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PayPal Holdings (WBO:PYPL) 3-Year FCF Growth Rate

: -5.50% (As of Dec. 2023)
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PayPal Holdings's Free Cash Flow per Share for the three months ended in Dec. 2023 was €2.09.

During the past 12 months, PayPal Holdings's average Free Cash Flow per Share Growth Rate was -13.60% per year. During the past 3 years, the average Free Cash Flow per Share Growth Rate was -5.50% per year. During the past 5 years, the average Free Cash Flow per Share Growth Rate was 3.40% per year. During the past 10 years, the average Free Cash Flow per Share Growth Rate was 14.60% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average Free Cash Flow per Share growth rate.

During the past 12 years, the highest 3-Year average Free Cash Flow per Share Growth Rate of PayPal Holdings was 43.50% per year. The lowest was -5.50% per year. And the median was 14.90% per year.


Competitive Comparison

For the Credit Services subindustry, PayPal Holdings's 3-Year FCF Growth Rate, along with its competitors' market caps and 3-Year FCF Growth Rate data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


PayPal Holdings 3-Year FCF Growth Rate Distribution

For the Credit Services industry and Financial Services sector, PayPal Holdings's 3-Year FCF Growth Rate distribution charts can be found below:

* The bar in red indicates where PayPal Holdings's 3-Year FCF Growth Rate falls into.



PayPal Holdings 3-Year FCF Growth Rate Calculation

This is the 3-year average growth rate of Free Cash Flow per Share. The growth rate is calculated using exponential compounding based on the latest four year annual data.

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average Free Cash Flow per Share growth rate.


PayPal Holdings  (WBO:PYPL) 3-Year FCF Growth Rate Explanation

Free Cash Flow per Share is the amount of Free Cash Flow per outstanding share of the company's stock. Free Cash Flow is considered one of the most important parameters to measure a company's earnings power by value investors because it is not subject to estimates of Depreciation, Depletion and Amortization (DDA). However, when we look at the Free Cash Flow, we should look from a long term perspective, because any year's Free Cash Flow can be drastically affected by the spending on Property, Plant, & Equipment (PPE) of the business in that year. Over the long term, Free Cash Flow should give pretty good picture on the real earnings power of the company. It's used in the calculation of Forward Rate of Return (Yacktman) %.


PayPal Holdings 3-Year FCF Growth Rate Related Terms

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PayPal Holdings (WBO:PYPL) Business Description

Address
2211 North First Street, San Jose, CA, USA, 95131
PayPal was spun off from eBay in 2015 and provides electronic payment solutions to merchants and consumers, with a focus on online transactions. The company had 435 million active accounts at the end of 2022. The company also owns Venmo, a person-to-person payment platform.