Paylocity (PCTY)
NASDAQIndustrialsSoftware - ApplicationSnapshot 2026-11-05
$169.57-0.81%
Close 2026-11-05 · 1-day change
NASDAQIndustrialsSoftware - ApplicationSnapshot 2026-11-05
QuarterlyIQ Insights · PCTY
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within industrials on a research-validated quality screen. As of 2026-11-05.
The screen ranks PCTY against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 3 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 1 of the last 3 quarter-over-quarter moves. Historically, Industrials names rated strong grew net income 68% of the time over the next year (vs 52% for the rest of the cohort, n=6978).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
“Fiscal 27 is off to a strong start, with first quarter recurring & other revenue growth of 12.0% as we continue to see strong execution by our go-to-market teams, industry leading revenue retention,…
Stated in 4 of 4 supplied quarters. Management reported: ““Fiscal 27 is off to a strong start, with first quarter recurring & other revenue growth of 12.0% as we continue to see strong execution by our go-to-market teams, industry leading revenue retention, and product innovation that is bringing to market meaningful new AI-driven experiences and solutions that create differentiation and drive ARPU.” “As we continue to expand our product suite, a critical component of our strategy is driven by the launch of Ignite AI, which is designed to help accelerate productivity for HR, Finance, and IT teams across companies of all sizes and industries.” Revenue was $444.734 million in 2026-Q4.
““Fiscal 27 is off to a strong start, with first quarter recurring & other revenue growth of 12.0% as we continue to see strong execution by our go-to-market teams, industry leading revenue retention,…”
“As we continue to expand our product suite, a critical component of our strategy is driven by the launch of Ignite AI, which is designed to help accelerate productivity for HR, Finance, and IT teams…”
“Our multi-year investment in R&D continues to drive innovation across our HCM, Finance and IT offerings, all underpinned by expanded AI capabilities and our core employee record data.”
“Our results continue to be driven by the combination of strong sales, operational execution, and product differentiation – including the addition of new platform capabilities like Benefits Guided Set…”
Our strong first quarter results and the momentum we are seeing as we head into the heart of selling season are helping to drive a strong increase to our fiscal 27 guidance across both revenue and pr…
Stated in 2 of 4 supplied quarters. Management reported: “Additionally, as highlighted last quarter, we continue to invest in AI and broader automation efforts internally to drive greater efficiency and productivity across our business, as evidenced by our increasing free cash flow and adjusted EBITDA margins.” “Our strong first quarter results and the momentum we are seeing as we head into the heart of selling season are helping to drive a strong increase to our fiscal 27 guidance across both revenue and profitability.” Operating income was $84.422 million in 2026-Q4.
We also continue to return capital to shareholders by repurchasing $398.1 million or approximately 2.8 million shares of our stock in Fiscal 26.
Stated in 2 of 4 supplied quarters. Management reported: “We also continue to return capital to shareholders by repurchasing $398.1 million or approximately 2.8 million shares of our stock in Fiscal 26.” “Additionally, as a result of our increasing cash flows, we continue to return capital to shareholders, with $350 million or 2.3 million shares repurchased through Q3 of this fiscal year,” said Toby Williams, President and Chief Executive Officer of Paylocity.”
Expand the HCM, Finance, and IT product suite, including AI capabilities, to support client needs and revenue growth.
Focus on growing recurring and total revenue through expanding product suite, AI-powered capabilities, and acquisitions like Grayscale.
Over the trailing year it converted 1.87x of net income into operating cash flow. Historically, Industrials names rated robust grew net income 59% of the time over the next year (vs 55% for the rest of the cohort, n=5006).
Not enough signal yet.
Not enough signal to read sensitivity to the US dollar, the broad stock market, real (inflation-adjusted) rates, long-term interest rates, Fed net liquidity (low R² over the window).
6 material management or governance events in the past 24 months, led by capital-allocation actions. Historically, Industrials names rated stable grew net income 60% of the time over the next year (vs 56% for the rest of the cohort, n=6637).
Not investment advice. As of 2026-11-05.
“Our strong first quarter results and the momentum we are seeing as we head into the heart of selling season are helping to drive a strong increase to our fiscal 27 guidance across both revenue and pr…”
“Additionally, as highlighted last quarter, we continue to invest in AI and broader automation efforts internally to drive greater efficiency and productivity across our business, as evidenced by our…”
“We also continue to return capital to shareholders by repurchasing $398.1 million or approximately 2.8 million shares of our stock in Fiscal 26.”
“Additionally, as a result of our increasing cash flows, we continue to return capital to shareholders, with $350 million or 2.3 million shares repurchased through Q3 of this fiscal year,” said Toby W…”