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PayPal Holdings (BSP:PYPL34) Cyclically Adjusted Book per Share : R$4.27 (As of Mar. 2024)


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What is PayPal Holdings Cyclically Adjusted Book per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Book per Share and the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted Book Value per Share of a company over the past 10 years.

PayPal Holdings's adjusted book value per share for the three months ended in Mar. 2024 was R$4.897. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is R$4.27 for the trailing ten years ended in Mar. 2024.

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted Book Growth Rate using Cyclically Adjusted Book per Share data.

As of today (2024-05-19), PayPal Holdings's current stock price is R$16.44. PayPal Holdings's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was R$4.27. PayPal Holdings's Cyclically Adjusted PB Ratio of today is 3.85.

During the past 12 years, the highest Cyclically Adjusted PB Ratio of PayPal Holdings was 4.60. The lowest was 3.09. And the median was 3.76.


PayPal Holdings Cyclically Adjusted Book per Share Historical Data

The historical data trend for PayPal Holdings's Cyclically Adjusted Book per Share can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

PayPal Holdings Cyclically Adjusted Book per Share Chart

PayPal Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Book per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - - 4.10

PayPal Holdings Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted Book per Share Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - 3.85 4.09 4.10 4.27

Competitive Comparison of PayPal Holdings's Cyclically Adjusted Book per Share

For the Credit Services subindustry, PayPal Holdings's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


PayPal Holdings's Cyclically Adjusted PB Ratio Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, PayPal Holdings's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where PayPal Holdings's Cyclically Adjusted PB Ratio falls into.



PayPal Holdings Cyclically Adjusted Book per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Book per Share and the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted Book Value per Share of a company over the past 10 years.

What is Cyclically Adjusted Book per Share? How do we calculate Cyclically Adjusted Book per Share?

Cyclically Adjusted Book per Share is the average of the inflation adjusted Book Value per Share of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted Book per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the book value per share from 2001 through 2010.

We adjusted the 2001 book value per share data with the total inflation from 2001 through 2010 to the equivalent book value in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's book value is $1 a share in 2001, then the 2001's equivalent book value in 2010 is $1.4 a share. If Wal-Mart's book value is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 book value in 2010 is $1.35. So on and so forth, you get the equivalent book value per share of past 10 years. Then you add them together and divided the sum by the count to get Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, PayPal Holdings's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book= Book Value per Share /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=4.897/131.7762*131.7762
=4.897

Current CPI (Mar. 2024) = 131.7762.

PayPal Holdings Quarterly Data

Book Value per Share CPI Adj_Book
201406 0.000 100.560 0.000
201409 0.000 100.428 0.000
201412 0.917 99.070 1.220
201503 1.112 99.621 1.471
201506 1.625 100.684 2.127
201509 2.112 100.392 2.772
201512 2.181 99.792 2.880
201603 2.081 100.470 2.729
201606 1.959 101.688 2.539
201609 1.914 101.861 2.476
201612 2.044 101.863 2.644
201703 1.912 102.862 2.449
201706 2.056 103.349 2.622
201709 2.011 104.136 2.545
201712 2.196 104.011 2.782
201803 2.029 105.290 2.539
201806 2.392 106.317 2.965
201809 2.636 106.507 3.261
201812 2.545 105.998 3.164
201903 2.484 107.251 3.052
201906 2.643 108.070 3.223
201909 2.892 108.329 3.518
201912 2.954 108.420 3.590
202003 3.326 108.902 4.025
202006 3.901 108.767 4.726
202009 4.258 109.815 5.110
202012 4.395 109.897 5.270
202103 4.665 111.754 5.501
202106 4.473 114.631 5.142
202109 4.966 115.734 5.654
202112 5.260 117.630 5.893
202203 4.416 121.301 4.797
202206 4.316 125.017 4.549
202209 4.632 125.227 4.874
202212 4.681 125.222 4.926
202303 4.609 127.348 4.769
202306 4.330 128.729 4.433
202309 4.513 129.860 4.580
202312 4.811 129.419 4.899
202403 4.897 131.776 4.897

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.


PayPal Holdings  (BSP:PYPL34) Cyclically Adjusted Book per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted Book per Share may underestimate the company's equity. Cyclically Adjusted PB Ratio can seem to be too high even the actual PB Ratio is low.

For the Cyclically Adjusted PB Ratio, the book value of the past 10 years are inflation-adjusted and averaged. The result is used for P/B calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted PB Ratio is also called CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

PayPal Holdings's Cyclically Adjusted PB Ratio of today is calculated as

Cyclically Adjusted PB Ratio=Share Price/Cyclically Adjusted Book per Share
=16.44/4.27
=3.85

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

During the past 12 years, the highest Cyclically Adjusted PB Ratio of PayPal Holdings was 4.60. The lowest was 3.09. And the median was 3.76.


Be Aware

Cyclically Adjusted PB Ratio works better for cyclical companies. It gives you a better idea on the company's real book value.


PayPal Holdings Cyclically Adjusted Book per Share Related Terms

Thank you for viewing the detailed overview of PayPal Holdings's Cyclically Adjusted Book per Share provided by GuruFocus.com. Please click on the following links to see related term pages.


PayPal Holdings (BSP:PYPL34) Business Description

Address
2211 North First Street, San Jose, CA, USA, 95131
PayPal was spun off from eBay in 2015 and provides electronic payment solutions to merchants and consumers, with a focus on online transactions. The company had 435 million active accounts at the end of 2022. The company also owns Venmo, a person-to-person payment platform.

PayPal Holdings (BSP:PYPL34) Headlines

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