Paycom Software (HAM:0PY) FCF Margin %: 31.93% (As of Mar. 2026) — 83% Above Median


HAM:0PY Paycom Software Inc HAM:0PY
71 GF Score
Price €125.65
GF Value €217.18
Valuation Significantly Undervalued
! 3 Warning Signs
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What is Paycom Software FCF Margin %?

Paycom Software HAM:0PY +2.57% 71 FCF Margin % is 31.93% as of Mar. 2026, which is 83% above its 10-year median of 17.41. 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 2,808 Software companies, Paycom Software ranks better than 87.71% on this metric.

FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Paycom Software's Free Cash Flow for the three months ended in Mar. 2026 was €158 Mil. Paycom Software's Revenue for the three months ended in Mar. 2026 was €495 Mil. Therefore, Paycom Software's FCF Margin % for the quarter that ended in Mar. 2026 was 31.93%.

As of today, Paycom Software's current FCF Yield % is 6.83%.

The historical rank and industry rank for Paycom Software's FCF Margin % or its related term are showing as below:

HAM:0PY' s FCF Margin % Range Over the Past 10 Years
Min: 15.82   Med: 17.41   Max: 22.06
Current: 21.1


During the past 13 years, the highest FCF Margin % of Paycom Software was 22.06%. The lowest was 15.82%. And the median was 17.41%.

HAM:0PY's FCF Margin % is ranked better than
87.71% of 2808 companies
in the Software industry
Industry Median: 2.44 vs HAM:0PY: 21.10


Paycom Software FCF Margin % Related Terms


Paycom Software FCF Margin % Historical Data

* Premium members only.

The historical data trend for Paycom Software's FCF 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.

Paycom Software FCF Margin % Chart

Paycom Software Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
FCF Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 18.30 16.60 17.02 17.87 19.67

Paycom Software Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
FCF Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 27.30 12.57 16.18 21.70 31.93

HAM:0PY vs ESTC, CVLT, NAVN: FCF Margin % Comparison

For the Software - Application subindustry, Paycom Software's FCF Margin %, along with its competitors' market caps and FCF 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 FCF Margin % vs Software Industry

For the Software industry and Technology sector, Paycom Software's FCF Margin % distribution charts can be found below:

* The bar in red indicates where Paycom Software's FCF Margin % falls into.


HAM:0PY
71GF Score
Paycom Software Inc HAM:0PY
FCF Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Paycom Software FCF Margin % Calculation

FCF margin is the ratio of Free Cash Flow divided by net sales or Revenue, usually presented in percent.

Paycom Software's FCF Margin for the fiscal year that ended in Dec. 2025 is calculated as

FCF Margin=Free Cash Flow (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=344.589/1752.152
=19.67 %

Paycom Software's FCF Margin for the quarter that ended in Mar. 2026 is calculated as

FCF Margin=Free Cash Flow (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=157.949/494.607
=31.93 %

* 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.

Frequently Asked Questions Learn more about FCF Margin % →
What does a FCF Margin % of 31.93% mean?
Paycom Software (HAM:0PY) has a FCF Margin % of 31.93% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Paycom Software and its competitors. This is 83% above median its historical median of 17.41. Over the past decade, Paycom Software's FCF Margin % has ranged from 15.82 to 22.06. According to the industry distribution chart, Paycom Software ranks #345 out of 2808 companies in the Software industry, placing it in the top 12.3%.
Is Paycom Software's FCF Margin % too high?
Paycom Software's current FCF Margin % of 31.93% is 83% above median its 10-year median of 17.41. Over the past 10 years, this metric has ranged from a low of 15.82 to a high of 22.06. The Software industry median FCF Margin % is 2.44. Paycom Software's value of 31.93% is 1208.6% above this industry median. Based on the distribution chart, Paycom Software ranks #345 out of 2808 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 FCF Margin % compare to ESTC and CVLT?
According to the Software industry distribution chart, Paycom Software ranks #345 out of 2808 companies for FCF Margin %. This places Paycom Software in the top 12% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 2.44. Paycom Software's value of 31.93% is 1208.6% above this benchmark. Historically, Paycom Software's own FCF Margin % has ranged from 15.82 to 22.06 over the past decade. While the company's 10-year median is 17.41 vs. the industry median of 2.44, 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 FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 2.44, based on 2,808 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Paycom Software's current FCF Margin % of 31.93% is 1208.6% 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 FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Paycom Software and its competitors. For the Software industry, the median FCF Margin % is 2.44 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paycom Software's current FCF Margin % is 31.93%, which is 83% above median its own 10-year median of 17.41. 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 FCF Margin % is 31.93%, which is 83% above median its 10-year median of 17.41 and 1208.6% above the Software industry median of 2.44. 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 FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Paycom Software (HAM:0PY), the current FCF Margin % is 31.93% 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:

  • FCF Margin %: 31.93% (83% above median its 10-year median of 17.41)
  • GF Value™: €217.18 vs. price of €125.65 (42.1% below fair value)
  • GF Score™: 71/100 with 3 warning signs
  • Industry Position: 1208.6% above the Software median (#345 of 2808)

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.


Paycom Software Business Description

Address 7501 W. Memorial Road, Oklahoma, OK, USA, 73142
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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FCF Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€125.65
Price
€217.18
GF Value