PCTY Technology

Paylocity Holding Corporation

$171.12-1.71%

Price as of close on Nov 3, 2026 · Financials updated Oct 10, 2026

Basics

Sector: Technology
Industry: Software - Application
Country: United States
Market cap: 9.5B USD
Enterprise value: 8.6B USD
Full-time employees: 6,900

Overall health

Strength: its shares are priced lower than most peers relative to what it earnspriced lower than peers for its earnings
Drawback: less short-term liquidity (current ratio 1.09 vs a peer median of 1.83)less liquidity (current ratio 1.09 vs peers 1.83)
About average: risk (debt, liquidity and share-price swings)risk

Ranks #248 of 1,612 technology companies (top 16%)

See how it ranks against its peers

Worth knowing

Operating margin at a 6-year high. 22% in FY Jun 2026, the best of the last 6 years.
Paylocity kept 22% of revenue as operating profit in FY Jun 2026, its highest in the 6 years of filings we have.
Profits growing faster than sales. Since FY Jun 2023: revenue +51%, operating profit +149%.
Since FY Jun 2023, Paylocity's revenue grew 51% while operating profit grew 149%: each extra dollar of sales is adding more profit.
Share count shrinking. Shares outstanding down 5.1% from June 2023 to July 2026.
Paylocity had 5.1% fewer shares at July 2026 than at June 2023, mainly through buybacks, so each remaining share owns a larger slice of the business.
Annual revenue rose 5 years in a row. Fiscal-year revenue rose from $636M in FY Jun 2021 to $1.8B in FY Jun 2026.
Paylocity's fiscal-year revenue rose in each of the five years to FY Jun 2026, from $636M to $1.8B.

StockQuotient Score

68/ 100▼ 1 since Oct 27 close

Oct 5 71 → Nov 4 68 (-3)

Valuation

Is the price right?

60/100

Moderate▼ 3 since Oct 27 close

3/3 inputs reported · High confidence

Since last quarter: No major changeValuation also moves with the share price every day.

Why it changed since the Oct 27, 2026 close: Score 63 → 60

Peer companies moved-3

Each step re-scores the company against its peers as they were on Oct 28, 2026; the parts add up to the change. Price effects on EBITDA yield are approximate.

Why

Stronger than most peers on:

▲ FCF yield

Compare with peers

Behind the score

Sector-normalized EBITDA, earnings, and free cash flow yields.

Earnings yield3.0%

SEC filings · 12 months to Jun 2026Reported value30% base weight · Z-score 0.32Sector median: 0.0225 · MAD: 0.0225

EBITDA yield5.6%

SEC filings · 12 months to Jun 2026Reported value50% base weight · Z-score 0.38Sector median: 0.0423 · MAD: 0.0361

Free cash flow yield5.5%

SEC filings · 12 months to Jun 2026 · operating cash flow − capital spendingReported value20% base weight · Z-score 0.99Sector median: 0.0274 · MAD: 0.0274

Other data (not scored)

Book yield13.5%

SEC filings · latest balance sheetReported valueInformational · 0% composite weightSector median: 0.3292 · MAD: 0.1754

Growth

Is it growing?

67/100

Moderate

3/3 inputs reported · High confidence

Since last quarter: ▲ Stronger

12-month revenue up 2.5%

Why

Stronger than most peers on:

▲ 3-yr revenue
▲ EPS growth

Compare with peers

Behind the score

Revenue and earnings-per-share growth over one year, and revenue growth over three years.

Earnings per share growth23.5%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.41Sector median: 0.1108 · MAD: 0.3050

3-year revenue growth14.7%

SEC filings · 3 years to Jun 2026Reported value33% base weight · Z-score 1.24Sector median: 0.0483 · MAD: 0.0793

Revenue growth11.0%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.25Sector median: 0.0853 · MAD: 0.1017

Profitability

Does it earn well?

84/100

Strong

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Stronger than most peers on:

▲ ROIC
▲ Operating margin
▲ ROA

Compare with peers

Behind the score

Return on invested capital, operating margin, and return on assets.

Operating margin21.8%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 2.18Sector median: 0.0631 · MAD: 0.0710

Return on assets5.5%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.72Sector median: 0.0293 · MAD: 0.0362

Return on invested capital29.6%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 2.66Sector median: 0.0676 · MAD: 0.0857

Other data (not scored)

Gross margin69.2%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.3343 · MAD: 0.1632

Return on equity22.1%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.0753 · MAD: 0.0889

Risk

Debt, liquidity, price swings

Moderate

Moderate relative risk

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Mixed versus peers:

▲ Beta
▲ Debt / equity
▼ Current ratio

Compare with peers

Behind the score

Relative to sector peers: 0 = lower relative risk · 1 = moderate · 2 = higher. Based on leverage, beta and liquidity.

Beta0.50

Yahoo Finance · 5-year monthly beta vs the marketReported value33% base weight · Z-score 1.00Sector median: 0.8710 · MAD: 0.3700

Current ratio1.09×

SEC filings · latest balance sheetReported value33% base weight · Z-score -1.08Sector median: 1.8295 · MAD: 0.6848

Debt / equity0.07×

SEC filings · latest balance sheetReported value33% base weight · Z-score 0.81Sector median: 0.2495 · MAD: 0.2270

Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.

Questions investors ask about Paylocity

Is Paylocity getting weaker?: Its latest SEC filing (Aug 5, 2026) showed no major changes. Its overall score is 68/100, down 1 since Oct 28, 2026.
How is Paylocity valued vs its peers?: Priced lower than most peers relative to what it earns. Valuation scores 60/100 against 1,711 technology peers. Free cash flow yield 5.5% vs a peer median of 2.7% (stronger than 69% of peers).Free cash flow yield 5.5% vs peers 2.7% (stronger than 69% of peers).
Is Paylocity growing?: Yes, faster than most of its peers. Growth scores 67/100 against 1,711 technology peers. 3-year revenue growth 14.7% vs a peer median of 4.8% (stronger than 77% of peers).3-year revenue growth 14.7% vs peers 4.8% (stronger than 77% of peers).
How profitable is Paylocity?: More profitable than most of its peers. Profitability scores 84/100 against 1,711 technology peers. Return on invested capital 29.6% vs a peer median of 6.8% (stronger than 88% of peers).Return on invested capital 29.6% vs peers 6.8% (stronger than 88% of peers).
How risky is Paylocity?: Moderate risk relative to 1,711 technology peers, judged on debt, liquidity and share-price swings. Beta 0.50 vs a peer median of 0.87 (stronger than 78% of peers).Beta 0.50 vs peers 0.87 (stronger than 78% of peers). Current ratio 1.09× vs a peer median of 1.83× (weaker than 84% of peers).Current ratio 1.09× vs peers 1.83× (weaker than 84% of peers). A relative measure, not a bankruptcy probability.

Latest filing: what changed

Quarter ended Jun 30, 2026 · filed Aug 5, 2026 · compared with the quarter ended Mar 31, 2026

No major changes

	Previous quarter	Latest quarter	Change
Revenue (12 months)	1.7B USD	1.8B USD	+2.5%
Net income (12 months)	258.0M USD	269.7M USD	+4.5%
Operating margin	21.3%	21.8%	+0.5 pts
Free cash flow (12 months)	487.0M USD	497.1M USD	+2.1%
Debt	81.3M USD	81.3M USD	0.0%
Cash	299.7M USD	271.9M USD	−9.3%
Shares outstanding	53.5M	53.1M	−0.9%

From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.

Industry valuation context

Industry: Software - Application · 81 companies

Valuations in Software - Application are near the bottom of their range since 2016.

6% of months since 2016 were valued lower than now.
8% of companies are in the most expensive fifth of their own price-to-sales history.
Over 24 months, company values −16% and earnings +31% (medians): earnings grew faster than prices.
Median price-to-sales is +85% vs the whole market, against a usual +235%.

2016Shaded: most expensive fifth of its range2026

Financials

Fiscal years from SEC annual filings · change vs the prior year

Key ratios	FY Jun 2022	FY Jun 2023	FY Jun 2024	FY Jun 2025	FY Jun 2026	Change
Gross margin	66.3%	68.8%	68.5%	68.8%	69.2%	▲ 0.4 pts
Operating margin	9.9%	13.2%	18.5%	19.1%	21.8%	▲ 2.7 pts
Net margin	10.6%	12.0%	14.7%	14.2%	15.2%	▲ 1.0 pts
Return on assets (ROA)	1.9%	3.8%	4.9%	5.2%	5.5%	▲ 0.3 pts
Return on equity (ROE)	14.8%	16.7%	20.0%	18.4%	22.1%	▲ 3.7 pts
Free cash flow margin	16.1%	22.2%	26.1%	25.4%	28.1%	▲ 2.7 pts
Current ratio	1.03×	1.10×	1.13×	1.14×	1.09×	▼ 4.5%
Debt to equity	—	—	0.00×	0.13×	0.07×	▼ 49%

PCTY price history

Price history is added with the daily price update and will appear after the next one.

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Bringing the fundamentals into focus…

Overall health

Strength: its shares are priced lower than most peers relative to what it earnspriced lower than peers for its earnings

Drawback: less short-term liquidity (current ratio 1.09 vs a peer median of 1.83)less liquidity (current ratio 1.09 vs peers 1.83)

About average: risk (debt, liquidity and share-price swings)risk

Ranks #248 of 1,612 technology companies (top 16%)

See how it ranks against its peers

Worth knowing

Operating margin at a 6-year high. 22% in FY Jun 2026, the best of the last 6 years.

Paylocity kept 22% of revenue as operating profit in FY Jun 2026, its highest in the 6 years of filings we have.

Profits growing faster than sales. Since FY Jun 2023: revenue +51%, operating profit +149%.

Since FY Jun 2023, Paylocity's revenue grew 51% while operating profit grew 149%: each extra dollar of sales is adding more profit.

Share count shrinking. Shares outstanding down 5.1% from June 2023 to July 2026.

Paylocity had 5.1% fewer shares at July 2026 than at June 2023, mainly through buybacks, so each remaining share owns a larger slice of the business.

Annual revenue rose 5 years in a row. Fiscal-year revenue rose from $636M in FY Jun 2021 to $1.8B in FY Jun 2026.

Paylocity's fiscal-year revenue rose in each of the five years to FY Jun 2026, from $636M to $1.8B.

Questions investors ask about Paylocity

Is Paylocity getting weaker?

Its latest SEC filing (Aug 5, 2026) showed no major changes. Its overall score is 68/100, down 1 since Oct 28, 2026.

How is Paylocity valued vs its peers?

Priced lower than most peers relative to what it earns. Valuation scores 60/100 against 1,711 technology peers. Free cash flow yield 5.5% vs a peer median of 2.7% (stronger than 69% of peers).Free cash flow yield 5.5% vs peers 2.7% (stronger than 69% of peers).

Is Paylocity growing?

Yes, faster than most of its peers. Growth scores 67/100 against 1,711 technology peers. 3-year revenue growth 14.7% vs a peer median of 4.8% (stronger than 77% of peers).3-year revenue growth 14.7% vs peers 4.8% (stronger than 77% of peers).

How profitable is Paylocity?

More profitable than most of its peers. Profitability scores 84/100 against 1,711 technology peers. Return on invested capital 29.6% vs a peer median of 6.8% (stronger than 88% of peers).Return on invested capital 29.6% vs peers 6.8% (stronger than 88% of peers).

How risky is Paylocity?

Moderate risk relative to 1,711 technology peers, judged on debt, liquidity and share-price swings. Beta 0.50 vs a peer median of 0.87 (stronger than 78% of peers).Beta 0.50 vs peers 0.87 (stronger than 78% of peers). Current ratio 1.09× vs a peer median of 1.83× (weaker than 84% of peers).Current ratio 1.09× vs peers 1.83× (weaker than 84% of peers). A relative measure, not a bankruptcy probability.

Previous quarter

Latest quarter

Change

Revenue (12 months)

1.7B USD

1.8B USD

+2.5%

Net income (12 months)

258.0M USD

269.7M USD

+4.5%

Operating margin

21.3%

21.8%

+0.5 pts

Free cash flow (12 months)

487.0M USD

497.1M USD

+2.1%

Debt

81.3M USD

81.3M USD

0.0%

Cash

299.7M USD

271.9M USD

−9.3%

Shares outstanding

53.5M

53.1M

−0.9%

Key ratios

FY Jun 2022

FY Jun 2023

FY Jun 2024

FY Jun 2025

FY Jun 2026

Change

Gross margin

66.3%

68.8%

68.5%

68.8%

69.2%

▲ 0.4 pts

Operating margin

9.9%

13.2%

18.5%

19.1%

21.8%

▲ 2.7 pts

Net margin

10.6%

12.0%

14.7%

14.2%

15.2%

▲ 1.0 pts

Return on assets (ROA)

1.9%

3.8%

4.9%

5.2%

5.5%

▲ 0.3 pts

Return on equity (ROE)

14.8%

16.7%

20.0%

18.4%

22.1%

▲ 3.7 pts

Free cash flow margin

16.1%

22.2%

26.1%

25.4%

28.1%

▲ 2.7 pts

Current ratio

1.03×

1.10×

1.13×

1.14×

1.09×

▼ 4.5%

Debt to equity

—

0.00×

0.13×

0.07×

▼ 49%