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CompareEarnings: May 31, 2026

Paycom Software Inc

Exchange: NYSESector: TechnologyIndustry: Software - Application

For over 25 years, Paycom Software, Inc. has simplified business and employees’ lives through easy-to-use HR and payroll technology to empower transparency through direct access to their data. From onboarding and benefits enrollment to talent management and more, Paycom’s employee-first technology leverages full-solution automation to streamline processes, drive efficiencies and give employees power over their own HR information, all in a single app. Paycom’s single database combines all HR and payroll data in one place, providing a seamless and accurate experience without the errors and inefficiencies associated with integrating multiple systems. Recognized globally for its technology and workplace culture, Paycom serves businesses of all sizes in the U.S. and internationally.

Did you know?

Trading 117% below its estimated fair value of $272.90.

Current Price

$125.50

-3.78%

GoodMoat Value

$272.90

117.5% undervalued
Profile
Valuation (TTM)
Market Cap$7.06B
P/E15.58
EV$6.84B
P/B4.08
Shares Out56.27M
P/Sales3.44
Revenue$2.05B
EV/EBITDA8.49

Paycom Software Inc (PAYC) Company Profile

GoodMoat Analysis

Based on data as of March 26, 2026

Paycom is a profitable, established payroll and HR software provider with a strong balance sheet and high returns on equity. However, its moat appears limited against larger competitors, and its single-digit revenue growth may not justify a premium valuation for a value investor seeking high-growth compounders.

Read full analysis
Paycom Software Inc provides a comprehensive, single-database software platform for payroll and human resources management. Its customers are primarily small to medium-sized businesses across the United States, which use Paycom to handle everything from employee onboarding and time tracking to payroll processing and talent management. The company's business model is based on recurring subscription and service fees, generating stable revenue with a high profit margin of 22.1% and a strong return on equity of 26.2%. Regarding its competitive moat, analysis using the GoodMoat framework suggests potential strengths in switching costs, as its deeply integrated, mission-critical HR software is difficult for clients to replace, and in founder-led execution, given its leadership structure. However, it likely scores lower on other moat criteria like network effects, proprietary data, and scale privilege when compared to much larger rivals. Key risks for a value investor to watch, per Section 5 (Red Flags), include growth deceleration, with revenue growth of 10.2% YoY representing a significant slowdown from its historical pace, which could be problematic if the stock is priced for faster expansion. There is also competitive erosion risk from massive players like ADP and Workday. While the company's financials are robust—with a solid operating margin of 27.6%, a low debt/equity ratio of 0.05, and a free cash flow yield of 6.1%—the central question is whether its current growth trajectory and competitive positioning offer a sufficient margin of safety at the current valuation for a classic value investment. Analysis based on data as of 2024-05-15.

PAYC Company Information

For over 25 years, Paycom Software, Inc. has simplified business and employees’ lives through easy-to-use HR and payroll technology to empower transparency through direct access to their data.

From onboarding and benefits enrollment to talent management and more, Paycom’s employee-first technology leverages full-solution automation to streamline processes, drive efficiencies and give employees power over their own HR information, all in a single app.

Paycom’s single database combines all HR and payroll data in one place, providing a seamless and accurate experience without the errors and inefficiencies associated with integrating multiple systems.

Recognized globally for its technology and workplace culture, Paycom serves businesses of all sizes in the U. S. and internationally.

Sector

Technology

Industry

Software - Application

Exchange

NYSE

Country

Oklahoma, USA

PAYC Key Officers

Key officers data coming soon

PAYC Company Profile

Paycom Software Inc (PAYC) is a Technology company in the Software - Application industry. It trades on NYSE. The company is based in Oklahoma, USA.

For over 25 years, Paycom Software, Inc. has simplified business and employees’ lives through easy-to-use HR and payroll technology to empower transparency through direct access to their data. From onboarding and benefits enrollment to talent management and more, Paycom’s employee-first technology leverages full-solution automation to streamline processes, drive efficiencies and give employees power over their own HR information, all in a single app. Paycom’s single database combines all HR and payroll data in one place, providing a seamless and accurate experience without the errors and inefficiencies associated with integrating multiple systems. Recognized globally for its technology and workplace culture, Paycom serves businesses of all sizes in the U.S. and internationally.

Market cap is $7.06B. There are 56.3M shares outstanding. Dividend yield is 1.20%.

See the full Paycom Software Inc profile on GoodMoat. It covers key officers, financial metrics, and sector details. You can also use GoodMoat's DCF calculator, fair value models, and quality score to help decide if PAYC is a good investment.