PayPal: Operating Profit Growth, High Margins, Low P/E

PayPal beat Q2 sales and profit expectations, showing strong operating and transaction margin growth and raising its 2025 profit guidance by 50%. The company's account base continues to expand, with 438 million users, reflecting renewed growth and improved customer quality. PayPal trades at a steep discount to fintech peers, with a forward P/E of 11.6x, despite robust profitability and margin expansion.