Paylocity Holding Corporation

PCTY

NASDAQ · Staffing & HR Services

$173.15

At close - USD

Market Cap$9.27B

P/E35.2x

52W High$180.88

Volume1.23M

VCP Research Verdict2026Q4

Decelerating Growth and Margin Compression Warrant Caution

Paylocity's revenue growth has decelerated to 11.0% in 2026Q4 from 28.5% in 2026Q1, while operating margin fell to 19.0% from 31.3% in the prior quarter, indicating a strained profitability trajectory.

GrowthDecelerating

ProfitabilityStrained

ValuationReview

TechnicalsStrong

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MARKET ACTION

PCTY price & volume

Price trend, volume and key moving averages

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Build the investment case

Start with the evidence for owning the stock and the risks that can break the thesis.

EXECUTIVE THESIS

The Investment Case

Full Analysis

Fundamental Trajectory

Revenue growth decelerated to 11.0% in 2026Q4, while operating margin compressed to 19.0% from 31.3% in 2026Q3, reflecting rising SG&A and R&D costs.

Analyst Consensus-3.5% target

Buy(41 analysts)

30 Buy11 Hold0 Sell

The Bull Case

Upside Catalysts

Cloud-based HCM leader

Paylocity is a leading provider of cloud-based payroll, spend management, and human capital management (HCM) software, positioning it well in the growing SaaS market.

Strong revenue growth

The company has demonstrated impressive revenue and gross profit growth, with recent quarterly results exceeding guidance and a raised full-year revenue outlook.

Integrated workforce platform

Paylocity's platform integrates HR, Finance, and IT functions, simplifying processes and delivering real results for today's workforce.

The Bear Case

Key Downside Risks

Market performance

Price History →

Trailing total returns as of 11/7/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).

YTD Return

PCTY+18.84%

S&P 500 (^GSPC)+7.63%

1-Year Return

PCTY+25.09%

S&P 500 (^GSPC)+9.69%

3-Year Return

PCTY+22.03%

S&P 500 (^GSPC)+71.94%

5-Year Return

PCTY-36.93%

S&P 500 (^GSPC)+59.55%

Test the fundamentals

Check whether operating performance supports the current valuation.

VALUATION & INTRINSIC VALUE

Valuation Scenarios

Valuation Analysis

Trailing P/E5Y Low

33.3x

Forward P/EExpansion

21.4x

EV/EBITDA20th %ile

17.9x

FCF YieldCash Flow

4.7%

Valuation vs 5-Year History

Multiple Range

Metric

Current

5Y Median

Historical Range

Percentile

P/E

33.3x

45.1x

20th· Low

EV/EBITDA

17.9x

24.9x

20th· Low

Price/FCF

21.2x

29.9x

40th· Fair

Current Multiple

5Y Median (50th %ile)

Intrinsic Value Scenarios

DCF Projection

Bear$88.58-48.8%

Base (Fair)$145.29-16.1%

Bull$201.56+16.4%

$88.58 Bear$145.29 Base$201.56 Bull

Current Market Price: $173.15

Trades at a 19.2% premium to Base DCF ($145.29)

Open DCF & Valuation Models →Chart Terminal ↗

Growth & profitability

Annual revenue & EPS trend

Revenue FY26

$1.77B+11.0% YoY

Net income FY26

$270M+18.8% YoY

Free cash flow FY26

$497M+45.0% YoY

Operating margin FY26

21.8%+2.7 pts YoY

ROIC (FY26)27.2%

Avg ROIC 5Y-

ROE (FY26)22%

Piotroski Score7 / 9

Financial Statements →

Monitor what changed

Recent results and news deserve attention only when they alter the forward view.

OPERATING RESULTS

Recent Earnings

Earnings History

EPS Beat Rate12/12 (100%)

Revenue Beat Rate12/12 (100%)

Quarter	EPS (Act vs Est)	Revenue (Act vs Est)
Q4 2026Latest Nov 5, 2026	$2.09+8.3% vs $1.93	$452M+1.9% vs $443M
Q3 2026 Aug 4, 2026	$1.84+13.6% vs $1.62	$445M+3.1% vs $431M
Q2 2026 May 7, 2026	$2.89+18.9% vs $2.43	$502M+2.5% vs $490M
Q1 2026 Feb 5, 2026	$1.85+17.8% vs $1.57	$416M+1.8% vs $409M

Historical baseline: 12 quarters analyzedGAAP / Adjusted

MARKET COVERAGE

Latest News

4 Stories

Seeking Alpha·23h ago

Paylocity Holding Corporation (PCTY) Q1 2027 Earnings Call Transcript

Paylocity Holding Corporation ( PCTY ) Q1 2027 Earnings Call November 5, 2026 5:00 PM EST Company Participants Ryan Glenn - Chief Financial Officer Steven Beauchamp - Executive Chairman of the Board Toby Williams - President, CEO & Director Conference Call Participants Brad Reback - Stifel, Nicolaus & Company, Incorporated, Research Division Scott Berg - Needham & Company, LLC, Research Division Samad Samana - Jefferies LLC, Research Division Mark Marcon - Robert W. Baird & Co. Incorporated, Research Division Giancarlo Valle - Truist Securities, Inc., Research Division Sitikantha Panigrahi - Mizuho Securities USA LLC, Research Division Jared Levine - TD Cowen, Research Division Daniel Jester - BMO Capital Markets Equity Research Kincaid LaCorte - Citizens JMP Securities, LLC, Research Division Sheldon McMeans - Barclays Bank PLC, Research Division Mason Marion - Cantor Fitzgerald & Co., Research Division Jacob Cody Smith - Guggenheim Securities, LLC, Research Division Tomer Zilberman - BofA Securities, Research Division Kevin McVeigh - UBS Investment Bank, Research Division Presentation Operator Good day, and thank you for standing by.

MarketBeat·1d ago

What Paylocity (PCTY) Said on Its Q1 Earnings Call

Paylocity NASDAQ: PCTY raised its fiscal 2027 revenue and profit outlook after first-quarter sales exceeded its guidance, citing strong client retention, demand for new products and higher expected interest income on client funds.

GlobeNewsWire·2d ago

Paylocity Announces First Quarter Fiscal 2027 Financial Results

Q1 Fiscal 2027 Recurring & Other Revenue of $424.5 million, up 12.0% year-over-year Q1 Fiscal 2027 Total Revenue of $451.7 million, up 10.7% year-over-year Completed acquisition of Aidora Inc. in July 2026 to expand AI-powered leave management capabilities Repurchased $152.5 million or 1.1 million shares in Q1 Fiscal 2027; $850.2 million or 5.7 million shares repurchased since May 2024 SCHAUMBURG, Ill., Nov. 05, 2026 (GLOBE NEWSWIRE) -- Paylocity Holding Corporation (Nasdaq: PCTY), a leading provider of cloud-based HCM, Finance, and IT solutions, today announced financial results for the first quarter of fiscal 2027, which ended September 30, 2026.

Zacks Investment Research·4d ago

Here's Why Paylocity (PCTY) is a Strong Growth Stock

Wondering how to pick strong, market-beating stocks for your investment portfolio? Look no further than the Zacks Style Scores.

Filtered for Paylocity Holding CorporationMore Headlines

Compare before deciding

Benchmark PCTY against direct peers instead of judging its metrics in isolation.

Peers Comparison

Key metrics vs top competitors for Paylocity Holding Corporation (PCTY)

Full Screener →

Company	Price	Market Cap	P/E Ratio	Rev Growth (1Y)	Net Margin	ROE	Div Yield
PCTYPaylocity Holding CorporationCurrent	$173.15	$9.27B	35.19	11.04%	15.23%	21.97%	—
PAYCPaycom Software, Inc.	$237.32	$12.95B	29.37	8.95%	22.78%	40.43%	0.64%
PAYXPaychex, Inc.	$117.06	$41.63B	23.94	16.88%	27.35%	47.11%	3.77%
ADPAutomatic Data Processing, Inc.	$303.35	$121.26B	27.70	6.74%	20.33%	75.85%	2.17%
HCKTThe Hackett Group, Inc.	$13.42	$338.04M	28.55	-2.62%	6.27%	26.11%	3.52%
DAYDayforce Inc	$69.86	$11.18B	635.09	16.27%	-7.91%	-5.56%	—

Compare PCTY vs Peers

Paylocity Holding Corporation (PCTY) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.

Closest Rival

vs PAYC

Most directly comparable listed peer for PCTY.

Scale Benchmark

vs CRM

Larger-name benchmark to compare PCTY against a more recognizable public peer.

Peer Set

Compare Top 5

vs PAYC, PAYX, ADP, HCKT

Keep researching

Verify the primary filings, follow material updates, and answer the remaining questions.

PCTY SEC Filings & Documents

Paylocity Holding Corporation (PCTY) SEC filings — annual & quarterly reports (10-K, 10-Q)

8-K Announcements

Material company update

Aug 4, 2026·SEC

Material company update

May 7, 2026·SEC

Material company update

Feb 5, 2026·SEC

10-K Annual Reports

FY 2026

Aug 5, 2026·SEC

FY 2025

Aug 6, 2025·SEC

10-Q Quarterly Reports

FY 2026

May 8, 2026·SEC

FY 2026

Feb 6, 2026·SEC

FY 2025

Nov 5, 2025·SEC

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PCTY Frequently Asked Questions

Paylocity Holding Corporation (PCTY) stock FAQ — growth, dividends, profitability & financials explained

Growth & Financials

What is Paylocity Holding Corporation's revenue?

Paylocity Holding Corporation (PCTY) reported $1.77B in revenue in fiscal year 2026, which is also its trailing twelve months. That is 4386% more than the $39.5M of fiscal year 2011.

How fast is Paylocity Holding Corporation growing?

Paylocity Holding Corporation (PCTY) grew revenue by 11.0% in fiscal year 2026, compared with the prior fiscal year.

Is PCTY profitable?

Yes. Paylocity Holding Corporation (PCTY) earned $269.7M in net income over the trailing twelve months (a 15.2% net margin).

Dividend & Returns

What is PCTY's return on equity?

Paylocity Holding Corporation (PCTY) had a return on equity (ROE) of 22.0% in fiscal year 2026. That is well above the market's typical 10-15%.

What is Paylocity Holding Corporation's free cash flow?

Paylocity Holding Corporation (PCTY) generated $448.0M in free cash flow over the trailing twelve months.

What if you invested $1,000 in PCTY back in 2011?

Total return calculator · dividends reinvested · 15+ years of data

See returns →

Quarter

EPS (Act vs Est)

Revenue (Act vs Est)

Q4 2026Latest

Nov 5, 2026

$2.09+8.3%

vs $1.93

$452M+1.9%

vs $443M

Q3 2026

Aug 4, 2026

$1.84+13.6%

vs $1.62

$445M+3.1%

vs $431M

Q2 2026

May 7, 2026

$2.89+18.9%

vs $2.43

$502M+2.5%

vs $490M

Q1 2026

Feb 5, 2026

$1.85+17.8%

vs $1.57

$416M+1.8%

vs $409M

Company

Price

Market Cap

P/E Ratio

Rev Growth (1Y)

Net Margin

ROE

Div Yield

PCTYPaylocity Holding CorporationCurrent

$173.15

$9.27B

35.19

11.04%

15.23%

21.97%

—

PAYCPaycom Software, Inc.

$237.32

$12.95B

29.37

8.95%

22.78%

40.43%

0.64%

PAYXPaychex, Inc.

$117.06

$41.63B

23.94

16.88%

27.35%

47.11%

3.77%

ADPAutomatic Data Processing, Inc.

$303.35

$121.26B

27.70

6.74%

20.33%

75.85%

2.17%

HCKTThe Hackett Group, Inc.

$13.42

$338.04M

28.55

-2.62%

6.27%

26.11%

3.52%

DAYDayforce Inc

$69.86

$11.18B

635.09

16.27%

-7.91%

-5.56%

—