Is PayPal Stock Cheap, or a Value Trap?
Although the fintech stock trades at a price-to-earnings ratio of 7.8, there is ongoing debate about its investment merits.
Overview
If you've been short PayPal Holdings (NASDAQ: PYPL) shares, then congratulations are in order. The fintech stock is trading down 27% in 2026 (as of June 24). And it trades at a troubling 86% below its record high in July 2021.
This is a sound business from a financial perspective. But the market clearly isn't adopting an upbeat tone. Shares can be bought right now at a price-to-earnings ratio of 7.8. At the same time, the S&P 500 index trades at a multiple of 25.2.
Details
Do PayPal shares present a cheap opportunity that investors should take advantage of? Or is this stock a value trap?
Source
Originally published at www.fool.com.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.