PYPL FCF Yield Analysis
Updated 321h ago·SEC filings & market data
Key Takeaway
A free cash flow yield of 11.2% means that for every dollar of the company's market value, it generates about 11.2 cents of cash from operations after capital spending — a measure of the cash return an investor could expect.
Sector Performance
89th percentilePYPL
11.2%
Sector Median
4.2%
Sector Avg
9.2%
Prior Period
14.6%(Jul 2026)
Deep Analysis
A free cash flow yield of 11.2% means that for every dollar of the company's market value, it generates about 11.2 cents of cash from operations after capital spending — a measure of the cash return an investor could expect.
That stands well above the sector median of 4.2%, placing PYPL in the 88th percentile among its sector peers, so the level is unusually attractive relative to the group. The trend is not available: the year-over-year change is N/A and the quarter-over-quarter change is N/A, with only this single historical value of 11.2% provided. With a high current yield but no trend data, there is no evidence of improving or deteriorating cash generation, which leaves the valuation signal strong but unconfirmed by any direction. This elevated yield alone suggests a lower downside risk from cash flow shortfalls, yet the lack of trend means that opportunity cannot be distinguished from a temporary condition. Overall, this metric supports a NEUTRAL verdict: the high FCF yield is positive, but without any trend evidence it does not justify a bullish or bearish tilt.
Frequently Asked Questions
What does the FCF Yield tell investors about PYPL?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
Who are PYPL's closest peers by FCF Yield?
The closest peers by FCF Yield include: JACK (23.5%), BBWI (23.7%), YELP (25.7%), MET (27.9%), WIX (29.2%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master PYPL's Valuation
Get the complete institutional research report covering all fundamental and technical metrics.
View full PYPL research report →PYPL
11.2%
Sector Median
4.2%
Sector Avg
9.2%
How PYPL's FCF Yield compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.