PYPL vs SBUX: Which Is the Better Buy?
Side-by-side comparison of PayPal Holdings, Inc. and Starbucks Corporation β fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-06-20.
PayPal Holdings, Inc. Β· Financial Services
$42.51
+45.0% upside to fair value
Grade B
VS
Starbucks Corporation Β· Consumer Cyclical
$100.65
-6.1% upside to fair value
Grade D
QuantHub Verdict
PYPL has more upside to fair value
(+45.0%).
PYPL trades at a lower forward P/E
(7.7x).
These are model outputs β not personalized investment advice.
See all research β
Valuation & Fundamentals
| Metric |
PYPL |
SBUX |
| Current Price |
$42.51 |
$100.65 |
| Fair Value Estimate |
$61.64 |
$94.50 |
| Upside to Fair Value |
+45.0%
|
-6.1%
|
| Market Cap |
$37.5B |
$114.7B |
| Forward P/E |
7.7x
|
76.7x
|
| EV / EBITDA |
5.3x
|
25.6x
|
| Price / Sales |
1.1x
|
3.0x
|
| Price / FCF |
6.8x
|
42.1x
|
| Revenue Growth YoY |
+7.2%
|
+8.8%
|
| Gross Margin |
46.1%
|
20.4%
|
| Operating Margin |
17.9%
|
9.3%
|
| Return on Equity |
25.1%
|
-18.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
14.71%
|
2.38%
|
| Analyst Consensus |
Sell
|
Hold
|
Investment Thesis
PayPal Holdings, Inc. operates as a leading global digital payments platform with a competitive moat driven by its extensive network effects, brand recognition, and scale. Despite a durable business model with 2025 revenue of $33.17 billion growing at 4.3% year-over-year and a strong return on equity of 25.1%, the company faces slowing growth and margin pressures, reflected in a 13.5% decline in β¦
Starbucks Corporation operates a global coffeehouse chain with a strong brand and a leading digital/mobile platform, serving approximately 90 million customers weekly through over 28,000 stores in 77 countries. The company benefits from a durable competitive moat based on its extensive store footprint, brand recognition, and digital engagement rather than proprietary products. Despite solid revenβ¦
Accumulation Zones
| Metric |
PYPL |
SBUX |
| Zone Low |
$46.23 |
$70.88 |
| Zone High |
$52.39 |
$80.33 |
| In Buy Zone? |
Yes
|
No
|