Bread Financial Holdings, Inc. (BFH)vsPayPal Holdings Inc (PYPL)
BFH
Bread Financial Holdings, Inc.
$106.37
-0.46%
FINANCIAL SERVICES · Cap: $4.13B
PYPL
PayPal Holdings Inc
$53.72
+0.77%
FINANCIAL SERVICES · Cap: $45.49B
Smart Verdict
WallStSmart Research — data-driven comparison
PayPal Holdings Inc generates 1179% more annual revenue ($34.13B vs $2.67B). BFH leads profitability with a 21.4% profit margin vs 14.4%. PYPL appears more attractively valued with a PEG of 0.91. BFH earns a higher WallStSmart Score of 70/100 (B-).
BFH
Strong Buy70
out of 100
Grade: B-
PYPL
Buy65
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 21 of every $100 in revenue as profit
Strong operational efficiency at 29.0%
Earnings expanding 21.2% YoY
Attractively priced relative to earnings
Every $100 of equity generates 25 in profit
Growing faster than its price suggests
Reasonable price relative to book value
Generating 1.8B in free cash flow
Areas to Watch
3.8% revenue growth
Expensive relative to growth rate
Distress zone — elevated risk
4.8% revenue growth
Distress zone — elevated risk
Earnings declined 3.1%
Comparative Analysis Report
WallStSmart ResearchBull Case : BFH
The strongest argument for BFH centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 21.4% and operating margin at 29.0%.
Bull Case : PYPL
The strongest argument for PYPL centers on P/E Ratio, Return on Equity, PEG Ratio. PEG of 0.91 suggests the stock is reasonably priced for its growth.
Bear Case : BFH
The primary concerns for BFH are Revenue Growth, PEG Ratio, Altman Z-Score.
Bear Case : PYPL
The primary concerns for PYPL are Revenue Growth, Altman Z-Score, EPS Growth.
Key Dynamics to Monitor
PYPL carries more volatility with a beta of 1.29 — expect wider price swings.
PYPL is growing revenue faster at 4.8% — sustainability is the question.
PYPL generates stronger free cash flow (1.8B), providing more financial flexibility.
Monitor CREDIT SERVICES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BFH scores higher overall (70/100 vs 65/100), backed by strong 21.4% 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.
Bread Financial Holdings, Inc.
FINANCIAL SERVICES · CREDIT SERVICES · USA
Bread Financial Holdings Inc. provides lending and payment technology solutions to customers and consumer-based industries in North America. The company is headquartered in Columbus, Ohio.
Visit Website →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 →Compare with Other CREDIT SERVICES Stocks
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