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PayPal Holdings (BUE:PYPL) Cyclically Adjusted Book per Share : ARS2,017.34 (As of Dec. 2023)


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What is PayPal Holdings Cyclically Adjusted Book per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Book per Share and the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted Book Value per Share of a company over the past 10 years.

PayPal Holdings's adjusted book value per share for the three months ended in Dec. 2023 was ARS7,089.003. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is ARS2,017.34 for the trailing ten years ended in Dec. 2023.

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 Cyclically Adjusted Book Growth Rate using Cyclically Adjusted Book per Share data.

As of today (2024-04-29), PayPal Holdings's current stock price is ARS8953.50. PayPal Holdings's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 was ARS2,017.34. PayPal Holdings's Cyclically Adjusted PB Ratio of today is 4.44.

During the past 12 years, the highest Cyclically Adjusted PB Ratio of PayPal Holdings was 4.60. The lowest was 3.09. And the median was 3.76.


PayPal Holdings Cyclically Adjusted Book per Share Historical Data

The historical data trend for PayPal Holdings's Cyclically Adjusted Book per Share can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

PayPal Holdings Cyclically Adjusted Book per Share Chart

PayPal Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Book per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - - 2,017.34

PayPal Holdings Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted Book per Share Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - 1,031.03 1,672.89 2,017.34

Competitive Comparison of PayPal Holdings's Cyclically Adjusted Book per Share

For the Credit Services subindustry, PayPal Holdings's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio 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's Cyclically Adjusted PB Ratio Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, PayPal Holdings's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where PayPal Holdings's Cyclically Adjusted PB Ratio falls into.



PayPal Holdings Cyclically Adjusted Book per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Book per Share and the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted Book Value per Share of a company over the past 10 years.

What is Cyclically Adjusted Book per Share? How do we calculate Cyclically Adjusted Book per Share?

Cyclically Adjusted Book per Share is the average of the inflation adjusted Book Value per Share of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted Book per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the book value per share from 2001 through 2010.

We adjusted the 2001 book value per share data with the total inflation from 2001 through 2010 to the equivalent book value in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's book value is $1 a share in 2001, then the 2001's equivalent book value in 2010 is $1.4 a share. If Wal-Mart's book value is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 book value in 2010 is $1.35. So on and so forth, you get the equivalent book value per share of past 10 years. Then you add them together and divided the sum by the count to get Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, PayPal Holdings's adjusted Book Value per Share data for the three months ended in Dec. 2023 was:

Adj_Book= Book Value per Share /CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=7089.003/129.4194*129.4194
=7,089.003

Current CPI (Dec. 2023) = 129.4194.

PayPal Holdings Quarterly Data

Book Value per Share CPI Adj_Book
201403 0.000 99.695 0.000
201406 0.000 100.560 0.000
201409 0.000 100.428 0.000
201412 59.368 99.070 77.555
201503 62.461 99.621 81.144
201506 94.887 100.684 121.968
201509 101.754 100.392 131.176
201512 145.492 99.792 188.687
201603 164.392 100.470 211.759
201606 160.031 101.688 203.673
201609 175.538 101.861 223.030
201612 193.225 101.863 245.498
201703 188.536 102.862 237.213
201706 205.730 103.349 257.626
201709 224.977 104.136 279.601
201712 254.505 104.011 316.677
201803 249.367 105.290 306.516
201806 316.363 106.317 385.109
201809 472.171 106.507 573.749
201812 494.147 105.998 603.335
201903 505.535 107.251 610.030
201906 612.638 108.070 733.669
201909 785.203 108.329 938.069
201912 860.424 108.420 1,027.075
202003 844.894 108.902 1,004.079
202006 1,029.526 108.767 1,225.006
202009 1,170.800 109.815 1,379.815
202012 1,390.424 109.897 1,637.426
202103 1,491.361 111.754 1,727.100
202106 1,685.388 114.631 1,902.811
202109 1,839.830 115.734 2,057.382
202112 1,878.604 117.630 2,066.895
202203 1,905.415 121.301 2,032.940
202206 2,057.581 125.017 2,130.041
202209 2,454.824 125.227 2,537.018
202212 2,992.021 125.222 3,092.317
202303 3,496.389 127.348 3,553.266
202306 4,281.887 128.729 4,304.862
202309 6,396.309 129.860 6,374.632
202312 7,089.003 129.419 7,089.003

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.


PayPal Holdings  (BUE:PYPL) Cyclically Adjusted Book per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted Book per Share may underestimate the company's equity. Cyclically Adjusted PB Ratio can seem to be too high even the actual PB Ratio is low.

For the Cyclically Adjusted PB Ratio, the book value of the past 10 years are inflation-adjusted and averaged. The result is used for P/B calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted PB Ratio is also called CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

PayPal Holdings's Cyclically Adjusted PB Ratio of today is calculated as

Cyclically Adjusted PB Ratio=Share Price/Cyclically Adjusted Book per Share
=8953.50/2017.34
=4.44

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

During the past 12 years, the highest Cyclically Adjusted PB Ratio of PayPal Holdings was 4.60. The lowest was 3.09. And the median was 3.76.


Be Aware

Cyclically Adjusted PB Ratio works better for cyclical companies. It gives you a better idea on the company's real book value.


PayPal Holdings Cyclically Adjusted Book per Share Related Terms

Thank you for viewing the detailed overview of PayPal Holdings's Cyclically Adjusted Book per Share provided by GuruFocus.com. Please click on the following links to see related term pages.


PayPal Holdings (BUE: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.