WallStSmart

PayPal Holdings Inc (PYPL)vsSLM Corp Pb Pref (SLMBP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PayPal Holdings Inc generates 1926% more annual revenue ($33.73B vs $1.67B). SLMBP leads profitability with a 44.9% profit margin vs 15.0%. PYPL trades at a lower P/E of 7.8x. PYPL earns a higher WallStSmart Score of 72/100 (B).

PYPL

Strong Buy

72

out of 100

Grade: B

Growth: 4.7Profit: 8.0Value: 7.7Quality: 6.5
Piotroski: 6/9Altman Z: 1.66

SLMBP

Buy

56

out of 100

Grade: C

Growth: 5.3Profit: 8.5Value: 4.7Quality: 5.5
Piotroski: 6/9Altman Z: -0.14

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PYPL4 strengths · Avg: 8.8/10
P/E RatioValuation
7.8x10/10

Attractively priced relative to earnings

Return on EquityProfitability
25.3%9/10

Every $100 of equity generates 25 in profit

PEG RatioValuation
0.758/10

Growing faster than its price suggests

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

SLMBP3 strengths · Avg: 10.0/10
Return on EquityProfitability
30.7%10/10

Every $100 of equity generates 31 in profit

Profit MarginProfitability
44.9%10/10

Keeps 45 of every $100 in revenue as profit

Operating MarginProfitability
70.1%10/10

Strong operational efficiency at 70.1%

Areas to Watch

PYPL2 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.664/10

Distress zone — elevated risk

EPS GrowthGrowth
-6.2%2/10

Earnings declined 6.2%

SLMBP4 concerns · Avg: 3.0/10
P/E RatioValuation
35.0x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.5%4/10

2.5% revenue growth

Free Cash FlowQuality
$-75.96M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
-0.142/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : SLMBP

The strongest argument for SLMBP centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 44.9% and operating margin at 70.1%.

Bear Case : PYPL

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

Bear Case : SLMBP

The primary concerns for SLMBP are P/E Ratio, Revenue Growth, Free Cash Flow. Debt-to-equity of 2.53 is elevated, increasing financial risk.

Key Dynamics to Monitor

PYPL carries more volatility with a beta of 1.34 — expect wider price swings.

PYPL is growing revenue faster at 7.2% — sustainability is the question.

PYPL generates stronger free cash flow (911M), providing more financial flexibility.

Monitor CREDIT SERVICES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PYPL scores higher overall (72/100 vs 56/100). 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.

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SLM Corp Pb Pref

FINANCIAL SERVICES · CREDIT SERVICES · USA

SLM Corporation originates and provides private education loan services to students and their families to finance the cost of their education in the United States. The company is headquartered in Newark, Delaware.

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