Flagship explainer

What drives PayPal Holdings, Inc.’s return on equity?

ROE is five filed business factors multiplied together.

DuPont return on equity factor treeReturn on equity branches into tax burden, interest burden, operating margin, asset turnover, and the equity multiplier.Return on equity26%Tax burden83%net income ÷ pretax incomeInterest burden104%pretax ÷ operating incomeOperating margin18%operating income ÷ revenueAsset turnover0.42×revenue ÷ average assetsEquity multiplier3.91×average assets ÷ average equityAs of 2025-12-31 · 1 SEC filing sourceBuy Like Buffett · buylikebuffett.com
DuPont source inputs
InputValueFiscal yearSource
$5.2BFY2025
Income before tax$6.3BFY2025
Operating income$6.1BFY2025
$33.2BFY2025
Ending assets$80.2BFY2025
Beginning assets$78.7BFY2024
$20.3BFY2025
$20.4BFY2024
Source: · event Dec 31, 2025 · retrieved Jul 26, 2026 · annual-row source set
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