PAYC Share Price | Paycom Software, Inc. Stock Analysis & Recommendation

Q: What does Paycom Software, Inc. do?

Overview:Paycom Software, Inc. is a provider of a cloud-based human capital management (HCM) software solution delivered as Software-as-a-Service (SaaS) in the Software Products industry, categorized as a mid-cap company.Financial Snapshot:Most recent Net Sales: 530 Million (Quarterly Results - Mar 2025) Most recent Net Profit: 139 Million (Quarterly Results - Mar 2025) Market-cap: USD 15,010.89 Million (Mid Cap)Key Metrics:P/E: 42.00 Dividend Yield: 60.42% Debt Equity: -0.29 Return on Equity: 22.96% Price to Book: 8.74Contact Details:Address: 7501 W Memorial Rd, OKLAHOMA CITY OK: 73142-1404 Tel: ['1 405 7226900', '1 855 6031620'] Fax: 1 302 6365454 Website: http://www.paycom.com/

Q: Is Paycom Software, Inc. overvalued or undervalued?

As of 7 July 2025, the valuation grade for Paycom Software, Inc. has moved from expensive to fair. Based on the current metrics, the company appears to be fairly valued. Key ratios include a P/E ratio of 42, an EV to EBITDA of 20.75, and a Price to Book Value of 9.61. In comparison, a peer like Paycom Software shows a lower P/E of 33.53 and an EV to EBITDA of 16.85, indicating that while Paycom is fairly valued, it is still priced higher than some of its peers.In terms of stock performance, Paycom has underperformed relative to the S&P 500 over the 1-week, 1-month, and 3-year periods, with returns of -4.34%, -3.88%, and -38.06%, respectively, compared to the S&P 500's positive returns. However, over the 1-year period, Paycom outperformed the index with a return of 26.68% versus 17.14%. Overall, the valuation suggests that Paycom is fairly positioned in the market.

Q: Is Paycom Software, Inc. technically bullish or bearish?

As of 24 October 2025, the technical trend for Paycom Software, Inc. has changed from mildly bearish to bearish. The current stance is bearish, with key indicators supporting this view including a bearish MACD on the weekly timeframe, bearish Bollinger Bands on both weekly and monthly timeframes, and bearish moving averages on the daily timeframe. Additionally, the KST is bearish on the weekly but bullish on the monthly, indicating mixed signals across different timeframes. The Dow Theory also reflects a mildly bearish stance on both weekly and monthly periods. In terms of performance, Paycom has underperformed the S&P 500 across multiple periods, with a year-to-date return of -2.66% compared to the S&P 500's 15.47%, and a significant decline of -48.67% over the past five years versus the S&P's 95.99%.

Price Point

High/Low

1Day

52 Week

Valuation

Technical

Day's Volume

CASH

1.79 M

Shareholding (Sep 2025)

FII

20.90%

Held by 346 FIIs

DII

32.65%

Held by 55 DIIs

Promoter

0.04%

How big is Paycom Software, Inc.?

22-Jun-2025

As of Jun 18, Paycom Software, Inc. has a market capitalization of $15.01 billion, with net sales of $1.91 billion and net profit of $394.25 million over the latest four quarters. Shareholder's funds are $1.58 billion, and total assets amount to $5.86 billion.

View full answer

What does Paycom Software, Inc. do?

22-Jun-2025

Paycom Software, Inc. provides cloud-based human capital management software as a service. As of March 2025, it reported net sales of $530 million and a net profit of $139 million, with a market cap of approximately $15 billion.

View full answer

Who are in the management team of Paycom Software, Inc.?

22-Jun-2025

As of March 2022, the management team of Paycom Software, Inc. is led by Mr. Chad Richison, who is the Chairman, President, CEO, and Director, alongside independent directors Mr. Jason Clark, Mr. Henry Duques, Ms. Janet Haugen, Mr. Robert Levenson, and Mr. Frederick Peters.

View full answer

Is Paycom Software, Inc. overvalued or undervalued?

20-Sep-2025

As of July 7, 2025, Paycom Software, Inc. is fairly valued with a P/E ratio of 42 and an EV to EBITDA of 20.75, despite underperforming the S&P 500 over the 1-week, 1-month, and 3-year periods, while outperforming it over the 1-year period with a return of 26.68%.

View full answer

Is Paycom Software, Inc. technically bullish or bearish?

28-Oct-2025

As of October 24, 2025, Paycom Software, Inc. is in a bearish trend, indicated by negative technical indicators and underperformance compared to the S&P 500, with a year-to-date return of -2.66% versus the S&P's 15.47%.

View full answer

Compare Paycom Software, Inc. with Similar Stocks

Roblox Corp.PTC, Inc.Zoom Video Communications, Inc.

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Dashboard

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 24.01%

Healthy long term growth as Net Sales has grown by an annual rate of 19.86% and Operating profit at 19.43%
Company has a low Debt to Equity ratio (avg) at times

Flat results in Jun 25

With ROE of 22.96%, it has a fair valuation with a 9.61 Price to Book Value

Consistent Underperformance against the benchmark over the last 3 years

Mojo Parameters

Stock DNA

Industry

Software Products

Market cap

USD 8,394 Million (Small Cap)

P/E

42.00

Industry P/E

Dividend Yield

108.05%

Debt Equity

-0.21

Return on Equity

25.00%

Price to Book

4.91

Revenue and Profits:

Net Sales:

493 Million

(Quarterly Results - Sep 2025)

Net Profit:

111 Million

Total Returns

Total Returns (Price + Dividend)

TimePeriod

Price Return

Dividend Return

Total Return

3 Months

-25.1%

6 Months

-45.64%

1 Year

-38.98%

2 Years

-34.24%

3 Years

-60.6%

4 Years

-65.71%

5 Years

-70.65%

Paycom Software, Inc. for the last several years.

Risk Adjusted Returns v/s

News & Corporate Actions

News

No Recent News for the Company

Announcements

No announcement available

Corporate Actions

No corporate action available

Key Factors

Quality key factors

Factor

Value

Sales Growth (5y)

19.86%

EBIT Growth (5y)

19.43%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.29

Sales to Capital Employed (avg)

1.17

Tax Ratio

28.22%

Dividend Payout Ratio

16.82%

Pledged Shares

Institutional Holding

96.86%

ROCE (avg)

44.46%

ROE (avg)

24.01%

Valuation key factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

9.61

EV to EBIT

29.98

EV to EBITDA

20.75

EV to Capital Employed

13.14

EV to Sales

8.36

PEG Ratio

Dividend Yield

54.97%

ROCE (Latest)

43.83%

ROE (Latest)

22.96%

Technicals key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Shareholding

Shareholding Snapshot : Sep 2025

Shareholding Compare (%holding)

Majority shareholders

Domestic Funds

Held in 140 Schemes (46.4%)

Foreign Institutions

Held by 346 Foreign Institutions (20.9%)

Strategic Entities with highest holding

Highest Public shareholder

Financial

[
  {
    "link": "quarterly",
    "btn_text": "All Quarterly Results",
    "header": "Quarterly Results Snapshot (Consolidated) - Sep'25 - QoQ",
    "rhs": [
      {
        "prefix": "Net Sales ",
        "suffix": "QoQ Growth in quarter ended Sep 2025 is 2.01% vs -8.84% in Jun 2025",
        "dir": 1
      },
      {
        "prefix": "Consolidated Net Profit ",
        "suffix": "QoQ Growth in quarter ended Sep 2025 is 23.69% vs -35.80% in Jun 2025",
        "dir": 1
      }
    ],
    "table": {
      "header": [
        "Sep'25",
        "Jun'25",
        "Change(%)"
      ],
      "body": [
        {
          "field": "Net Sales",
          "val1": "493.30",
          "val2": "483.60",
          "chgp": "2.01%",
          "chgp_class": "positive"
        },
        {
          "field": "Operating Profit (PBDIT) excl Other Income",
          "val1": "176.00",
          "val2": "172.30",
          "chgp": "2.15%",
          "chgp_class": "positive"
        },
        {
          "field": "Interest",
          "val1": "1.10",
          "val2": "0.80",
          "chgp": "37.50%",
          "chgp_class": "negative"
        },
        {
          "field": "Exceptional Items",
          "val1": "35.60",
          "val2": "0.00",
          "chgp": "",
          "chgp_class": "neutral"
        },
        {
          "field": "Consolidate Net Profit",
          "val1": "110.70",
          "val2": "89.50",
          "chgp": "23.69%",
          "chgp_class": "positive"
        },
        {
          "field": "Operating Profit Margin (Excl OI)",
          "val1": "228.30%",
          "val2": "232.20%",
          "chgp": "-0.39%",
          "chgp_class": "negative"
        }
      ]
    }
  },
  {
    "link": "annual",
    "btn_text": "All Annual Results",
    "header": "Annual Results Snapshot (Consolidated) - Dec'24",
    "rhs": [
      {
        "prefix": "Net Sales ",
        "suffix": "YoY Growth in year ended Dec 2024 is 11.19% vs 23.16% in Dec 2023",
        "dir": -1
      },
      {
        "prefix": "Consolidated Net Profit ",
        "suffix": "YoY Growth in year ended Dec 2024 is 47.30% vs 21.11% in Dec 2023",
        "dir": 1
      }
    ],
    "table": {
      "header": [
        "Dec'24",
        "Dec'23",
        "Change(%)"
      ],
      "body": [
        {
          "field": "Net Sales",
          "val1": "1,883.20",
          "val2": "1,693.70",
          "chgp": "11.19%",
          "chgp_class": "positive"
        },
        {
          "field": "Operating Profit (PBDIT) excl Other Income",
          "val1": "910.20",
          "val2": "672.70",
          "chgp": "35.31%",
          "chgp_class": "positive"
        },
        {
          "field": "Interest",
          "val1": "3.40",
          "val2": "1.90",
          "chgp": "78.95%",
          "chgp_class": "negative"
        },
        {
          "field": "Exceptional Items",
          "val1": "0.00",
          "val2": "0.00",
          "chgp": "",
          "chgp_class": "neutral"
        },
        {
          "field": "Consolidate Net Profit",
          "val1": "502.00",
          "val2": "340.80",
          "chgp": "47.30%",
          "chgp_class": "positive"
        },
        {
          "field": "Operating Profit Margin (Excl OI)",
          "val1": "336.80%",
          "val2": "266.50%",
          "chgp": "7.03%",
          "chgp_class": "positive"
        }
      ]
    }
  }
]

Quarterly Results Snapshot (Consolidated) - Sep'25 - QoQ

Sep'25

Jun'25

Change(%)

Net Sales

493.30

483.60

2.01%

Operating Profit (PBDIT) excl Other Income

176.00

172.30

2.15%

Interest

1.10

0.80

37.50%

Exceptional Items

35.60

0.00

Consolidate Net Profit

110.70

89.50

23.69%

Operating Profit Margin (Excl OI)

228.30%

232.20%

-0.39%

USD in Million.

Compare with Peers

Net Sales

QoQ Growth in quarter ended Sep 2025 is 2.01% vs -8.84% in Jun 2025

Consolidated Net Profit

QoQ Growth in quarter ended Sep 2025 is 23.69% vs -35.80% in Jun 2025

All Quarterly Results

Annual Results Snapshot (Consolidated) - Dec'24

Dec'24

Dec'23

Change(%)

Net Sales

1,883.20

1,693.70

11.19%

Operating Profit (PBDIT) excl Other Income

910.20

672.70

35.31%

Interest

3.40

1.90

78.95%

Exceptional Items

0.00

Consolidate Net Profit

502.00

340.80

47.30%

Operating Profit Margin (Excl OI)

336.80%

266.50%

7.03%

USD in Million.

Compare with Peers

Net Sales

YoY Growth in year ended Dec 2024 is 11.19% vs 23.16% in Dec 2023

Consolidated Net Profit

YoY Growth in year ended Dec 2024 is 47.30% vs 21.11% in Dec 2023

All Annual Results

Company CV

About Paycom Software, Inc.

Paycom Software, Inc.

Software Products

Paycom Software, Inc. is a provider of a cloud-based human capital management (HCM) software solution delivered as Software-as-a-Service (SaaS). The Company provides functionality and data analytics that businesses need to manage the complete employment life cycle from recruitment to retirement. The Company's applications streamline client processes and provide clients and their employees with the ability to directly access and manage administrative processes, including applications that identify candidates, on-board employees, manage time and labor, administer payroll deductions and benefits, manage performance, terminate employees and administer post-termination health benefits, such as COBRA. The Company's solution allows clients to analyze employee information to make business decisions. The Company's HCM solution offers a range of applications, including talent acquisition, time and labor management, payroll, talent management and human resources (HR) management.

Company Coordinates

Company Details

7501 W Memorial Rd , OKLAHOMA CITY OK : 73142-1404

Tel: 1 405 72269001 855 6031620

http://www.paycom.com/

Registrar Details