PayPal Holdings, Inc. (PYPL) — Free Cash Flow Yield
Financial Services
PayPal Holdings, Inc. operates a technology platform that enables digital payments for merchants and consumers worldwide. The company operates a two-sided network at scale that connects merchants and consumers that enables its customers to connect, transact, and send and receive payments through online and in person, as well as transfer and withdraw funds using various funding sources, such as bank accounts, PayPal or Venmo account balance, consumer credit and debit products, credit and debit cards, and cryptocurrencies, as well as other stored value products, including gift cards and eligible rewards. It provides payment solutions under the PayPal, PayPal Credit, Braintree, Venmo, Xoom, Hyperwallet, Honey, and Paidy names. The company was founded in 1998 and is headquartered in San Jose, California.
| Metric | Value |
|---|---|
| FCF Yield | 10.6% |
| Financial Services Sector Avg FCF Yield | 6.6% |
| Annual Free Cash Flow | $5.6B |
| Market Cap | $52.7B |
| P/E Ratio | 11.7x |
PayPal Holdings, Inc.'s FCF yield of 10.6% is above the Financial Services sector average (6.6%).
Frequently Asked Questions
What is PayPal Holdings, Inc.'s (PYPL) free cash flow yield?
PayPal Holdings, Inc.'s (PYPL) free cash flow yield is 10.6%. That is above the Financial Services sector average (6.6%).
Is PYPL's free cash flow yield good?
At 10.6%, PYPL's free cash flow yield is considered excellent — yields above 10% are generally excellent, 7–10% good, 4–7% fair, and below 4% weak, though context varies by sector and growth stage.
How much free cash flow does PayPal Holdings, Inc. generate?
PayPal Holdings, Inc. generated $5.6B in free cash flow, against a market cap of $52.7B.
How is free cash flow yield calculated?
Free cash flow yield = (Free Cash Flow ÷ Market Capitalization) × 100%. Free cash flow equals operating cash flow minus capital expenditures.
Data from public filings. Not investment advice. Calculate your own FCF yield →