PYPL vs SMCI: Which Is the Better Buy?
Side-by-side comparison of PayPal Holdings, Inc. and Super Micro Computer, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-05.
PayPal Holdings, Inc. · Financial Services
$50.39
+110.0% upside to fair value
Grade B
VS
Super Micro Computer, Inc. · Technology
$28.56
+435.6% upside to fair value
Grade C
QuantHub Verdict
SMCI has more upside to fair value
(+435.6%).
PYPL trades at a lower forward P/E
(9.0x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
PYPL |
SMCI |
| Current Price |
$50.39 |
$28.56 |
| Fair Value Estimate |
$105.84 |
$152.97 |
| Upside to Fair Value |
+110.0%
|
+435.6%
|
| Market Cap |
$45.3B |
$17.1B |
| Forward P/E |
9.0x
|
19.5x
|
| EV / EBITDA |
6.1x
|
15.0x
|
| Price / Sales |
1.4x
|
0.6x
|
| Price / FCF |
8.2x
|
38.9x
|
| Revenue Growth YoY |
+3.7%
|
+123.4%
|
| Gross Margin |
46.6%
|
8.0%
|
| Operating Margin |
18.3%
|
3.7%
|
| Return on Equity |
25.9%
|
13.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
12.27%
|
2.57%
|
| Analyst Consensus |
Sell
|
Hold
|
Investment Thesis
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, …
Super Micro Computer, Inc. is a technology company specializing in server and storage systems with a strong focus on AI GPU platforms, which represent over 70% of its server revenue. The company benefits from a long-tenured leadership team and a durable competitive position in liquid cooling technology with a 70-80% market share. Despite strong revenue growth of 123.4% in the most recent quarter …
Accumulation Zones
| Metric |
PYPL |
SMCI |
| Zone Low |
$79.38 |
$114.73 |
| Zone High |
$89.96 |
$130.02 |
| In Buy Zone? |
Yes
|
Yes
|