Operates one of the largest online payments systems and digital payments platforms globally Highly scalable business model Strong growth prospects in online and digital payments Narrow product focus (payment processing)--that is, limited diversification Strong cash flow generator Still-low leverage despite an increasingly aggressive financial policy Below-average operating margin (compared with other financial market infrastructure companies) Lower risk on the U.S. retail loan book following the transaction with Synchrony Planned expansion of the merchant loan book The stable outlook reflects S&P Global Ratings' view that PayPal Holdings Inc.'s strong performance positions it well to compete in the highly competitive payments space. It also reflects our expectation of further expansion of the merchant loan book (of at least $500 million a year)
