Here Are Some Essential Facts About PayPal

One of the losers of today's trading session was PayPal. Shares of the Business services company plunged -2.6%, and some investors may be wondering if its price of $61.45 would make a good entry point. Here's what you should know if you are considering this investment:

  • PayPal has moved -11.4% over the last year, and the S&P 500 logged a change of 24.6%

  • PYPL has an average analyst rating of buy and is -8.76% away from its mean target price of $67.35 per share

  • Its trailing earnings per share (EPS) is $3.35

  • PayPal has a trailing 12 month Price to Earnings (P/E) ratio of 18.3 while the S&P 500 average is 15.97

  • Its forward earnings per share (EPS) is $4.98 and its forward P/E ratio is 12.3

  • The company has a Price to Book (P/B) ratio of 3.36 in contrast to the S&P 500's average ratio of 2.95

  • PayPal is part of the Consumer Discretionary sector, which has an average P/E ratio of 22.96 and an average P/B of 4.24

  • PYPL has reported YOY quarterly earnings growth of -19.1% and gross profit margins of 0.4%

  • The company has a free cash flow of $4.48 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter

  • PayPal Holdings, Inc. operates a technology platform that enables digital payments on behalf of merchants and consumers worldwide. The company provides payment solutions under the PayPal, PayPal Credit, Braintree, Venmo, Xoom, PayPal Zettle, Hyperwallet, PayPal Honey, and Paidy names. Its payments platform allows consumers to send and receive payments in approximately 200 markets and in approximately 150 currencies, withdraw funds to their bank accounts in 56 currencies, and hold balances in their PayPal accounts in 25 currencies. The company was founded in 1998 and is headquartered in San Jose, California.

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.