Robinhood vs PayPal (HOOD vs PYPL)
Robinhood (HOOD) vs PayPal (PYPL) in plain English: P/E, growth, margins, debt and dividend side by side, key differences and which fits each investor profile.
Robinhood (HOOD) and PayPal (PYPL) compete in financial services and payments. Here are Robinhood and PayPal side by side with their real figures as of November 4, 2026: what sets them apart, which fits each kind of investor and the most common questions, without telling you whether to buy Robinhood or PayPal.
Robinhood vs PayPal: the figures
| Figure | Robinhood | PayPal |
|---|---|---|
| Share price | $87.41 (November 4, 2026) | $60.20 (November 4, 2026) |
| Market cap | $78.7 billion | $50.0 billion |
| P/E (TTM) | 40.3x | 11.5x |
| Forward P/E | 25.6x | 10.2x |
| Revenue growth (quarter) | +11.8% | +2.0% |
| Net margin (TTM) | 39.0% | 13.8% |
| Net debt / EBITDA | N/A | 0.6x |
| Dividend yield | 0.00% | 0.96% |
| Beta | 2.53 | 1.32 |
Robinhood and PayPal figures from Yahoo Finance, the same source the Fintols analysis uses, retrieved on November 4, 2026; N/A means that Robinhood or PayPal figure is not available, and we never estimate it.
3 key differences between Robinhood and PayPal
- Valuation: Robinhood trades at 40.3x its annual earnings and PayPal at 11.5x; the market pays more for each dollar of Robinhood profit, usually because it expects more growth.
- Profitability: for every 100 of sales, Robinhood keeps 39.0 as net profit and PayPal keeps 13.8.
- Volatility: Robinhood stock moves more (beta 2.53) than PayPal (beta 1.32); the higher the beta, the more it amplifies market swings.
Robinhood or PayPal: which fits your profile
- If you want growth: Robinhood is growing faster today, so it fits better with investors who put business growth first, usually accepting a higher P/E and a bumpier ride.
- If you want income (dividends): PayPal pays the higher dividend relative to its price.
- If you prefer caution: PayPal has a less volatile share price, which usually gives more room in a bad year.
- If price is what matters most to you: PayPal trades on the lower P/E; check first whether that is an opportunity or a sign of a business that grows less.
Neither Robinhood nor PayPal wins on everything, and owning both is also an option: spreading money across several companies or an index fund reduces what rides on each one.
How Robinhood and PayPal make money
Robinhood (HOOD)
Robinhood Markets runs an investing app for individuals. It earns transaction revenue by getting paid by market makers to route options, stock and crypto orders, net interest on customer cash and securities lending, and fees from its Robinhood Gold subscription. Most business is in the U.S., with expansion underway in Europe. Full Robinhood analysis.
PayPal (PYPL)
PayPal earns transaction fees on online and in-store payments, its largest revenue source, through PayPal checkout, the Venmo app, the Braintree processing platform and Xoom remittances. It also earns other value-added revenue from interest, partnerships and PayPal Credit loans. The United States is its biggest market. Full PayPal analysis.
Frequently asked questions: Robinhood vs PayPal
Is Robinhood or PayPal the better stock?
Choosing between Robinhood and PayPal depends on what you are looking for. Robinhood is growing faster right now, and PayPal trades on the lower P/E. Fintols does not tell you whether to buy Robinhood or PayPal: it shows you the differences so you can decide.
Which pays a higher dividend, Robinhood or PayPal?
As of November 4, 2026, PayPal yields 0.96% and Robinhood pays none. Also check how much of their profit Robinhood and PayPal pay out: if it is more than they earn, it cannot last.
Which is more expensive, Robinhood or PayPal?
On P/E, Robinhood (40.3x) is more expensive than PayPal (11.5x) as of November 4, 2026. A higher P/E can be justified if earnings grow faster, so compare it with each company's growth in the table.
Can I own both Robinhood and PayPal?
Yes. Many people spread their money across several companies, such as Robinhood and PayPal, or use index funds so they do not depend on just one. If you are starting out, decide how much you want to invest and for how long before buying Robinhood or PayPal.
More comparisons with Robinhood or PayPal
More companies like Robinhood and PayPal: financial services and payments stocks. Educational content about Robinhood and PayPal, not investment advice.