Paypal CDR CAD Hedged (PYPL.CA) Stock Fundamental Analysis
TSX:PYPL
3.33 CAD
+0.03 (+0.91%)
Last: Feb 27, 2026, 07:00 PM
We assign a fundamental rating of 6 out of 10 to PYPL. PYPL was compared to 32 industry peers in the Financial Services industry. While PYPL belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on PYPL. With these ratings, PYPL could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
- In the past year PYPL was profitable.
- In the past year PYPL had a positive cash flow from operations.
- Each year in the past 5 years PYPL has been profitable.
- In the past 5 years PYPL always reported a positive cash flow from operatings.
1.2 Ratios
- PYPL has a Return On Assets of 6.53%. This is amongst the best in the industry. PYPL outperforms 90.63% of its industry peers.
- PYPL's Return On Equity of 25.83% is amongst the best of the industry. PYPL outperforms 96.88% of its industry peers.
- PYPL has a better Return On Invested Capital (15.26%) than 90.63% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for PYPL is significantly above the industry average of 6.74%.
- The 3 year average ROIC (13.68%) for PYPL is below the current ROIC(15.26%), indicating increased profibility in the last year.
| Industry Rank | Sector 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%
1.3 Margins
- PYPL has a Profit Margin of 15.78%. This is comparable to the rest of the industry: PYPL outperforms 56.25% of its industry peers.
- In the last couple of years the Profit Margin of PYPL has declined.
- Looking at the Operating Margin, with a value of 19.28%, PYPL is doing worse than 62.50% of the companies in the same industry.
- PYPL's Operating Margin has improved in the last couple of years.
- PYPL's Gross Margin of 41.48% is in line compared to the rest of the industry. PYPL outperforms 56.25% of its industry peers.
- PYPL's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector 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%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), PYPL is creating value.
- Compared to 1 year ago, PYPL has less shares outstanding
- PYPL has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for PYPL is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.47, we must say that PYPL is in the distress zone and has some risk of bankruptcy.
- PYPL has a Altman-Z score (1.47) which is in line with its industry peers.
- PYPL has a debt to FCF ratio of 2.05. This is a good value and a sign of high solvency as PYPL would need 2.05 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 2.05, PYPL belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
- A Debt/Equity ratio of 0.49 indicates that PYPL is not too dependend on debt financing.
- PYPL's Debt to Equity ratio of 0.49 is in line compared to the rest of the industry. PYPL outperforms 59.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 2.05 | ||
| Altman-Z | 1.47 |
ROIC/WACC2.72
WACC5.62%
2.3 Liquidity
- PYPL has a Current Ratio of 1.29. This is a normal value and indicates that PYPL is financially healthy and should not expect problems in meeting its short term obligations.
- With an excellent Current ratio value of 1.29, PYPL belongs to the best of the industry, outperforming 84.38% of the companies in the same industry.
- PYPL has a Quick Ratio of 1.29. This is a normal value and indicates that PYPL is financially healthy and should not expect problems in meeting its short term obligations.
- PYPL has a Quick ratio of 1.29. This is amongst the best in the industry. PYPL outperforms 84.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.29 |
3. Growth
3.1 Past
- PYPL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.43%.
- PYPL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.53% yearly.
- The Revenue has been growing slightly by 4.32% in the past year.
- PYPL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.11% yearly.
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
- PYPL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.26% yearly.
- PYPL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.93% yearly.
EPS Next Y10.74%
EPS Next 2Y11.08%
EPS Next 3Y14.21%
EPS Next 5Y10.26%
Revenue Next Year2.52%
Revenue Next 2Y3.51%
Revenue Next 3Y3.98%
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 0.46, the valuation of PYPL can be described as very cheap.
- PYPL's Price/Earnings ratio is rather cheap when compared to the industry. PYPL is cheaper than 100.00% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.07. PYPL is valued rather cheaply when compared to this.
- PYPL is valuated cheaply with a Price/Forward Earnings ratio of 0.41.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of PYPL indicates a rather cheap valuation: PYPL is cheaper than 100.00% of the companies listed in the same industry.
- PYPL is valuated cheaply when we compare the Price/Forward Earnings ratio to 28.05, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.46 | ||
| Fwd PE | 0.41 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PYPL indicates a rather cheap valuation: PYPL is cheaper than 100.00% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of PYPL indicates a rather cheap valuation: PYPL is cheaper than 93.75% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.4 | ||
| EV/EBITDA | 0.12 |
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.
- PYPL has a very decent profitability rating, which may justify a higher PE ratio.
- PYPL's earnings are expected to grow with 14.21% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.04
PEG (5Y)0.08
EPS Next 2Y11.08%
EPS Next 3Y14.21%
5. Dividend
5.1 Amount
- PYPL has a Yearly Dividend Yield of 1.23%. Purely for dividend investing, there may be better candidates out there.
- PYPL's Dividend Yield is slightly below the industry average, which is at 4.77.
- Compared to the average S&P500 Dividend Yield of 1.82, PYPL is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.23% |
5.2 History
- PYPL does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
- 2.48% of the earnings are spent on dividend by PYPL. This is a low number and sustainable payout ratio.
DP2.48%
EPS Next 2Y11.08%
EPS Next 3Y14.21%
TSX:PYPL (2/27/2026, 7:00:00 PM)
3.33
+0.03 (+0.91%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)02-03 2026-02-03/bmo
Earnings (Next)04-27 2026-04-27/amc
Inst Owners80.89%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap3.07B
Revenue(TTM)33.17B
Net Income(TTM)5.23B
Analysts67.45
Price Target3.75 (12.61%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.23% |
Yearly Dividend0.19
Dividend Growth(5Y)N/A
DP2.48%
Div Incr YearsN/A
Div Non Decr YearsN/A
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)-32.98%
PT rev (3m)N/A
EPS NQ rev (1m)-8.04%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.27%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)-2.55%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-3.01%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.46 | ||
| Fwd PE | 0.41 | ||
| P/S | 0.07 | ||
| P/FCF | 0.4 | ||
| P/OCF | 0.35 | ||
| P/B | 0.11 | ||
| P/tB | 0.24 | ||
| EV/EBITDA | 0.12 |
EPS(TTM)7.25
EY217.72%
EPS(NY)8.02
Fwd EY240.96%
FCF(TTM)8.26
FCFY248.12%
OCF(TTM)9.53
OCFY286.11%
SpS49.26
BVpS30.08
TBVpS13.64
PEG (NY)0.04
PEG (5Y)0.08
Graham Number70.05
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 1.47 |
F-Score8
WACC5.62%
ROIC/WACC2.72
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 5Y10.26%
Revenue 1Y (TTM)4.32%
Revenue growth 3Y6.43%
Revenue growth 5Y9.11%
Sales Q2Q%3.71%
Revenue Next Year2.52%
Revenue Next 2Y3.51%
Revenue Next 3Y3.98%
Revenue Next 5Y6.93%
EBIT growth 1Y10.98%
EBIT growth 3Y16.51%
EBIT growth 5Y13.29%
EBIT Next Year4.9%
EBIT Next 3Y1.65%
EBIT Next 5Y6.25%
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 CDR CAD Hedged / PYPL.CA FAQ
Can you provide the ChartMill fundamental rating for Paypal CDR CAD Hedged?
ChartMill assigns a fundamental rating of 6 / 10 to PYPL.CA.
What is the valuation status of Paypal CDR CAD Hedged (PYPL.CA) stock?
ChartMill assigns a valuation rating of 9 / 10 to Paypal CDR CAD Hedged (PYPL.CA). This can be considered as Undervalued.
Can you provide the profitability details for Paypal CDR CAD Hedged?
Paypal CDR CAD Hedged (PYPL.CA) has a profitability rating of 7 / 10.
What is the financial health of Paypal CDR CAD Hedged (PYPL.CA) stock?
The financial health rating of Paypal CDR CAD Hedged (PYPL.CA) is 6 / 10.
Can you provide the expected EPS growth for PYPL stock?
The Earnings per Share (EPS) of Paypal CDR CAD Hedged (PYPL.CA) is expected to grow by 10.74% in the next year.