Paycom SoftwareHAM:0PY +2.57%71 EBITDA Margin % is 47.29% as of Mar. 2026, which is 34% above its 10-year median of 35.20. GuruFocus rates HAM:0PY with a GF Score™ of 71/100 and a GF Value™ of €217.18 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 2,810 Software companies, Paycom Software ranks better than 93.7% on this metric.
EBITDA Margin % is calculated as EBITDA divided by its Revenue. Paycom Software's EBITDA for the
three
months ended in Mar. 2026 was €234 Mil. Paycom Software's Revenue for the
three
months ended in Mar. 2026 was €495 Mil. Therefore, Paycom Software's EBITDA margin for the quarter that ended in Mar. 2026 was 47.29%.
EBITDA Margin % is the ratio of EBITDA divided by net sales or Revenue. It is an performance metric measuring company's operating profitability. EBITDA Margin takes depreciation and amortization, interest expense and tax into account, which makes it easy to compare the relative profitability of companies of different sizes in the same industry.
Paycom Software EBITDA Margin % Related Terms
Paycom Software EBITDA Margin % Historical Data
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The historical data trend for Paycom Software's EBITDA Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
HAM:0PY vs ESTC, CVLT, NAVN: EBITDA Margin % Comparison
For the Software - Application subindustry, Paycom Software's EBITDA Margin %, along with its competitors' market caps and EBITDA Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Paycom Software EBITDA Margin % vs Software Industry
For the Software industry and Technology sector, Paycom Software's EBITDA Margin % distribution charts can be found below:
* The bar in red indicates where Paycom Software's EBITDA Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Paycom Software (HAM:0PY) has a EBITDA Margin % of 47.29% as of Mar. 2026. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Paycom Software and its competitors. This is 34% above median its historical median of 35.20. Over the past decade, Paycom Software's EBITDA Margin % has ranged from 28.44 to 42.39. According to the industry distribution chart, Paycom Software ranks #177 out of 2810 companies in the Software industry, placing it in the top 6.3%.
Is Paycom Software's EBITDA Margin % too high?
Paycom Software's current EBITDA Margin % of 47.29% is 34% above median its 10-year median of 35.20. Over the past 10 years, this metric has ranged from a low of 28.44 to a high of 42.39. The Software industry median EBITDA Margin % is 8.09. Paycom Software's value of 47.29% is 484.9% above this industry median. Based on the distribution chart, Paycom Software ranks #177 out of 2810 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Paycom Software has a GF Score™ of 71/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Paycom Software's EBITDA Margin % compare to ESTC and CVLT?
According to the Software industry distribution chart, Paycom Software ranks #177 out of 2810 companies for EBITDA Margin %. This places Paycom Software in the top 6% of its industry — outperforming the majority of peers. The industry median EBITDA Margin % is 8.09. Paycom Software's value of 47.29% is 484.9% above this benchmark. Historically, Paycom Software's own EBITDA Margin % has ranged from 28.44 to 42.39 over the past decade. While the company's 10-year median is 35.20 vs. the industry median of 8.09, Paycom Software has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBITDA Margin % for a Software company?
The median EBITDA Margin % among Software companies is 8.09, based on 2,810 companies in the industry. Companies in the top quartile (top 25%) have a EBITDA Margin % significantly above this median, while those in the bottom quartile fall well below. However, EBITDA Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Paycom Software's current EBITDA Margin % of 47.29% is 484.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBITDA Margin % mean?
A high EBITDA Margin % can signal that a stock is expensive relative to its fundamentals. EBITDA Margin is the ratio of EBITDA divided by net sales or Revenue, usually presented in percent. View historical data on Paycom Software and its competitors. For the Software industry, the median EBITDA Margin % is 8.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paycom Software's current EBITDA Margin % is 47.29%, which is 34% above median its own 10-year median of 35.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paycom Software stock overvalued right now?
Based on GuruFocus' analysis, Paycom Software (HAM:0PY) is currently considered Significantly Undervalued. The stock's GF Value™ is €217.18, compared to a current price of €125.65 — trading 42.1% below its estimated fair value. The current EBITDA Margin % is 47.29%, which is 34% above median its 10-year median of 35.20 and 484.9% above the Software industry median of 8.09. Paycom Software's overall GF Score™ is 71/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBITDA Margin % calculated?
EBITDA Margin % is calculated from a company's financial statements. For Paycom Software (HAM:0PY), the current EBITDA Margin % is 47.29% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Paycom Software (HAM:0PY) Overvalued in 2026?
Based on GuruFocus' analysis, Paycom Software stock appears to be undervalued.
The current stock price of €125.65 is trading 42.1% below its estimated GF Value™ of €217.18.
GuruFocus considers Paycom Software to be Significantly Undervalued.
Key valuation signals for HAM:0PY:
EBITDA Margin %: 47.29% (34% above median its 10-year median of 35.20)
GF Value™: €217.18 vs. price of €125.65 (42.1% below fair value)
Industry Position: 484.9% above the Software median (#177 of 2810)
No single metric tells the full story. See the HAM:0PY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1998, Paycom is a human capital management software-as-a-service provider addressing customer requirements surrounding payroll, talent acquisition, talent management, HR management, as well as time and labor. The company services businesses of all sizes within the United States and internationally. The company primarily generates revenue through the sale of subscriptions providing access to its HCM platform. To a lesser extent, the company also generates revenue from implementation services provided to customers as well as interest income generated from customer funds. As of fiscal 2024, the company serviced slightly over 37,500 customers and stored data on over 7 million employees.
71GF Score
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