Paylocity Holding (PCTY) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Paylocity Holding

NasdaqGS•Technology•Software - Application

$152.25-2.18(-0.01%)Market closed

Market Cap

$7.82B

P/E

29.0x

P/S

4.4x

P/B

6.4x

Paylocity Holding Corporation provides cloud-based human capital management, finance, and IT software solutions in the United States. The company offers payroll solutions comprising payroll and tax services, global payroll, on-demand payment, garnishments, and elevate payroll; human resources (HR) solutions consisting of human resources, employee self-service, workflows and documents, HR compliance dashboard, and elevate HR and HR edge; time and labor solutions, including time and attendance, scheduling, and time collection; and talent solutions, such as recruiting, onboarding, learning, performance, compensation, and market pay. It also provides benefits solutions comprising benefit enrollment and updates, third-party administrative solutions, and retirement; employee experiences consisting of community, video, employee voice, recognition and rewards, data insights, and reporting; and Paylocity for finance solutions, such as headcount planning, expense management, accounts payable automation, corporate cards, and guided procurement. In addition, the company offers Paylocity for IT which includes access management and identity, and asset management; and implementation and training, client services, and tax and regulatory services. It serves for-profit and non-profit organizations across industries, including business services, financial services, healthcare, manufacturing, restaurants, retail, technology, and others. The company markets and sells its products through sales representatives. Paylocity Holding Corporation was founded in 1997 and is headquartered in Schaumburg, Illinois.

How this company scores

ExcellentMetricSide Score: 91/100

Strongest: Cash & Earnings Quality (25/25); weakest: Balance Sheet & Red Flags (21/25).

Profitability22/25

Growth23/25

Balance Sheet & Red Flags21/25

Cash & Earnings Quality25/25

Strengths

Rising free cash flowStrong marginsHigh ROERising earnings

No red flags in the last 8 quarters.

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 29.0x5y range 22.6x – 101.2x

Currently below its 20-quarter median.

P/S · 4.4x5y range 3.4x – 12.9x

Currently below its 20-quarter median.

P/B · 6.4x5y range 4.9x – 18.8x

Price & Volume

Market Cap $7.82B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $1.77B
Q. Revenue: $444.73M
TTM EBITDA: $497.79M
TTM Op. Income: $385.99M
Q. Op. Income: $84.42M
TTM Net Income: $269.74M
Q. Net Income: $60.30M
EPS: $1.127
Shares Out.: $53.51M

$1.77B in TTM revenue grew 11.0% YoY, reaching $444.73M last quarter. TTM EBITDA of $497.79M and TTM operating income of $385.99M show growth is flowing through to the bottom line. TTM net income of $269.74M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 67.5%
EBITDA Margin: 25.6%
Op. Margin: 19.0%
Net Margin: 13.6%

Op. margin of 19.0% is up 2.5% YoY — cost efficiency is improving. Net margin at 13.6% and gross margin of 67.5% show how much of each revenue dollar survives to profit. Over the past year, operating margin is up 15% — a weakening trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 29.0x
P/S Ratio: 4.4x
P/B Ratio: 6.4x

At 29.0x P/E, the stock trades within typical market levels. P/S of 4.4x and P/B of 6.4x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is down 34% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $4.88B
Cash: $271.92M
Long-Term Debt: $81.25M
Book Value: $1.22B
D/E Ratio: 0.1
Debt/EBITDA: 0.7

With $4.88B in assets and $81.25M in long-term debt, D/E is 0.1and book value is $1.22B — a conservative capital structure with a cushion to weather downturns. Across the last 8 quarters, debt/equity has fallen for 2 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $111.89M
TTM Free Cash Flow: $497.10M
FCF Margin: 28.1%
FCF / Net Income: 1.8

TTM FCF of $497.10M on $111.89M in operating cash flow. The FCF / Net Income ratio of 1.8x means free cash flow covers net income — earnings are backed by cash. Across the last 8 quarters, free cash flow has risen for 3 consecutive quarters — an improving trend.