# Paylocity Holding Corporation (PCTY) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Technology / Software. Price $152.25, market value $8.4 billion.

## Valuation
- **P/E (trailing): 30.9×** (5-yr avg 57.0×, 3-yr avg 34.2×). Paylocity Holding Corporation trades at 30.9× trailing earnings, well below its own five-year average of 57.0×: cheap by its own standards. The Technology median in the September 2026 study was 32.1×. Forward P/E is 15.7×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.70**. A PEG of 0.70 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 5.1×**. Each dollar of revenue is priced at 5.1×.
- **Price / book: 6.9×**. The shares trade at 6.9× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 16.6×**. Enterprise value is 16.6× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 5.9%** (5-yr avg 4.3%). Free cash flow equals 5.9% of the market value, above its five-year average of 4.3%, so the shares are cheaper on cash than they have usually been. Above 5% is generally attractive.
- **Earnings yield: 3.2%**. The inverse of the P/E: 3.2% of the price is earned each year.

## Profitability
- **Gross margin: 74.2%**. Paylocity Holding Corporation keeps 74.2% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 23.4%**. 23.4% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 16.3%**. 16.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 22.1%**. 22.1% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 29.6%**. Return on all capital, debt included, is 29.6%: comfortably above what that capital costs.
- **Return on assets: 5.5%**. Each dollar of assets produces 5.5% of profit.

## Growth
- **Revenue growth (1 yr): 12.2%** (3-yr 14.6%/yr, 5-yr 21.2%/yr). Revenue grew 12.2% over the last year, against 21.2% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 22.4%** (3-yr 25.5%/yr, 5-yr 31.3%/yr). Earnings per share rose 22.4%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 24.0%/yr**. Free cash flow has compounded at 24.0% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.07**. Debt is 0.07 times equity: a conservative balance sheet.
- **Net debt / EBITDA: net cash**. Paylocity Holding Corporation holds more cash than debt.
- **Current ratio: 1.09** (quick 1.09). Current assets cover the next year's liabilities 1.09 times.
- **Altman Z-score: 2.40**. A Z-score of 2.40 is in the grey zone; not distressed, not clearly safe.
- **Piotroski F-score: 7/9**. 7 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend: none**. Paylocity Holding Corporation does not currently pay a dividend.

## Analyst view
- **Analyst consensus: strong_buy** (19 analysts). 19 analysts cover Paylocity Holding Corporation; the consensus is strong_buy, with an average price target of $172.00 (+13% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -13.3%** (YTD -0.2%, 3-mo 34.2%). The shares are down 13.3% over twelve months including dividends.
- **From 52-week high: -12.3%** (63.7% above the low). Trading 12% below its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 57**. An RSI of 57 is neutral.
- **Beta (1 yr): 0.01** (volatility 41%). Beta of 0.01 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=PCTY · Page: https://foliofundamentals.com/stocks/pcty

Not investment advice.