127.26 USD
-8.31 (-6.13%)
At close: Feb 3, 2026
127.26 USD
0 (0%)
After Hours: 2/3/2026, 8:00:00 PM
Taking everything into account, PCTY scores 7 out of 10 in our fundamental rating. PCTY was compared to 89 industry peers in the Professional Services industry. PCTY scores excellent points on both the profitability and health parts. This is a solid base for a good stock. PCTY is growing strongly while it is still valued neutral. This is a good combination! With these ratings, PCTY could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
- PCTY had positive earnings in the past year.
- PCTY had a positive operating cash flow in the past year.
- In the past 5 years PCTY has always been profitable.
- In the past 5 years PCTY always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 5.32%, PCTY is in the better half of the industry, outperforming 61.80% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 20.44%, PCTY is in the better half of the industry, outperforming 73.03% of the companies in the same industry.
- The Return On Invested Capital of PCTY (18.02%) is better than 86.52% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for PCTY is above the industry average of 12.00%.
- The last Return On Invested Capital (18.02%) for PCTY is above the 3 year average (14.90%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.32% | ||
| ROE | 20.44% | ||
| ROIC | 18.02% |
ROA(3y)4.62%
ROA(5y)3.73%
ROE(3y)18.38%
ROE(5y)16.95%
ROIC(3y)14.9%
ROIC(5y)12.43%
1.3 Margins
- The Profit Margin of PCTY (13.75%) is better than 83.15% of its industry peers.
- In the last couple of years the Profit Margin of PCTY has grown nicely.
- PCTY's Operating Margin of 19.15% is amongst the best of the industry. PCTY outperforms 85.39% of its industry peers.
- In the last couple of years the Operating Margin of PCTY has grown nicely.
- Looking at the Gross Margin, with a value of 68.81%, PCTY belongs to the top of the industry, outperforming 87.64% of the companies in the same industry.
- PCTY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.15% | ||
| PM (TTM) | 13.75% | ||
| GM | 68.81% |
OM growth 3Y23.16%
OM growth 5Y8.88%
PM growth 3Y10.17%
PM growth 5Y4.38%
GM growth 3Y1.21%
GM growth 5Y0.35%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), PCTY is creating value.
- PCTY has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, PCTY has more shares outstanding
- PCTY has a worse debt/assets ratio than last year.
2.2 Solvency
- PCTY has an Altman-Z score of 2.33. This is not the best score and indicates that PCTY is in the grey zone with still only limited risk for bankruptcy at the moment.
- PCTY has a Altman-Z score of 2.33. This is comparable to the rest of the industry: PCTY outperforms 48.31% of its industry peers.
- PCTY has a debt to FCF ratio of 0.24. This is a very positive value and a sign of high solvency as it would only need 0.24 years to pay back of all of its debts.
- PCTY has a better Debt to FCF ratio (0.24) than 85.39% of its industry peers.
- A Debt/Equity ratio of 0.07 indicates that PCTY is not too dependend on debt financing.
- With a decent Debt to Equity ratio value of 0.07, PCTY is doing good in the industry, outperforming 70.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.24 | ||
| Altman-Z | 2.33 |
ROIC/WACC2.01
WACC8.96%
2.3 Liquidity
- PCTY has a Current Ratio of 1.07. This is a normal value and indicates that PCTY is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of PCTY (1.07) is worse than 69.66% of its industry peers.
- PCTY has a Quick Ratio of 1.07. This is a normal value and indicates that PCTY is financially healthy and should not expect problems in meeting its short term obligations.
- PCTY's Quick ratio of 1.07 is on the low side compared to the rest of the industry. PCTY is outperformed by 68.54% of its industry peers.
- PCTY does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.07 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
- PCTY shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.14%.
- Measured over the past years, PCTY shows a very strong growth in Earnings Per Share. The EPS has been growing by 30.84% on average per year.
- The Revenue has grown by 13.30% in the past year. This is quite good.
- The Revenue has been growing by 23.23% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)6.14%
EPS 3Y30.18%
EPS 5Y30.84%
EPS Q2Q%5.42%
Revenue 1Y (TTM)13.3%
Revenue growth 3Y23.22%
Revenue growth 5Y23.23%
Sales Q2Q%12.46%
3.2 Future
- PCTY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.32% yearly.
- PCTY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.51% yearly.
EPS Next Y7.04%
EPS Next 2Y7.86%
EPS Next 3Y10.63%
EPS Next 5Y16.32%
Revenue Next Year9.42%
Revenue Next 2Y8.7%
Revenue Next 3Y9.31%
Revenue Next 5Y9.51%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 17.53 indicates a rather expensive valuation of PCTY.
- Based on the Price/Earnings ratio, PCTY is valued a bit cheaper than 66.29% of the companies in the same industry.
- PCTY is valuated rather cheaply when we compare the Price/Earnings ratio to 28.18, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 15.26, PCTY is valued correctly.
- Based on the Price/Forward Earnings ratio, PCTY is valued a bit cheaper than 64.04% of the companies in the same industry.
- PCTY is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.51, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.53 | ||
| Fwd PE | 15.26 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as PCTY.
- 67.42% of the companies in the same industry are more expensive than PCTY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.59 | ||
| EV/EBITDA | 16.29 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of PCTY may justify a higher PE ratio.
PEG (NY)2.49
PEG (5Y)0.57
EPS Next 2Y7.86%
EPS Next 3Y10.63%
5. Dividend
5.1 Amount
- No dividends for PCTY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
127.26
-8.31 (-6.13%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)11-04 2025-11-04/amc
Earnings (Next)02-05 2026-02-05/amc
Inst Owners79.86%
Inst Owner Change0.61%
Ins Owners19.38%
Ins Owner Change0.59%
Market Cap6.92B
Revenue(TTM)1.64B
Net Income(TTM)225.54M
Analysts82.86
Price Target196.66 (54.53%)
Short Float %4.71%
Short Ratio3.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.7%
Min EPS beat(2)9.46%
Max EPS beat(2)9.93%
EPS beat(4)4
Avg EPS beat(4)8.87%
Min EPS beat(4)4.67%
Max EPS beat(4)11.41%
EPS beat(8)8
Avg EPS beat(8)10.83%
EPS beat(12)12
Avg EPS beat(12)15.11%
EPS beat(16)16
Avg EPS beat(16)22.66%
Revenue beat(2)2
Avg Revenue beat(2)0.63%
Min Revenue beat(2)0.1%
Max Revenue beat(2)1.15%
Revenue beat(4)4
Avg Revenue beat(4)0.56%
Min Revenue beat(4)0.1%
Max Revenue beat(4)1.15%
Revenue beat(8)5
Avg Revenue beat(8)-1.1%
Revenue beat(12)8
Avg Revenue beat(12)-0.59%
Revenue beat(16)11
Avg Revenue beat(16)0.08%
PT rev (1m)-0.07%
PT rev (3m)-10.86%
EPS NQ rev (1m)-0.06%
EPS NQ rev (3m)5.12%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)3.23%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)-0.14%
Revenue NY rev (1m)0.46%
Revenue NY rev (3m)0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.53 | ||
| Fwd PE | 15.26 | ||
| P/S | 4.22 | ||
| P/FCF | 20.59 | ||
| P/OCF | 16.75 | ||
| P/B | 6.27 | ||
| P/tB | 12.83 | ||
| EV/EBITDA | 16.29 |
EPS(TTM)7.26
EY5.7%
EPS(NY)8.34
Fwd EY6.55%
FCF(TTM)6.18
FCFY4.86%
OCF(TTM)7.6
OCFY5.97%
SpS30.17
BVpS20.29
TBVpS9.92
PEG (NY)2.49
PEG (5Y)0.57
Graham Number57.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.32% | ||
| ROE | 20.44% | ||
| ROCE | 24.33% | ||
| ROIC | 18.02% | ||
| ROICexc | 20.67% | ||
| ROICexgc | 41.44% | ||
| OM | 19.15% | ||
| PM (TTM) | 13.75% | ||
| GM | 68.81% | ||
| FCFM | 20.48% |
ROA(3y)4.62%
ROA(5y)3.73%
ROE(3y)18.38%
ROE(5y)16.95%
ROIC(3y)14.9%
ROIC(5y)12.43%
ROICexc(3y)21.81%
ROICexc(5y)18.03%
ROICexgc(3y)37.42%
ROICexgc(5y)29.81%
ROCE(3y)20.12%
ROCE(5y)16.79%
ROICexgc growth 3Y31.79%
ROICexgc growth 5Y13.02%
ROICexc growth 3Y20.86%
ROICexc growth 5Y3.12%
OM growth 3Y23.16%
OM growth 5Y8.88%
PM growth 3Y10.17%
PM growth 5Y4.38%
GM growth 3Y1.21%
GM growth 5Y0.35%
F-Score6
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.24 | ||
| Debt/EBITDA | 0.19 | ||
| Cap/Depr | 73.14% | ||
| Cap/Sales | 4.71% | ||
| Interest Coverage | 21 | ||
| Cash Conversion | 98.47% | ||
| Profit Quality | 148.99% | ||
| Current Ratio | 1.07 | ||
| Quick Ratio | 1.07 | ||
| Altman-Z | 2.33 |
F-Score6
WACC8.96%
ROIC/WACC2.01
Cap/Depr(3y)96.22%
Cap/Depr(5y)96.41%
Cap/Sales(3y)5.35%
Cap/Sales(5y)5.64%
Profit Quality(3y)150.71%
Profit Quality(5y)137.52%
High Growth Momentum
Growth
EPS 1Y (TTM)6.14%
EPS 3Y30.18%
EPS 5Y30.84%
EPS Q2Q%5.42%
EPS Next Y7.04%
EPS Next 2Y7.86%
EPS Next 3Y10.63%
EPS Next 5Y16.32%
Revenue 1Y (TTM)13.3%
Revenue growth 3Y23.22%
Revenue growth 5Y23.23%
Sales Q2Q%12.46%
Revenue Next Year9.42%
Revenue Next 2Y8.7%
Revenue Next 3Y9.31%
Revenue Next 5Y9.51%
EBIT growth 1Y10.97%
EBIT growth 3Y51.75%
EBIT growth 5Y34.18%
EBIT Next Year29.03%
EBIT Next 3Y17.53%
EBIT Next 5Y18.79%
FCF growth 1Y30.6%
FCF growth 3Y49.54%
FCF growth 5Y37.24%
OCF growth 1Y25.83%
OCF growth 3Y39.19%
OCF growth 5Y29.99%
PAYLOCITY HOLDING CORP / PCTY FAQ
What is the ChartMill fundamental rating of PAYLOCITY HOLDING CORP (PCTY) stock?
ChartMill assigns a fundamental rating of 7 / 10 to PCTY.
What is the valuation status of PAYLOCITY HOLDING CORP (PCTY) stock?
ChartMill assigns a valuation rating of 5 / 10 to PAYLOCITY HOLDING CORP (PCTY). This can be considered as Fairly Valued.
How profitable is PAYLOCITY HOLDING CORP (PCTY) stock?
PAYLOCITY HOLDING CORP (PCTY) has a profitability rating of 9 / 10.
What is the earnings growth outlook for PAYLOCITY HOLDING CORP?
The Earnings per Share (EPS) of PAYLOCITY HOLDING CORP (PCTY) is expected to grow by 7.04% in the next year.