KO vs PYPL: Which Is the Better Buy?
Side-by-side comparison of The Coca-Cola Company and PayPal Holdings, Inc. โ fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-05.
The Coca-Cola Company ยท Consumer Defensive
$78.19
-7.8% upside to fair value
Grade D
High Quality
VS
PayPal Holdings, Inc. ยท 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 โ not personalized investment advice.
See all research โ
Valuation & Fundamentals
| Metric |
KO |
PYPL |
| Current Price |
$78.19 |
$50.39 |
| Fair Value Estimate |
$72.12 |
$105.84 |
| Upside to Fair Value |
-7.8%
|
+110.0%
|
| Market Cap |
$336.5B |
$45.3B |
| Forward P/E |
24.6x
|
9.0x
|
| EV / EBITDA |
19.9x
|
6.1x
|
| Price / Sales |
6.8x
|
1.4x
|
| Price / FCF |
26.8x
|
8.2x
|
| Revenue Growth YoY |
+12.1%
|
+3.7%
|
| Gross Margin |
61.7%
|
46.6%
|
| Operating Margin |
29.3%
|
18.3%
|
| Return on Equity |
43.6%
|
25.9%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
3.73%
|
12.27%
|
| Analyst Consensus |
Strong Buy
|
Sell
|
Investment Thesis
The Coca-Cola Company is a leading global beverage company specializing in non-alcoholic drinks with a diversified portfolio including sparkling soft drinks, juices, water, coffee, and energy beverages. The business quality is high due to its durable brand moat, consistent earnings growth, and strong operational efficiency, reflected in a 43.6% return on equity and 12.1% revenue growth in the mosโฆ
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, โฆ
Accumulation Zones
| Metric |
KO |
PYPL |
| Zone Low |
$54.09 |
$79.38 |
| Zone High |
$61.30 |
$89.96 |
| In Buy Zone? |
No
|
Yes
|