
PCTY Valuation
Paylocity Holding Corp
PCTY Relative Valuation
PCTY's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, PCTY is overvalued; if below, it's undervalued.
Historical Valuation
Paylocity Holding Corp (PCTY) is now in the Undervalued zone, suggesting that its current forward PE ratio of 19.37 is considered Undervalued compared with the five-year average of 52.07. The fair price of Paylocity Holding Corp (PCTY) is between 183.51 to 554.74 according to relative valuation methord. Compared to the current price of 141.27 USD , Paylocity Holding Corp is Undervalued By 23.02%.
Relative Value
Fair Zone
183.51-554.74
Current Price:141.27
23.02%
Undervalued
19.37
PE
1Y
3Y
5Y
Trailing
Forward
12.35
EV/EBITDA
Paylocity Holding Corp. (PCTY) has a current EV/EBITDA of 12.35. The 5-year average EV/EBITDA is 32.26. The thresholds are as follows: Strongly Undervalued below -1.56, Undervalued between -1.56 and 15.35, Fairly Valued between 49.17 and 15.35, Overvalued between 49.17 and 66.09, and Strongly Overvalued above 66.09. The current Forward EV/EBITDA of 12.35 falls within the Undervalued range.
14.87
EV/EBIT
Paylocity Holding Corp. (PCTY) has a current EV/EBIT of 14.87. The 5-year average EV/EBIT is 39.95. The thresholds are as follows: Strongly Undervalued below -5.82, Undervalued between -5.82 and 17.07, Fairly Valued between 62.84 and 17.07, Overvalued between 62.84 and 85.72, and Strongly Overvalued above 85.72. The current Forward EV/EBIT of 14.87 falls within the Undervalued range.
141.27
PS
Paylocity Holding Corp. (PCTY) has a current PS of 141.27. The 5-year average PS is 10.04. The thresholds are as follows: Strongly Undervalued below -7.04, Undervalued between -7.04 and 1.50, Fairly Valued between 18.58 and 1.50, Overvalued between 18.58 and 27.11, and Strongly Overvalued above 27.11. The current Forward PS of 141.27 falls within the Strongly Overvalued range.
16.92
P/OCF
Paylocity Holding Corp. (PCTY) has a current P/OCF of 16.92. The 5-year average P/OCF is 44.44. The thresholds are as follows: Strongly Undervalued below -1.19, Undervalued between -1.19 and 21.62, Fairly Valued between 67.25 and 21.62, Overvalued between 67.25 and 90.06, and Strongly Overvalued above 90.06. The current Forward P/OCF of 16.92 falls within the Undervalued range.
20.30
P/FCF
Paylocity Holding Corp. (PCTY) has a current P/FCF of 20.30. The 5-year average P/FCF is 58.74. The thresholds are as follows: Strongly Undervalued below -6.94, Undervalued between -6.94 and 25.90, Fairly Valued between 91.58 and 25.90, Overvalued between 91.58 and 124.42, and Strongly Overvalued above 124.42. The current Forward P/FCF of 20.30 falls within the Undervalued range.
Paylocity Holding Corp (PCTY) has a current Price-to-Book (P/B) ratio of 6.34. Compared to its 3-year average P/B ratio of 10.80 , the current P/B ratio is approximately -41.32% higher. Relative to its 5-year average P/B ratio of 16.12, the current P/B ratio is about -60.66% higher. Paylocity Holding Corp (PCTY) has a Forward Free Cash Flow (FCF) yield of approximately 0.05%. Compared to its 3-year average FCF yield of 3.27%, the current FCF yield is approximately -98.49% lower. Relative to its 5-year average FCF yield of 2.35% , the current FCF yield is about -97.91% lower.
6.34
P/B
Median3y
10.80
Median5y
16.12
0.05
FCF Yield
Median3y
3.27
Median5y
2.35
Competitors Valuation Multiple
The average P/S ratio for PCTY's competitors is 51.89, providing a benchmark for relative valuation. Paylocity Holding Corp Corp (PCTY) exhibits a P/S ratio of 141.27, which is 172.27% above the industry average. Given its robust revenue growth of 12.16%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of PCTY decreased by 31.93% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 357.29M to 400.74M.
The secondary factor is the Margin Expansion, contributed -11.20%to the performance.
Overall, the performance of PCTY in the past 1 year is driven by Revenue Growth. Which is more sustainable.
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FAQ
Is Paylocity Holding Corp (PCTY) currently overvalued or undervalued?
Paylocity Holding Corp (PCTY) is now in the Undervalued zone, suggesting that its current forward PE ratio of 19.37 is considered Undervalued compared with the five-year average of 52.07. The fair price of Paylocity Holding Corp (PCTY) is between 183.51 to 554.74 according to relative valuation methord. Compared to the current price of 141.27 USD , Paylocity Holding Corp is Undervalued By 23.02% .










