WallStSmart

Oracle Corporation (ORCL)vsPayPal Holdings Inc (PYPL)

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Smart Verdict

WallStSmart Research — data-driven comparison

Oracle Corporation generates 93% more annual revenue ($64.08B vs $33.17B). ORCL leads profitability with a 25.3% profit margin vs 15.8%. PYPL appears more attractively valued with a PEG of 0.69. PYPL earns a higher WallStSmart Score of 78/100 (B+).

ORCL

Strong Buy

76

out of 100

Grade: B+

Growth: 8.0Profit: 9.0Value: 10.0Quality: 2.5
Piotroski: 2/9Altman Z: 0.59

PYPL

Strong Buy

78

out of 100

Grade: B+

Growth: 6.7Profit: 8.0Value: 10.0Quality: 7.0
Piotroski: 6/9Altman Z: 1.66
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ORCLUndervalued (+40.2%)

Margin of Safety

+40.2%

Fair Value

$244.26

Current Price

$146.02

$98.24 discount

UndervaluedFair: $244.26Overvalued
PYPLUndervalued (+82.3%)

Margin of Safety

+82.3%

Fair Value

$253.19

Current Price

$44.85

$208.34 discount

UndervaluedFair: $253.19Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ORCL6 strengths · Avg: 9.2/10
Market CapQuality
$423.04B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
57.6%10/10

Every $100 of equity generates 58 in profit

Operating MarginProfitability
32.7%10/10

Strong operational efficiency at 32.7%

Profit MarginProfitability
25.3%9/10

Keeps 25 of every $100 in revenue as profit

PEG RatioValuation
0.958/10

Growing faster than its price suggests

Revenue GrowthGrowth
21.7%8/10

Revenue surging 21.7% year-over-year

PYPL6 strengths · Avg: 8.5/10
P/E RatioValuation
8.2x10/10

Attractively priced relative to earnings

Return on EquityProfitability
25.7%9/10

Every $100 of equity generates 26 in profit

PEG RatioValuation
0.698/10

Growing faster than its price suggests

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

EPS GrowthGrowth
39.4%8/10

Earnings expanding 39.4% YoY

Free Cash FlowQuality
$2.19B8/10

Generating 2.2B in free cash flow

Areas to Watch

ORCL4 concerns · Avg: 3.3/10
P/E RatioValuation
27.7x4/10

Moderate valuation

Price/BookValuation
12.5x4/10

Trading at 12.5x book value

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-11.48B2/10

Negative free cash flow — burning cash

PYPL2 concerns · Avg: 4.0/10
Revenue GrowthGrowth
3.7%4/10

3.7% revenue growth

Altman Z-ScoreHealth
1.664/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ORCL

The strongest argument for ORCL centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 25.3% and operating margin at 32.7%. Revenue growth of 21.7% demonstrates continued momentum.

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 : ORCL

The primary concerns for ORCL are P/E Ratio, Price/Book, Piotroski F-Score. Debt-to-equity of 4.15 is elevated, increasing financial risk.

Bear Case : PYPL

The primary concerns for PYPL are Revenue Growth, Altman Z-Score.

Key Dynamics to Monitor

ORCL profiles as a growth stock while PYPL is a value play — different risk/reward profiles.

ORCL carries more volatility with a beta of 1.65 — expect wider price swings.

ORCL is growing revenue faster at 21.7% — 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 76/100), backed by strong 15.8% margins. ORCL offers better value entry with a 40.2% margin of safety. 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.

Oracle Corporation

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Oracle is an American multinational computer technology corporation headquartered in Austin, Texas. The company was formerly headquartered in Redwood Shores, California until December 2020 when it moved its headquarters to Texas. The company sells database software and technology, cloud engineered systems, and enterprise software products, particularly its own brands of database management systems.

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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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