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Paycom Software, Inc (PAYC) Fair Value & Analysis

Technology · US · Market cap $6.4B

Price$124.28
Fair Value$194.48
Upside+56.5%
Quality95/100
Evidence: High Range $145.86 – $393.92

Fair value as of: Jun 24, 2026

Analysis

Paycom Software, Inc (PAYC) currently trades at $124.28, while our model-based Fair Value estimate is $194.48 — implying the stock looks roughly 56.5% undervalued today. We read business quality at 95/100 (high quality), in the Technology sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high) — always confirm before acting.

About the company

Paycom Software, Inc. provides cloud-based human capital management (HCM) solution delivered as software-as-a-service for small to mid-sized companies in the United States. The company offers functionality and data analytics that businesses need to manage the employment life cycle from recruitment to retirement. The company's HCM solution offers payroll applications comprising better employee transaction interface, payroll and payroll tax management, payroll card, Everyday, Paycom pay, Client Action Center, expense management, garnishment administration, and GL concierge applications; talent acquisition, including applicant tracking, background checks, on-boarding, e-verify, and tax credit services; and talent management applications that include employee self-service, compensation budgeting, performance management, position management, Paycom learning, certification management. The company also offers time and labor management, such as time and attendance, scheduling, time-off requ…

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Frequently asked questions

Is Paycom Software, Inc (PAYC) undervalued?
As of Jun 24, 2026, our model estimates a fair value of $194.48 versus a price of $124.28 — about +56% (undervalued). Model-based estimate, not financial advice.
What is the fair value of PAYC?
Our 21-model fair value for Paycom Software, Inc is $194.48 (as of Jun 24, 2026), built from audited fundamentals. The current price is $124.28.
What is the quality score of PAYC?
Paycom Software, Inc has a Quality Score of 95/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data — nothing guessed.

Educational research only · not financial advice · no buy/sell recommendation. Model-based estimates are not certainties; their reliability depends on data quality and assumptions.