PayPal Holdings, Inc. (PYPL) Return on Invested Capital (ROIC): 14.95%
Is PayPal Holdings, Inc.’s return on invested capital (ROIC) high or low?
PayPal Holdings, Inc.'s return on invested capital (ROIC) of 14.95% is 31% above its 5-year average of 11.42%, near the high end of its 5-year range (8.20%–14.95%).
As of Friday, June 12, 2026. 9.04% above its 12-month average of 13.71%.
PYPL Return on Invested Capital (ROIC) Chart
PYPL Average Return on Invested Capital (ROIC) Chart
PYPL Current vs Average Return on Invested Capital (ROIC) Chart
PYPL Return on Invested Capital (ROIC) Metrics
RETURN ON INVESTED CAPITAL (ROIC)
14.95%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
13.71%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
11.83%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
11.42%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
10.26%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
9.14%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
9.14%
CURRENT VS TTM AVG
+9.04%
CURRENT VS 3Y AVG
+26.35%
CURRENT VS 5Y AVG
+30.95%
CURRENT VS 10Y AVG
+45.67%
CURRENT VS 15Y AVG
+63.64%
CURRENT VS 20Y AVG
+63.64%
PYPL Competitors' Return on Invested Capital (ROIC)
| NAME | MARKET CAP | RETURN ON INVESTED CAPITAL (ROIC) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| PayPal Holdings, Inc. (PYPL) | $36.38B | 14.95% | 13.71% | 11.83% | 11.42% |
| Prudential Financial, Inc. (PRU) | $36.99B | 0.68% | 0.60% | 0.34% | -2.38% |
| The Hartford Financial Services Group, Inc. (HIG) | $35.20B | 28.21% | 26.01% | 15.25% | 13.15% |
| Sunbelt Rentals Holdings Inc (SUNB) | $34.04B | 9.46% | 9.73% | 10.24% | 10.24% |
| American International Group, Inc. (AIG) | $39.94B | 5.29% | 4.88% | 2.77% | 2.21% |
| Ameriprise Financial, Inc. (AMP) | $41.33B | 2.03% | 2.02% | 1.94% | 1.75% |
| Coinbase Global, Inc. (COIN) | $42.27B | 5.24% | 9.40% | -1.24% | 7.17% |
| MSCI Inc. (MSCI) | $43.27B | 35.60% | 33.89% | 30.89% | 28.17% |
| State Street SPDR Dow Jones Industrial Average ETF Trust (DIA) | $44.76B | N/A | N/A | N/A | N/A |
| State Street Corporation (STT) | $46.22B | 3.21% | 3.08% | 3.77% | 4.42% |
Capital Efficiency
ROIC
14.9%
ROE
25.3%
PayPal Holdings, Inc. Return on Invested Capital (ROIC) Formula & Definition
ROIC = NOPAT / Invested Capital
Return on invested capital measures the after-tax return a company earns on all capital (debt and equity) invested in the business.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
PayPal Holdings, Inc. Return on Invested Capital (ROIC) FAQ
- What is the return on invested capital (ROIC) for PayPal Holdings, Inc. (PYPL)?
- The return on invested capital (ROIC) for PYPL stock is 14.95%.
- Is PayPal Holdings, Inc.'s return on invested capital (ROIC) high or low?
- PayPal Holdings, Inc.'s return on invested capital (ROIC) of 14.95% is 31% above its 5-year average of 11.42%, near the high end of its 5-year range (8.20%–14.95%).
- What is the TTM average return on invested capital (ROIC) for PayPal Holdings, Inc. (PYPL)?
- The TTM average return on invested capital (ROIC) for PYPL stock is 13.71%.
- What is the 3Y average return on invested capital (ROIC) for PayPal Holdings, Inc. (PYPL)?
- The 3Y average return on invested capital (ROIC) for PYPL stock is 11.83%.
- What is the 5Y average return on invested capital (ROIC) for PayPal Holdings, Inc. (PYPL)?
- The 5Y average return on invested capital (ROIC) for PYPL stock is 11.42%.
- What is the 10Y average return on invested capital (ROIC) for PayPal Holdings, Inc. (PYPL)?
- The 10Y average return on invested capital (ROIC) for PYPL stock is 10.26%.
- What is the 15Y average return on invested capital (ROIC) for PayPal Holdings, Inc. (PYPL)?
- The 15Y average return on invested capital (ROIC) for PYPL stock is 9.14%.
- What is the 20Y average return on invested capital (ROIC) for PayPal Holdings, Inc. (PYPL)?
- The 20Y average return on invested capital (ROIC) for PYPL stock is 9.14%.
PayPal Holdings, Inc. Return on Invested Capital (ROIC) History
| DATE | RETURN ON INVESTED CAPITAL (ROIC) |
|---|---|
| 2025-12-31 | 14.95% |
| 2024-12-31 | 12.47% |
| 2023-12-31 | 11.71% |
| 2022-12-31 | 8.20% |
| 2021-12-31 | 12.62% |
| 2020-12-31 | 8.55% |
| 2019-12-31 | 9.13% |
| 2018-12-31 | 9.78% |
| 2017-12-31 | 9.18% |
| 2016-12-31 | 8.40% |
| 2015-12-31 | 7.90% |
| 2014-12-31 | 4.33% |
| 2013-12-31 | 10.68% |
| 2012-12-31 | 0.00% |
Related Metrics
About PayPal Holdings, Inc.
PayPal Holdings, Inc. provides a worldwide technological framework that facilitates digital financial transactions for both businesses and individual users. The company offers a wide array of payment services through well-known brands such as PayPal, PayPal Credit, Braintree, Venmo, Xoom, Zettle, Hyperwallet, Honey, and Paidy. Through its extensive platform, consumers are able to send and receive funds across roughly 200 global markets and in approximately 100 different currencies. Additionally, users can transfer money to their bank accounts in 56 currencies and maintain account balances in 25 distinct currencies within their PayPal accounts. Founded in 1998, the company's corporate headquarters are situated in San Jose, California.
- Sector
- Financial Services
- Industry
- Financial - Credit Services
- CEO
- Enrique J. Lores