Credit Acceptance Corporation (CACC)vsPayPal Holdings Inc (PYPL)
CACC
Credit Acceptance Corporation
$544.71
-0.67%
FINANCIAL SERVICES · Cap: $5.73B
PYPL
PayPal Holdings Inc
$41.29
+2.31%
FINANCIAL SERVICES · Cap: $36.63B
Smart Verdict
WallStSmart Research — data-driven comparison
PayPal Holdings Inc generates 2544% more annual revenue ($33.73B vs $1.28B). CACC leads profitability with a 35.5% profit margin vs 15.0%. PYPL appears more attractively valued with a PEG of 0.75. CACC earns a higher WallStSmart Score of 75/100 (B+).
CACC
Strong Buy75
out of 100
Grade: B+
PYPL
Strong Buy72
out of 100
Grade: B
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 36 of every $100 in revenue as profit
Strong operational efficiency at 52.7%
Every $100 of equity generates 30 in profit
Attractively priced relative to earnings
Earnings expanding 43.2% 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
Areas to Watch
Distress zone — elevated risk
Elevated debt levels
Distress zone — elevated risk
Earnings declined 6.2%
Comparative Analysis Report
WallStSmart ResearchBull Case : CACC
The strongest argument for CACC centers on Profit Margin, Operating Margin, Return on Equity. Profitability is solid with margins at 35.5% and operating margin at 52.7%. Revenue growth of 12.7% demonstrates continued momentum.
Bull Case : PYPL
The strongest argument for PYPL centers on P/E Ratio, Return on Equity, PEG Ratio. PEG of 0.75 suggests the stock is reasonably priced for its growth.
Bear Case : CACC
The primary concerns for CACC are Altman Z-Score, Debt/Equity. Debt-to-equity of 4.23 is elevated, increasing financial risk.
Bear Case : PYPL
The primary concerns for PYPL are Altman Z-Score, EPS Growth.
Key Dynamics to Monitor
CACC profiles as a mature stock while PYPL is a value play — different risk/reward profiles.
CACC carries more volatility with a beta of 1.39 — expect wider price swings.
CACC is growing revenue faster at 12.7% — sustainability is the question.
PYPL generates stronger free cash flow (911M), providing more financial flexibility.
Bottom Line
CACC scores higher overall (75/100 vs 72/100), backed by strong 35.5% margins and 12.7% revenue growth. Both earn "Strong Buy" and "Strong 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.
Credit Acceptance Corporation
FINANCIAL SERVICES · CREDIT SERVICES · USA
Credit Acceptance Corporation offers financing programs and related products and services to independent and franchised automobile dealerships in the United States. The company is headquartered in Southfield, Michigan.
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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