are valued more expensively.
  • 79.66% of the companies in the same industry are more expensive than 2PP, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 6.55
EV/EBITDA 4.77
2PP.DE Per share data2PP.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • 2PP has a very decent profitability rating, which may justify a higher PE ratio.
  • 2PP's earnings are expected to grow with 14.21% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.7
PEG (5Y)1.35
EPS Next 2Y11.08%
EPS Next 3Y14.21%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

3

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 1.43%, 2PP has a reasonable but not impressive dividend return.
  • The stock price of 2PP dropped by -39.62% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
  • Compared to an average industry Dividend Yield of 2.27, 2PP has a dividend in line with its industry peers.
  • 2PP's Dividend Yield is slightly below the S&P500 average, which is at 1.84.
Industry RankSector Rank
Dividend Yield 1.43%

5.2 History

Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
2PP.DE Yearly Dividends per share2PP.DE Yearly Dividends per shareYearly Dividends per share 2025 2026 0.05 0.1

5.3 Sustainability

  • 2.48% of the earnings are spent on dividend by 2PP. This is a low number and sustainable payout ratio.
DP2.48%
EPS Next 2Y11.08%
EPS Next 3Y14.21%
2PP.DE Yearly Income VS Free CF VS Dividend2PP.DE Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B
2PP.DE Dividend Payout.2PP.DE Dividend Payout, showing the Payout Ratio.2PP.DE Dividend Payout.PayoutRetained Earnings

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PAYPAL HOLDINGS INC

FRA:2PP (2/13/2026, 7:00:00 PM)

33.395

+0.66 (+2%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)02-03
Earnings (Next)04-27
Inst Owners80.89%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap30.75B
Revenue(TTM)33.17B
Net Income(TTM)5.23B
Analysts67.45
Price Target63.42 (89.91%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 1.43%
Yearly Dividend0.11
Dividend Growth(5Y)N/A
DP2.48%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.63%
Min EPS beat(2)-6.12%
Max EPS beat(2)9.38%
EPS beat(4)3
Avg EPS beat(4)5.34%
Min EPS beat(4)-6.12%
Max EPS beat(4)12.26%
EPS beat(8)7
Avg EPS beat(8)8.3%
EPS beat(12)10
Avg EPS beat(12)6.57%
EPS beat(16)13
Avg EPS beat(16)5.95%
Revenue beat(2)1
Avg Revenue beat(2)-1.54%
Min Revenue beat(2)-3.34%
Max Revenue beat(2)0.26%
Revenue beat(4)2
Avg Revenue beat(4)-1.3%
Min Revenue beat(4)-3.34%
Max Revenue beat(4)0.55%
Revenue beat(8)3
Avg Revenue beat(8)-1.12%
Revenue beat(12)3
Avg Revenue beat(12)-1.11%
Revenue beat(16)3
Avg Revenue beat(16)-1.21%
PT rev (1m)-8.27%
PT rev (3m)-11.13%
EPS NQ rev (1m)-7.23%
EPS NQ rev (3m)-8.02%
EPS NY rev (1m)-1.34%
EPS NY rev (3m)-1.3%
Revenue NQ rev (1m)-2.64%
Revenue NQ rev (3m)-2.78%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-0.4%
Valuation
Industry RankSector Rank
PE 7.47
Fwd PE 6.75
P/S 1.1
P/FCF 6.55
P/OCF 5.68
P/B 1.8
P/tB 3.97
EV/EBITDA 4.77
EPS(TTM)4.47
EY13.39%
EPS(NY)4.95
Fwd EY14.82%
FCF(TTM)5.09
FCFY15.26%
OCF(TTM)5.87
OCFY17.59%
SpS30.37
BVpS18.55
TBVpS8.41
PEG (NY)0.7
PEG (5Y)1.35
Graham Number43.19
Profitability
Industry RankSector Rank
ROA 6.53%
ROE 25.83%
ROCE 18.96%
ROIC 15.26%
ROICexc 22.09%
ROICexgc 42.08%
OM 19.28%
PM (TTM) 15.78%
GM 41.48%
FCFM 16.77%
ROA(3y)5.59%
ROA(5y)5.07%
ROE(3y)22.11%
ROE(5y)19.49%
ROIC(3y)13.68%
ROIC(5y)12.27%
ROICexc(3y)21.02%
ROICexc(5y)18.45%
ROICexgc(3y)44.19%
ROICexgc(5y)39.13%
ROCE(3y)16.99%
ROCE(5y)15.24%
ROICexgc growth 3Y11.65%
ROICexgc growth 5Y5.93%
ROICexc growth 3Y15.6%
ROICexc growth 5Y8.67%
OM growth 3Y9.47%
OM growth 5Y3.83%
PM growth 3Y21.52%
PM growth 5Y-4.24%
GM growth 3Y-0.68%
GM growth 5Y-2.31%
F-Score8
Asset Turnover0.41
Health
Industry RankSector Rank
Debt/Equity 0.49
Debt/FCF 2.05
Debt/EBITDA 1.36
Cap/Depr 88.47%
Cap/Sales 2.57%
Interest Coverage 15.75
Cash Conversion 87.19%
Profit Quality 106.33%
Current Ratio 1.29
Quick Ratio 1.29
Altman-Z 1.81
F-Score8
WACC7.96%
ROIC/WACC1.92
Cap/Depr(3y)70.92%
Cap/Depr(5y)67.63%
Cap/Sales(3y)2.27%
Cap/Sales(5y)2.59%
Profit Quality(3y)122.96%
Profit Quality(5y)139.46%
High Growth Momentum
Growth
EPS 1Y (TTM)6.43%
EPS 3Y8.67%
EPS 5Y5.53%
EPS Q2Q%3.36%
EPS Next Y10.74%
EPS Next 2Y11.08%
EPS Next 3Y14.21%
EPS Next 5Y12.78%
Revenue 1Y (TTM)4.32%
Revenue growth 3Y6.43%
Revenue growth 5Y9.11%
Sales Q2Q%3.71%
Revenue Next Year5.6%
Revenue Next 2Y5.94%
Revenue Next 3Y6.4%
Revenue Next 5Y6.93%
EBIT growth 1Y10.98%
EBIT growth 3Y16.51%
EBIT growth 5Y13.29%
EBIT Next Year16.39%
EBIT Next 3Y11.28%
EBIT Next 5Y10.31%
FCF growth 1Y-17.78%
FCF growth 3Y2.9%
FCF growth 5Y0.78%
OCF growth 1Y-13.88%
OCF growth 3Y3.34%
OCF growth 5Y0.63%

PAYPAL HOLDINGS INC / 2PP.DE FAQ

Can you provide the ChartMill fundamental rating for PAYPAL HOLDINGS INC?

ChartMill assigns a fundamental rating of 6 / 10 to 2PP.DE.


Can you provide the valuation status for PAYPAL HOLDINGS INC?

ChartMill assigns a valuation rating of 9 / 10 to PAYPAL HOLDINGS INC (2PP.DE). This can be considered as Undervalued.


Can you provide the profitability details for PAYPAL HOLDINGS INC?

PAYPAL HOLDINGS INC (2PP.DE) has a profitability rating of 7 / 10.


Can you provide the PE and PB ratios for 2PP stock?

The Price/Earnings (PE) ratio for PAYPAL HOLDINGS INC (2PP.DE) is 7.47 and the Price/Book (PB) ratio is 1.8.


How financially healthy is PAYPAL HOLDINGS INC?

The financial health rating of PAYPAL HOLDINGS INC (2PP.DE) is 6 / 10.