PayPal HoldingsFRA:2PP -0.93%87 PB Ratio is 1.92 as of Jun. 26, 2026, which is 60% below its 10-year median of 4.80. GuruFocus rates FRA:2PP with a GF Score™ of 87/100 and a GF Value™ of €73.10 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 523 Credit Services companies, PayPal Holdings ranks worse than 71.89% on this metric.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2026-06-26), PayPal Holdings's share price is €37.345. PayPal Holdings's Book Value per Share for the quarter that ended in Mar. 2026 was €19.42. Hence, PayPal Holdings's PB Ratio of today is 1.92.
Good Sign:
PayPal Holdings Inc stock PB Ratio (=1.89) is close to 10-year low of 1.83.
The historical rank and industry rank for PayPal Holdings's PB Ratio or its related term are showing as below:
FRA:2PP'
s PB Ratio Range Over the Past 10 Years
Min: 1.83 Med: 4.8 Max: 17.49
Current: 1.89
During the past 13 years, PayPal Holdings's highest PB Ratio was 17.49. The lowest was 1.83. And the median was 4.80.
FRA:2PP's PB Ratio is ranked worse than 71.89% of 523
companies
in the Credit Services industry
Industry Median: 1.07
vs FRA:2PP: 1.89
During the past 12 months, PayPal Holdings's average Book Value Per Share Growth Rate was 8.50% per year.
During the past 3 years, the average Book Value Per Share Growth Rate was 7.30% per year.
During the past 5 years, the average Book Value Per Share Growth Rate was 4.90% per year.
During the past 10 years, the average Book Value Per Share Growth Rate was 7.10% per year.
During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of PayPal Holdings was 26.30% per year. The lowest was 3.40% per year. And the median was 7.35% per year.
The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.
Be Aware
Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.
PayPal Holdings PB Ratio Related Terms
PayPal Holdings PB Ratio Historical Data
* Premium members only.
The historical data trend for PayPal Holdings's PB Ratio 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.
For the Credit Services subindustry, PayPal Holdings's PB Ratio, along with its competitors' market caps and 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 PB Ratio vs Credit Services Industry
For the Credit Services industry and Financial Services sector, PayPal Holdings's PB Ratio distribution charts can be found below:
* The bar in red indicates where PayPal Holdings's PB Ratio falls into.
The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.
PayPal Holdings's PB Ratio for today is calculated as follows:
* 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.
It can also be calculated from the numbers for the whole company:
A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.
PayPal Holdings (FRA:2PP) has a PB Ratio of 1.92 as of Jun. 26, 2026. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on PayPal Holdings and its competitors. This is 60% below median its historical median of 4.80. Over the past decade, PayPal Holdings' PB Ratio has ranged from 1.83 to 17.49. According to the industry distribution chart, PayPal Holdings ranks #376 out of 523 companies in the Credit Services industry, placing it in the top 71.9%.
Is PayPal Holdings' PB Ratio too high?
PayPal Holdings' current PB Ratio of 1.92 is 60% below median its 10-year median of 4.80. Over the past 10 years, this metric has ranged from a low of 1.83 to a high of 17.49. The Credit Services industry median PB Ratio is 1.07. PayPal Holdings' value of 1.92 is 79.4% above this industry median. Based on the distribution chart, PayPal Holdings ranks #376 out of 523 companies in the Credit Services industry, which is below the industry midpoint. Overall, PayPal Holdings has a GF Score™ of 87/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does PayPal Holdings' PB Ratio compare to AFRM and SYF?
According to the Credit Services industry distribution chart, PayPal Holdings ranks #376 out of 523 companies for PB Ratio. This places PayPal Holdings in the lower half of its industry. The industry median PB Ratio is 1.07. PayPal Holdings' value of 1.92 is 79.4% above this benchmark. Historically, PayPal Holdings' own PB Ratio has ranged from 1.83 to 17.49 over the past decade. While the company's 10-year median is 4.80 vs. the industry median of 1.07, PayPal Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PB Ratio for a Credit Services company?
The median PB Ratio among Credit Services companies is 1.07, based on 523 companies in the industry. Companies in the top quartile (top 25%) have a PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. PayPal Holdings's current PB Ratio of 1.92 is 79.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PB Ratio mean?
A high PB Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on PayPal Holdings and its competitors. For the Credit Services industry, the median PB Ratio is 1.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PayPal Holdings's current PB Ratio is 1.92, which is 60% below median its own 10-year median of 4.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PayPal Holdings stock overvalued right now?
Based on GuruFocus' analysis, PayPal Holdings (FRA:2PP) is currently considered Significantly Undervalued. The stock's GF Value™ is €73.10, compared to a current price of €37.35 — trading 48.9% below its estimated fair value. The current PB Ratio is 1.92, which is 60% below median its 10-year median of 4.80 and 79.4% above the Credit Services industry median of 1.07. PayPal Holdings' overall GF Score™ is 87/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PB Ratio calculated?
PB Ratio is calculated from a company's financial statements. For PayPal Holdings (FRA:2PP), the current PB Ratio is 1.92 as of Jun. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is PayPal Holdings (FRA:2PP) Overvalued in 2026?
Based on GuruFocus' analysis, PayPal Holdings stock appears to be undervalued.
The current stock price of €37.35 is trading 48.9% below its estimated GF Value™ of €73.10.
GuruFocus considers PayPal Holdings to be Significantly Undervalued.
Key valuation signals for FRA:2PP:
PB Ratio: 1.92 (60% below median its 10-year median of 4.80)
GF Value™: €73.10 vs. price of €37.35 (48.9% below fair value)
Industry Position: 79.4% above the Credit Services median (#376 of 523)
No single metric tells the full story. See the FRA:2PP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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 439 million active accounts at the end of 2025. The company also owns Venmo, a person-to-person payment platform.
87GF Score
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