ABCDEFGHIJKLMNOPQRSTUVWXYZAAABACADAEAFAGAHAIAJAKALAMANAOAPAQARASATAUAVAWAXAYAZBABB
1
2
Dashboard
3
1
4
Key Inputs1
5
Units ($ in millions)
6
Company namePayPal
7
TickerPYPL
8
Circuit breakerNo
9
Valuation date3/25/2024
10
Stub period76.7%
11
Latest shares of outstanding1,071,741,864
12
Md-year conventionNo
13
Fiscal year end12/31/2023
14
First fiscal year end12/31/2024
15
Date of latest 10K filing2/1/2024
16
Date of latest 10Q filing-
17
18
WACC Information
19
After tax cost of debt
20
Cost of equity
21
Weighted average cost of capital
22
23
First year multiples
24
EV/EBITDA26.41 X
25
EV/EBIT37.24 X
26
EV/Sales3.16 X
27
28
Other assumptions
29
Effective tax rate of PayPal as of the latest filing
21.5%
30
Use growth or margins?Margins
31
32
33
Background and operations of PayPal:
34
PayPal is a technology platform that enables digital payments on behalf of merchants and consumers worldwide. It operates
35
a two-sided network at scale that connects merchants and consumers that enables its customers to connect, transact, and
36
send and receive payments through online and in-person, as we as transfer and withdraw funds using various funding sources,
37
such as bank accounts, PayPal or Venmo accounts, PayPal or Venmo branded credit products, and various other credit
38
and debit cards as well as other competing platform and applications. Company earns revenues by charging fees for
39
completing transactions; the company also generates revenue from consumers for currency conversion, for instant transfers
40
from or to their PayPal and/or Venmo accounts, and through sale of crypto-currencies. PayPal also earns revenue for
41
providing other value added services which comprise revenue earned through partnerships, interest and fees from its
42
merchants and consumers' credit products, referral fees, subscription fees, and gateway services.
43
44
45
46
47
Case Manager
48
49
Active CaseBase Case
50
51
52
Output:
53
Share price as of the analysis $ 66.71
54
DCF value $ 98.35
55
Analysis Undervalued
56
57
Additional notes:
58
These prices are based on my assumptions and what I think about the company. DCFs are extremely prone to
59
assumptions, and so my advice would be to put in what you think will happen and see what the value comes out to.
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100