American International Group Inc (AIG)vsPayPal Holdings Inc (PYPL)
AIG
American International Group Inc
$75.47
+1.52%
FINANCIAL SERVICES · Cap: $40.11B
PYPL
PayPal Holdings Inc
$44.85
+0.78%
FINANCIAL SERVICES · Cap: $41.37B
Smart Verdict
WallStSmart Research — data-driven comparison
PayPal Holdings Inc generates 25% more annual revenue ($33.17B vs $26.61B). PYPL leads profitability with a 15.8% profit margin vs 11.6%. PYPL appears more attractively valued with a PEG of 0.69. PYPL earns a higher WallStSmart Score of 78/100 (B+).
AIG
Buy60
out of 100
Grade: C
PYPL
Strong Buy78
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-112.5%
Fair Value
$36.92
Current Price
$75.47
$38.55 premium
Margin of Safety
+82.3%
Fair Value
$253.19
Current Price
$44.85
$208.34 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Growing faster than its price suggests
Attractively priced relative to earnings
Attractively priced relative to earnings
Every $100 of equity generates 26 in profit
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 39.4% YoY
Generating 2.2B in free cash flow
Areas to Watch
ROE of 7.4% — below average capital efficiency
Revenue declined 7.2%
Earnings declined 5.6%
Distress zone — elevated risk
3.7% revenue growth
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : AIG
The strongest argument for AIG centers on Price/Book, Debt/Equity, PEG Ratio. PEG of 0.86 suggests the stock is reasonably priced for its growth.
Bull Case : PYPL
The strongest argument for PYPL centers on P/E Ratio, Return on Equity, PEG Ratio. Profitability is solid with margins at 15.8% and operating margin at 17.5%. PEG of 0.69 suggests the stock is reasonably priced for its growth.
Bear Case : AIG
The primary concerns for AIG are Return on Equity, Revenue Growth, EPS Growth.
Bear Case : PYPL
The primary concerns for PYPL are Revenue Growth, Altman Z-Score.
Key Dynamics to Monitor
AIG profiles as a declining stock while PYPL is a value play — different risk/reward profiles.
PYPL carries more volatility with a beta of 1.46 — expect wider price swings.
PYPL is growing revenue faster at 3.7% — sustainability is the question.
PYPL generates stronger free cash flow (2.2B), providing more financial flexibility.
Bottom Line
PYPL scores higher overall (78/100 vs 60/100), backed by strong 15.8% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
American International Group Inc
FINANCIAL SERVICES · INSURANCE - DIVERSIFIED · USA
American International Group, Inc., also known as AIG, is an American multinational finance and insurance corporation with operations in more than 80 countries and jurisdictions. The company operates through three core businesses: General Insurance, Life & Retirement, and a standalone technology-enabled subsidiary.
PayPal Holdings Inc
FINANCIAL SERVICES · CREDIT SERVICES · USA
PayPal Holdings, Inc. is an American company operating an online payments system in the majority of countries that support online money transfers, and serves as an electronic alternative to traditional paper methods like checks and money orders. The company operates as a payment processor for online vendors, auction sites, and many other commercial users, for which it charges a fee.
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