-5.27%
0.46%
-12.91%
32.94%
17.09%
-31.66%
-23.07%
AI Spotlight on PAYC
Company Description
Paycom Software, Inc.provides cloud-based human capital management (HCM) solution delivered as software-as-a-service for small to mid-sized companies in the United States.It offers functionality and data analytics that businesses need to manage the employment life cycle from recruitment to retirement.
The company's HCM solution provides a suite of applications in the areas of talent acquisition, including applicant tracking, candidate tracker, background checks, on-boarding, e-verify, and tax credit services; and time and labor management, such as time and attendance, scheduling/schedule exchange, time-off requests, labor allocation, labor management reports/push reporting, and geofencing/geotracking, and Microfence, a proprietary Bluetooth.Its HCM solution also offers payroll applications comprising better employee transaction interface, payroll and tax management, Paycom pay, expense management, mileage tracker/fixed and variable rates, garnishment management, and GL concierge applications; and talent management applications that include employee self-service, compensation budgeting, performance management, position management, and Paycom learning and content subscriptions, as well as my analytics, which offer employment predictor reporting.In addition, its HCM solution provides manager on-the-go that gives supervisors and managers the ability to perform a variety of tasks, such as approving time-off requests and expense reimbursements; direct data exchange; ask here, a tool for direct line of communication to ask work-related questions; document and checklist; government and compliance; benefits administration/benefits to carrier; COBRA administration; personnel action and performance discussion forms; surveys; and affordable care act applications, as well as Clue, which securely collect, track, and manage the vaccination and testing data of the workforce.
Paycom Software, Inc.was founded in 1998 and is headquartered in Oklahoma City, Oklahoma.
Market Data
| Last Price | 205.94 |
| Change Percentage | -5.27% |
| Open | 212.75 |
| Previous Close | 217.39 |
| Market Cap ( Millions) | 11793 |
| Volume | 381029 |
| Year High | 242.74 |
| Year Low | 139.5 |
| M A 50 | 208.75 |
| M A 200 | 183.38 |
Financial Ratios
| FCF Yield | 2.89% |
| Dividend Yield | 0.73% |
| ROE | 34.01% |
| Debt / Equity | 5.29% |
| Net Debt / EBIDTA | -39.39% |
| Price To Book | 7.31 |
| Price Earnings Ratio | 22.94 |
| Price To FCF | 34.6 |
| Price To sales | 6.27 |
| EV / EBITDA | 14.19 |
News
- Feb -25 - 3 Explosive Tech Stocks Breaking Out Right Now
- Feb -13 - Paycom Software Q4 Earnings and Revenues Top Estimates, Rise Y/Y
- Feb -13 - Paycom Software, Inc. (PAYC) Q4 2024 Earnings Call Transcript
- Feb -12 - Paycom Software (PAYC) Surpasses Q4 Earnings and Revenue Estimates
- Feb -12 - Paycom Looks to Turn the Corner
- Feb -12 - Paycom Software: EPS Surges in Q4
- Feb -12 - Paycom forecasts annual revenue below estimates, veteran CFO Craig Boelte resigns
- Feb -12 - Paycom Promotes Bob Foster to Chief Financial Officer
- Feb -10 - Paycom Gears Up to Report Q4 Earnings: What's in Store?
- Feb -01 - Paycom Software: It Might Pay To Be Patient
- Jan -30 - Paycom: Stay The Course
- Jan -20 - Paycom Software, Inc. Announces Fourth Quarter and Year-End 2024 Earnings Release Date and Conference Call
- Jan -15 - Paycom Wins BIG: GONE Feature Automates Time-Off Management
- Dec -20 - Stock Of The Day: Will Paycom 'Fill The Gap'?
- Dec -18 - 2 Comeback Stocks to Buy for 2025
- Dec -16 - Got $5,000? 3 Top Growth Stocks to Buy That Could Double Your Money
- Dec -13 - Paycom Tops Ranking for Company Culture, Compensation
- Dec -13 - Texas' Jahdae Barron Named 2024 Paycom Jim Thorpe Award Winner
- Dec -12 - Joe Binz Appointed to Paycom's Board of Directors
- Nov -26 - Paycom to Present at the Barclays Global Technology Conference
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Recurring
Expected Growth : 9 %
What the company do ?
Recurring from Paycom Software, Inc. refers to the automated payroll deduction feature that allows employers to set up regular, recurring payments for benefits, taxes, or other deductions from employee wages.
Why we expect these perspectives ?
Paycom Software's 9% recurring growth is driven by increasing adoption of its human capital management (HCM) software, expansion into new markets, and high customer retention rates. The company's focus on innovation, strategic partnerships, and upselling/cross-selling opportunities also contribute to its growth momentum.
Segment n°2 -> Implementation and Other
Expected Growth : 11 %
What the company do ?
Implementation refers to Paycom's customized onboarding process, while Other includes additional services like tax credits and compliance support.
Why we expect these perspectives ?
Implementation and Other segment of Paycom Software, Inc. grew 11% driven by increased adoption of its human capital management (HCM) software, expansion of existing client relationships, and strategic partnerships. Additionally, the company's investments in sales and marketing initiatives, as well as its focus on customer satisfaction, contributed to the growth.
Paycom Software, Inc. Products
| Product Range | What is it ? |
|---|---|
| Payroll | A comprehensive payroll processing system that automates payroll calculations, tax compliance, and benefits administration. |
| Time and Labor Management | A time-tracking and labor management system that helps organizations manage employee work hours, attendance, and leave. |
| Talent Management | A comprehensive talent management system that includes recruitment, onboarding, performance management, and learning management. |
| Human Capital Management (HCM) | A comprehensive HCM system that integrates payroll, time and labor management, talent management, and benefits administration. |
| Benefits Administration | A benefits administration system that helps organizations manage employee benefits, including health insurance, retirement plans, and other benefits. |
| Analytics and Reporting | A business intelligence and analytics platform that provides insights into HR, payroll, and benefits data. |
Paycom Software, Inc.'s Porter Forces
Threat Of Substitutes
Paycom Software, Inc. has a low threat of substitutes due to its unique human capital management software solutions, making it difficult for competitors to replicate its offerings.
Bargaining Power Of Customers
Paycom Software, Inc. has a medium bargaining power of customers, as its clients are primarily mid-sized to large businesses that have some negotiating power, but the company's software solutions are highly customized, limiting the customers' ability to switch providers.
Bargaining Power Of Suppliers
Paycom Software, Inc. has a low bargaining power of suppliers, as it is not heavily reliant on a single supplier, and its software development is primarily done in-house, reducing its dependence on external suppliers.
Threat Of New Entrants
Paycom Software, Inc. has a medium threat of new entrants, as the human capital management software market is highly competitive, but the company's established brand and customer base provide a barrier to entry for new competitors.
Intensity Of Rivalry
Paycom Software, Inc. operates in a highly competitive market, with several established players, leading to a high intensity of rivalry, as companies compete for market share and customers.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 14.81% |
| Debt Cost | 3.95% |
| Equity Weight | 85.19% |
| Equity Cost | 9.76% |
| WACC | 8.90% |
| Leverage | 17.39% |
Paycom Software, Inc. : Quality Control
Paycom Software, Inc. passed 7 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
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| QTWO | Q2 Holdings, Inc. provides cloud-based digital banking solutions to regional and community financial institutions (RCFIs) in the United States. The company offers Q2 Consumer Banking, a browser-based digital banking solution … |
| SMAR | Smartsheet Inc. provides cloud-based enterprise platform to plan, capture, manage, automate, and report on work for teams and organizations. The company offers Dashboards for real-time visibility into the status of … |
| BSY | Bentley Systems, Incorporated, together with its subsidiaries, provides infrastructure engineering software solutions in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. The company offers open modeling and open … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Paycom Software
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1-Year Total Return ->
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Smartsheet
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1-Year Total Return ->
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Q2 Holdings
A-Score
1-Year Total Return ->
4
Bentley Systems
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1-Year Total Return ->
5
Riot Blockchain
A-Score
1-Year Total Return ->
6
