Paychex, Inc. vs Paylocity Holding Corporation
Side-by-Side SaaS Metrics & Valuation Comparison
analyticsHR Tech
Data as of Q1 2026
Summary Verdict
PAYX: 3—PCTY: 2wins
Rule of 40
55.9PAYX
44.0PCTY
check_circlePAYX leads
Revenue Growth
21.1%PAYX
29.3%PCTY
check_circlePCTY leads
Gross Margin
74%PAYX
75%PCTY
check_circlePCTY leads
FCF Margin
34.8%PAYX
14.7%PCTY
check_circlePAYX leads
Operating Margin
41.8%PAYX
25.9%PCTY
check_circlePAYX leads
NRR
—PAYX
—PCTY
Metric
Rule of 40Efficiency score
PAYX
55.9check_circle
PCTY
44.0
Revenue GrowthYoY
PAYX
21.1%
PCTY
29.3%check_circle
Gross Margin% of revenue
PAYX
74%
PCTY
75%check_circle
FCF MarginFree cash flow
PAYX
34.8%check_circle
PCTY
14.7%
Operating MarginGAAP
PAYX
41.8%check_circle
PCTY
25.9%
NRRNet retention
PAYX
N/A
PCTY
N/A
EV / RevenueValuation multiple
PAYX
6.0x
PCTY
3.6xcheck_circle
Market CapUSD
PAYX
$38.2Bcheck_circle
PCTY
$6.3B
ARR GrowthYoY
PAYX
N/A
PCTY
N/A
CAC PaybackMonths to recover
PAYX
N/A
PCTY
N/A
insights
Analysis
As of Q1 2026, Paychex, Inc. trades at 6.0x EV/Revenue versus Paylocity Holding Corporation at 3.6x. On the Rule of 40, Paychex, Inc. scores 55.9 compared to Paylocity Holding Corporation's 44.0, placing Paychex, Inc. ahead in operating efficiency. Gross margins stand at Paychex, Inc. 74% vs Paylocity Holding Corporation 75%.
Sector Context
Both companies operate in the HR Tech sector. The median columns above show where each company stands relative to their peers.