Facts You Need to Understand PayPal (PYPL) Stock

By Kim Brooks • Tuesday, December 27 09:58 • Permanent Link

Large-cap Financial Services company PayPal has moved -1.4% so far today on a volume of 2,545,757, compared to its average of 15,137,474. In contrast, the S&P 500 index moved -0.6%.

PayPal trades -35.56% away from its average analyst target price of $105.63 per share. The 43 analysts following the stock have set target prices ranging from $75 to $160, and on average have given PayPal a rating of buy.

Anyone interested in buying PYPL should be aware of the facts below:

PayPal's current price is 143.9% above its Graham number of $27.91, which implies that at its current valuation it does not offer a margin of safety
PayPal has moved -63.7% over the last year, and the S&P 500 logged a change of -19.7%
Based on its trailing earning per share of 1.96, PayPal has a trailing 12 month Price to Earnings (P/E) ratio of 34.7 while the S&P 500 average is 15.97
PYPL has a forward P/E ratio of 14.3 based on its forward 12 month price to earnings (Eps) of $4.77 per share
The company has a price to earnings growth (PEG) ratio of 1.49 — a number near or below 1 signifying that PayPal is fairly valued compared to its estimated growth potential
Its Price to Book (P/B) ratio is 3.9 compared to its sector average of 1.95
PayPal Holdings, Inc. operates a technology platform that enables digital payments on behalf of merchants and consumers worldwide.
Based in San Jose, the company has 30,900 full time employees and a market cap of $77,601,841,152.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.