PayPal Holdings Inc (PYPL)vsWestern Union Co (WU)
PYPL
PayPal Holdings Inc
$44.01
-0.41%
FINANCIAL SERVICES · Cap: $41.18B
WU
Western Union Co
$9.02
-1.74%
FINANCIAL SERVICES · Cap: $2.87B
Smart Verdict
WallStSmart Research — data-driven comparison
PayPal Holdings Inc generates 719% more annual revenue ($33.17B vs $4.05B). PYPL leads profitability with a 15.8% profit margin vs 12.3%. PYPL appears more attractively valued with a PEG of 0.70. PYPL earns a higher WallStSmart Score of 78/100 (B+).
PYPL
Strong Buy78
out of 100
Grade: B+
WU
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+82.6%
Fair Value
$253.19
Current Price
$44.01
$209.18 discount
Margin of Safety
+4.3%
Fair Value
$10.34
Current Price
$9.02
$1.32 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Attractively priced relative to earnings
Every $100 of equity generates 52 in profit
Reasonable price relative to book value
Areas to Watch
3.7% revenue growth
Distress zone — elevated risk
Expensive relative to growth rate
Weak financial health signals
Revenue declined 4.7%
Earnings declined 69.2%
Comparative Analysis Report
WallStSmart ResearchBull 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 0.70 suggests the stock is reasonably priced for its growth.
Bull Case : WU
The strongest argument for WU centers on P/E Ratio, Return on Equity, Price/Book.
Bear Case : PYPL
The primary concerns for PYPL are Revenue Growth, Altman Z-Score.
Bear Case : WU
The primary concerns for WU are PEG Ratio, Piotroski F-Score, Revenue Growth. Debt-to-equity of 2.80 is elevated, increasing financial risk.
Key Dynamics to Monitor
PYPL profiles as a value stock while WU is a declining 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 61/100), 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.
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.
Visit Website →Western Union Co
FINANCIAL SERVICES · CREDIT SERVICES · USA
The Western Union Company is an American worldwide financial services and communications company, headquartered in Denver, Colorado.
Visit Website →Compare with Other CREDIT SERVICES Stocks
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