PayPal Holdings Inc (PYPL)vsTexas Instruments Incorporated (TXN)
PYPL
PayPal Holdings Inc
$45.37
-1.84%
FINANCIAL SERVICES · Cap: $40.82B
TXN
Texas Instruments Incorporated
$287.80
+0.90%
TECHNOLOGY · Cap: $261.92B
Smart Verdict
WallStSmart Research — data-driven comparison
PayPal Holdings Inc generates 83% more annual revenue ($33.73B vs $18.44B). TXN leads profitability with a 29.1% profit margin vs 15.0%. PYPL appears more attractively valued with a PEG of 0.91. TXN earns a higher WallStSmart Score of 72/100 (B).
PYPL
Strong Buy70
out of 100
Grade: B-
TXN
Strong Buy72
out of 100
Grade: B
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Mega-cap, among the largest globally
Every $100 of equity generates 32 in profit
Strong operational efficiency at 37.8%
Safe zone — low bankruptcy risk
Keeps 29 of every $100 in revenue as profit
18.6% revenue growth
Areas to Watch
Distress zone — elevated risk
Earnings declined 6.2%
Expensive relative to growth rate
Trading at 15.6x book value
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : TXN
The strongest argument for TXN centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 29.1% and operating margin at 37.8%. Revenue growth of 18.6% demonstrates continued momentum.
Bear Case : PYPL
The primary concerns for PYPL are Altman Z-Score, EPS Growth.
Bear Case : TXN
The primary concerns for TXN are PEG Ratio, Price/Book, P/E Ratio. A P/E of 49.2x leaves little room for execution misses.
Key Dynamics to Monitor
PYPL profiles as a value stock while TXN is a growth play — different risk/reward profiles.
PYPL carries more volatility with a beta of 1.40 — expect wider price swings.
TXN is growing revenue faster at 18.6% — sustainability is the question.
PYPL generates stronger free cash flow (911M), providing more financial flexibility.
Bottom Line
TXN scores higher overall (72/100 vs 70/100), backed by strong 29.1% margins and 18.6% 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.
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 →Texas Instruments Incorporated
TECHNOLOGY · SEMICONDUCTORS · USA
Texas Instruments Incorporated (TI) is an American technology company headquartered in Dallas, Texas, that designs and manufactures semiconductors and various integrated circuits, which it sells to electronics designers and manufacturers globally. It is one of the top 10 semiconductor companies worldwide based on sales volume.
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