AMZN vs PYPL: Which Is the Better Buy?
Side-by-side comparison of Amazon.com, Inc. and PayPal Holdings, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-05.
Amazon.com, Inc. · Consumer Cyclical
$250.56
+32.0% upside to fair value
Grade B
High Quality
VS
PayPal Holdings, Inc. · Financial Services
$50.39
+110.0% upside to fair value
Grade B
QuantHub Verdict
PYPL has more upside to fair value
(+110.0%).
PYPL trades at a lower forward P/E
(9.0x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
AMZN |
PYPL |
| Current Price |
$250.56 |
$50.39 |
| Fair Value Estimate |
$330.77 |
$105.84 |
| Upside to Fair Value |
+32.0%
|
+110.0%
|
| Market Cap |
$2,689.7B |
$45.3B |
| Forward P/E |
34.5x
|
9.0x
|
| EV / EBITDA |
16.7x
|
6.1x
|
| Price / Sales |
3.8x
|
1.4x
|
| Price / FCF |
349.5x
|
8.2x
|
| Revenue Growth YoY |
+13.6%
|
+3.7%
|
| Gross Margin |
50.3%
|
46.6%
|
| Operating Margin |
11.2%
|
18.3%
|
| Return on Equity |
21.9%
|
25.9%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
0.29%
|
12.27%
|
| Analyst Consensus |
Strong Buy
|
Sell
|
Investment Thesis
Amazon.com, Inc. operates as a global leader in e-commerce and cloud computing, generating $716.9 billion in net sales for fiscal 2025 with a strong presence in North America, International markets, and AWS. The company benefits from durable competitive moats in e-commerce, where it is America’s largest online retailer with over four times the sales of its nearest rival as of 2015, and in cloud c…
PayPal Holdings, Inc. operates as a leading digital payments platform offering transaction processing and value-added financial services such as consumer credit and BNPL products. The business quality is medium due to a narrowing competitive moat amid increasing pressure from big tech competitors and slowing growth in its core branded checkout segment. The stock is currently mispriced and cheap, …
Accumulation Zones
| Metric |
AMZN |
PYPL |
| Zone Low |
$248.08 |
$79.38 |
| Zone High |
$281.15 |
$89.96 |
| In Buy Zone? |
Yes
|
Yes
|