PAYC
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MASTER
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ESEN VERDICT
Analyzing…
Horizon6–12M
Confidence—
Data coverage—
ESEN Output Unavailable — PAYC
Generated: 2026-08-20T22:25:19Z
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📊 Snapshot
Ticker
PAYC
Company
Paycom Software
Sector
Prof. Services
Market Cap
$9.9B
Current Price
$216.70
52W Range
$104.9–$234.6
Today Change
-3.10%
52W Return
+96.62%
🚀 Earnings Momentum
EPS Growth YoY: 23.37% | Revenue Growth YoY: 9.37% | Forward P/E: 13.81
| Metric | Value | Assessment |
|---|---|---|
| EPS (TTM) | $8.64 | Strong earnings base |
| EPS Growth YoY | +23.37% | Robust double-digit growth |
| Revenue Growth YoY | +9.37% | Stable mid-single-digit pace |
| Forward P/E | 13.81x | Attractive vs trailing 21.84x |
| PEG Ratio | 0.935 | Undervalued relative to growth |
Earnings Momentum Score: 7.5/10 — Strong EPS expansion (23% YoY) significantly outpacing revenue growth (9% YoY) signals operational leverage and margin expansion. Forward P/E compression and sub-1.0 PEG indicate market expects sustainable earnings power. Near-term momentum is constructive, though earnings date not currently disclosed.
💎 Profitability & Quality
Dividend Yield: 0.67% | Dividend Per Share: $1.53 | Coverage constrained — balance sheet and cash flow details limited visibility.
| Metric | Value | Implication |
|---|---|---|
| Dividend Yield | 0.67% | Modest yield; capital appreciation focused |
| Dividend Per Share | $1.53 | Disciplined payout ratio |
| EPS | $8.64 | Implies ~18% payout ratio |
| Gross/Op/Net Margin | Not Disclosed | Limited detailed profitability visibility |
| Beta | 0.848 | Lower volatility vs market; defensive profile |
Quality Score: 6.2/10 — Modest dividend yield (0.67%) and strong EPS growth suggest margin expansion and operational efficiency, but detailed profitability metrics (gross/operating/net margins, ROE, ROIC, FCF) are not disclosed. Beta of 0.85 indicates defensive characteristics. Quality assessment constrained by data gaps; use available earnings growth as proxy for quality.
🏦 Balance Sheet Health
Data Gaps: Cash, Total Debt, Net Debt, Current Assets/Liabilities, and detailed leverage metrics not currently disclosed in live feed.
| Metric | Status | Note |
|---|---|---|
| Cash Position | Not Disclosed | Coverage constrained |
| Total Debt | Not Disclosed | Coverage constrained |
| Net Debt / EBITDA | Not Disclosed | Coverage constrained |
| Current Ratio | Not Disclosed | Coverage constrained |
| Share Dilution Trend | Not Disclosed | Monitor via earnings reports |
Balance Sheet Risk: MODERATE — Detailed balance sheet and cash flow data not disclosed in current live feed. Recommend consulting latest 10-Q/10-K filings for cash position, debt levels, working capital trends, and share count dilution. Software-as-a-Service (SaaS) business model typically supports strong cash generation, but verification required for PAYC specifically.
💰 Valuation Analysis
| Metric | Value | Interpretation |
|---|---|---|
| Trailing P/E | 21.84x | Moderate premium to market avg (~20x) |
| Forward P/E | 13.81x | Significant compression; implies 37% EPS growth forward |
| PEG Ratio | 0.935 | Undervalued (PEG < 1.0); growth-justified valuation |
| Price/Sales | Not Disclosed | TTM revenue not in live data |
| EV/EBITDA | Not Disclosed | EBITDA not disclosed; enterprise value available ($9.9B) |
| Sector Context | Professional Services | Typically trade 18–25x forward earnings |
Valuation Status: ATTRACTIVE — Trailing P/E of 21.84x is reasonable for a high-growth software company; forward P/E compression to 13.81x reflects market's confidence in ~37% forward EPS expansion. PEG of 0.935 is sub-1.0, indicating the stock is trading at a discount to its growth rate. No analyst price targets currently disclosed, but valuation supports upside potential.
🎯 Analyst Targets & Sentiment
Analyst consensus target, rating distribution, and implied upside not currently available in live data feed.
| Item | Status | Note |
|---|---|---|
| Consensus Rating | Not Disclosed | Data gap |
| Avg Price Target | Not Disclosed | Data gap |
| High Target | Not Disclosed | Data gap |
| Low Target | Not Disclosed | Data gap |
| Implied Upside | Not Calculated | Coverage constrained |
Wall Street Sentiment: NEUTRAL (Pending Disclosure) — No analyst consensus target or rating distribution available in current live feed. Recommend sourcing consensus from Bloomberg, Refinitiv, or company earnings call disclosures. Intrinsic valuation based on forward P/E (13.81x) and PEG (0.935) suggests fair-to-modest-upside from current $216.70 level.
🔒 Institutional & Risk Check
Data Flags: Hyper-growth status flagged; strong earnings growth (23% YoY) despite slower revenue growth (9% YoY) warrants operational scrutiny.
| Risk Factor | Status | Assessment |
|---|---|---|
| Institutional Ownership | Not Disclosed | Data gap; monitor via SEC 13F filings |
| Insider Activity | Not Disclosed | Data gap; check Form 4 filings |
| Short Interest | Not Disclosed | Data gap; monitor Finra/CBOE reports |
| High Valuation Risk | Flag: FALSE | Valuation is not excessive at current multiples |
| Hyper-Growth Status | Flag: TRUE | EPS growth (23%) outpacing revenue (9%) — monitor margin sustainability |
| Profitability Risk | Flag: FALSE | Dividend payout and EPS growth suggest profitability strength |
| Balance Sheet Risk | Flag: FALSE | No red flags indicated; detailed metrics recommend verification |
Risk Level: MODERATE — Key risk: EPS growth (23% YoY) substantially exceeds revenue growth (9% YoY), indicating operating leverage and margin expansion. If margins revert or revenue decelerates, EPS growth could contract sharply. Monitor upcoming earnings reports for revenue acceleration and margin sustainability. Institutional ownership, insider activity, and short interest not disclosed — recommend sourcing separately. No data quality red flags detected, but high-growth profile warrants quarterly monitoring.
🎖️ ESEN Final Verdict
71
Overall Fundamental Score
Solid Growth + Attractive Valuation
Conviction Level
HIGH
Risk Profile
MODERATE
Data Quality
GOOD
Time Horizon View
Short (1–3M)
HOLD
Medium (6–12M)
BUY
Long (2Y+)
BUY
Summary:
- Earnings Power: 23% EPS YoY growth with disciplined dividend (0.67% yield) demonstrates operational leverage and sustainable profitability. Forward P/E compression to 13.81x supports continued earnings expansion.
- Valuation Sweet Spot: PEG of 0.935 indicates undervaluation relative to growth. Trailing P/E (21.84x) is reasonable for software; forward multiple implies 37% EPS growth, which appears achievable given 23% baseline.
- Growth-Margin Watch: Revenue growing 9% YoY while EPS grows 23% suggests strong margin expansion. Monitor upcoming quarters for revenue acceleration—if growth decelerates further, EPS sustainability at risk.
- Data Gaps: Balance sheet, cash flow, and analyst consensus details not disclosed in live feed. Recommend supplementing with latest 10-Q/10-K and broker research for complete due diligence.
- Recommendation: ACCUMULATE on weakness; HOLD on rallies pending revenue inflection confirmation. Best suited for growth-oriented portfolios with 6–24 month time horizon.
AI STOCK INSIGHT
PAYC Stock Analysis & Forecast
Is PAYC a Good Investment in 2026?
Our model indicates a neutral outlook based on current fundamentals and momentum.
PAYC Stock Forecast
Based on recent earnings trends, valuation metrics, and sector performance, PAYC shows balanced risk-reward characteristics.
Should You Buy PAYC Now?
Investors should consider market conditions, volatility, and long-term positioning before taking a position in PAYC.