PayPal Stock Jumps 11% in a Week, But Does Fiserv Stock Offer Better Fundamentals?
Fiserv (FI) stock offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs PayPal (PYPL) stock, suggesting you may be better off investing in FI
- FI’s quarterly revenue growth was 8.0%, vs. PYPL’s 5.1%.
- In addition, its Last 12 Months revenue growth came in at 6.7%, ahead of PYPL’s 4.1%.
- FI leads on profitability over both periods – LTM margin of 30.0% and 3-year average of 26.7%.
Single stock can be risky, but there is a huge value to a broader diversified approach. If you seek an upside with less volatility than holding an individual stock, consider the High Quality Portfolio (HQ) – HQ has outperformed its benchmark – a combination of S&P 500, Russell, and S&P midcap index, and achieved returns exceeding 91% since its inception. Risk management is key – consider, what could long-term portfolio performance be if you blended 10% commodities, 10% gold, and 2% crypto with HQ’s performance metrics.
PYPL operates a global digital payments platform enabling consumers and merchants to send and receive payments in around 200 markets and 100 currencies. FI provides payment and financial technology, including point-of-sale acquiring, digital commerce, card transaction processing, and institution ledger management services.
Valuation & Performance Overview
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| PYPL | FI | Preferred | |
|---|---|---|---|
| Valuation | |||
| P/EBIT Ratio | 11.7 | 11.0 | FI |
| Revenue Growth | |||
| Last Quarter | 5.1% | 8.0% | FI |
| Last 12 Months | 4.1% | 6.7% | FI |
| Last 3 Year Average | 7.0% | 7.5% | FI |
| Operating Margins | |||
| Last 12 Months | 19.1% | 30.0% | FI |
| Last 3 Year Average | 17.8% | 26.7% | FI |
| Momentum | |||
| Last 3 Year Return | -17.3% | 28.4% | FI |
Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: PYPL Revenue Comparison | FI Revenue Comparison
See more margin details: PYPL Operating Income Comparison | FI Operating Income Comparison
But do these numbers tell the full story? Read Buy or Sell FI Stock to see if Fiserv’s edge holds up under the hood or if PayPal still has cards to play (see Buy or Sell PYPL Stock).
Historical Market Performance
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | Avg | Best | |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| PYPL Return | 117% | -19% | -62% | -14% | 39% | -13% | -36% | ||
| FI Return | -2% | -9% | -3% | 31% | 55% | -38% | 10% | ||
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 14% | 108% | <=== | |
| Monthly Win Rates [3] | |||||||||
| PYPL Win Rate | 67% | 50% | 25% | 58% | 58% | 56% | 52% | ||
| FI Win Rate | 50% | 50% | 50% | 67% | 67% | 33% | 53% | ||
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 67% | 64% | <=== | |
| Max Drawdowns [4] | |||||||||
| PYPL Max Drawdown | -21% | -23% | -64% | -29% | -9% | -33% | -30% | ||
| FI Max Drawdown | -33% | -16% | -15% | -2% | -1% | -39% | -18% | ||
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | -12% | <=== | |
[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year up to 10/7/2025 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read FI Dip Buyer Analyses and PYPL Dip Buyer Analyses to see how these stocks have fallen and recovered in the past.