Paycom Software Inc PAYC

Morningstar Rating
$227.47 +9.82 (4.51%)
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Company Report

Paycom Faces Tough Competition for Upmarket Customers

Paycom provides payroll and human capital management, or HCM, solutions. Although the firm targets customers with 50-10,000 employees, an average customer size of approximately 360 employees on a parent-company-group basis suggests a primarily midmarket presence.

Price vs Fair Value

PAYC is trading at a LOCK|H@&D%w> premium.
Price
$227.47
Fair Value
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Uncertainty
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1-Star Price
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5-Star Price
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Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

Paycom’s unified architecture positions it well for agentic AI deployments and cross-platform analytics over more acquisitive peers.

Bears

Given its exposure to cyclical small and midsize businesses, Paycom faces downside risk from declines in labor force participation rates and new business formations.

News

Articles & Videos

Trading Information

Previous Close Price
$217.65
Day Range
$222.20–229.04
52-Week Range
$104.90–244.98
Bid/Ask
$225.02 / $230.39
Shares Outstanding
45.07M
Market Cap
$10.25B
Volume/Avg
517,911 / 822,785

Key Statistics

Price/Earnings (Normalized)
22.04
Price/Sales
5.55
Dividend Yield (Trailing)
0.66%
Dividend Yield (Forward)
0.66%
Dividend Payment Schedule
Mar, Jun, Sep, Dec
Total Yield
17.39%

Company Profile

Paycom is a cloud-based human capital management provider offering payroll, compliance, and human resources management solutions. The firm's solutions are available on a unified, modular platform, and customers are billed for access on a subscription basis. Paycom's customer base skews toward the midmarket and is primarily based in North America. As of 2025, the firm manages records for 7.4 million employees across more than 20,000 clients on a parent-company-group basis.
Sector
Technology
Industry
Software - Application
Stock Style Box
Small Core
Total Number of Employees
5,770

Competitors

Valuation

Metric
PAYC
PAYX
PCTY
Price/Earnings (Normalized)
22.0417.8817.59
Price/Book Value
17.639.696.39
Price/Sales
5.555.484.53
Price/Cash Flow
13.4813.5513.27
Price/Earnings
PAYC
PAYX
PCTY

Financial Strength

Metric
PAYC
PAYX
PCTY
Quick Ratio
0.080.520.09
Current Ratio
1.071.281.09
Interest Coverage
42.969.72—
Quick Ratio
PAYC
PAYX
PCTY

Profitability

Metric
PAYC
PAYX
PCTY
Return on Assets (Normalized)
10.30%12.26%8.78%
Return on Equity (Normalized)
40.24%52.40%38.98%
Return on Invested Capital (Normalized)
31.58%25.04%34.52%
Return on Assets
PAYC
PAYX
PCTY

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