Qualtix Stock Brief
PayPal Holdings, Inc. (PYPL) stock analysis: business quality, valuation, and entry timing
PYPL public Qualtix stock snapshot. Public Qualtix model snapshot from 2026-10-20 for PYPL: model verdict STRONG BUY, business quality 69/100, above the model's stronger-company threshold, and valuation Very Cheap.
Qualtix evaluates PYPL with a rules-based model that separates business quality, valuation, entry timing, red flags, and data confidence. The model scores first; AI explanations and the full Clean Brief help explain the result afterward.
Coverage note: Qualtix can analyze supported US stocks when SEC/FMP filing data is available. The 1,000+ stock universe refers to the daily screener used for discovery, not the full analysis limit.
PYPL public evidence metrics from the latest validated Qualtix snapshot
| Metric | Value | Why it matters | Source |
|---|---|---|---|
| Revenue growth | 6.1% | 3-year revenue CAGR | FMP, computed |
| FCF margin | 19.3% | Free cash flow divided by revenue | FMP, computed |
| Operating margin | 18.8% | Profitability margin | FMP, computed |
| Gross margin | 45.8% | Revenue retained after direct costs | FMP, computed |
| Return on capital (pre-tax) | 18.8% | Operating profit before tax, divided by equity plus debt | FMP, computed |
| ROE | 24.7% | Return on equity | FMP, computed |
| Cash and debt | Cash and investments $11.3B / Debt $14.2B | Balance-sheet context | FMP, reported |
| TTM P/E | 10.5x | Price to trailing earnings | FMP, computed |
Qualtix view
- Model verdict: STRONG BUY.
- Business quality: 69/100, above the model's stronger-company threshold.
- Valuation is currently labeled Very Cheap, so price is a supporting part of the model view.
- Entry Timing is good entry in the latest snapshot (74/100).
Why this verdict?
- Qualtix evaluates Business Quality, Valuation, and Entry Timing together. This STRONG BUY follows the model's business, valuation, and technical-condition rules; the displayed Entry score describes the current setup.
Data and snapshot dates
- Model snapshot date: 2026-10-20.
- Financial data through: 2026-06-30.
- Model version: 2026-08-23.
- Data-confidence status: high.
What supports the current view
- Business quality clears the model's stronger-company threshold (69/100).
- Valuation is labeled Very Cheap by the current model view.
What weakens the current view
- A model verdict is a research starting point, not a prediction or recommendation.
What could change the view
- Could strengthen: Sustained business quality and a still-reasonable valuation would reinforce the current model view.
- Could weaken: A breakdown in trend or a deterioration in business quality would weaken the current setup.
What changed
- Business Quality was unchanged from the previous snapshot.
- Entry Timing moved -9 points from the previous snapshot.
- The model verdict changed from BUY to STRONG BUY. The score changes above describe the two snapshots; they do not establish which rating rule caused the change.
What to research next
- Identify which fundamentals keep PYPL's Business Quality at 69/100, and which metrics would need to improve for a cleaner setup.
- Check whether the Very Cheap valuation label reflects a real mismatch or a business concern that deserves more research.
- Review whether entry timing supports starting research now or waiting for a cleaner setup.
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Qualtix is for research and education only. It is not financial advice.