analyticsHR Tech
Data as of Q1 2026
Summary Verdict
PCTY: 2—PAYC: 3wins
Rule of 40
44.0PCTY
36.1PAYC
check_circlePCTY leads
Revenue Growth
29.3%PCTY
10.4%PAYC
check_circlePCTY leads
Gross Margin
75%PCTY
83%PAYC
check_circlePAYC leads
FCF Margin
14.7%PCTY
25.7%PAYC
check_circlePAYC leads
Operating Margin
25.9%PCTY
29.8%PAYC
check_circlePAYC leads
NRR
—PCTY
—PAYC
Metric
Rule of 40Efficiency score
PCTY
44.0check_circle
PAYC
36.1
Revenue GrowthYoY
PCTY
29.3%check_circle
PAYC
10.4%
Gross Margin% of revenue
PCTY
75%
PAYC
83%check_circle
FCF MarginFree cash flow
PCTY
14.7%
PAYC
25.7%check_circle
Operating MarginGAAP
PCTY
25.9%
PAYC
29.8%check_circle
NRRNet retention
PCTY
N/A
PAYC
N/A
EV / RevenueValuation multiple
PCTY
3.5xcheck_circle
PAYC
3.5x
Market CapUSD
PCTY
$6.2B
PAYC
$7.6Bcheck_circle
ARR GrowthYoY
PCTY
N/A
PAYC
N/A
CAC PaybackMonths to recover
PCTY
N/A
PAYC
N/A
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insights
Analysis
As of Q1 2026, Paylocity Holding Corporation trades at 3.5x EV/Revenue versus Paycom Software, Inc. at 3.5x. On the Rule of 40, Paylocity Holding Corporation scores 44.0 compared to Paycom Software, Inc.'s 36.1, placing Paylocity Holding Corporation ahead in operating efficiency. Gross margins stand at Paylocity Holding Corporation 75% vs Paycom Software, Inc. 83%.
Sector Context
Both companies operate in the HR Tech sector. The median columns above show where each company stands relative to their peers.