Paymentus HoldingsPAY -1.01%80 Net Margin % is 5.83% as of Mar. 2026, which is 28% above its 10-year median of 4.54. GuruFocus rates PAY with a GF Score™ of 80/100 and a GF Value™ of $38.75 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,825 Software companies, Paymentus Holdings ranks better than 61.73% on this metric.
The historical rank and industry rank for Paymentus Holdings's Net Margin % or its related term are showing as below:
PAY'
s Net Margin % Range Over the Past 10 Years
Min: -0.1 Med: 4.54 Max: 5.81
Current: 5.78
PAY's Net Margin % is ranked better than 61.73% of 2825
companies
in the Software industry
Industry Median: 2.54
vs PAY: 5.78
Paymentus Holdings (NYSE:PAY) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Paymentus Holdings Net Margin % Related Terms
Paymentus Holdings Net Margin % Historical Data
* Premium members only.
The historical data trend for Paymentus Holdings's Net 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.
For the Software - Infrastructure subindustry, Paymentus Holdings's Net Margin %, along with its competitors' market caps and Net 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.
Paymentus Holdings Net Margin % vs Software Industry
For the Software industry and Technology sector, Paymentus Holdings's Net Margin % distribution charts can be found below:
* The bar in red indicates where Paymentus Holdings's Net 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.
Paymentus Holdings (PAY) has a Net Margin % of 5.83% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Paymentus Holdings and its competitors. This is 28% above median its historical median of 4.54. According to the industry distribution chart, Paymentus Holdings ranks #1081 out of 2825 companies in the Software industry, placing it in the top 38.3%.
Is Paymentus Holdings' Net Margin % too high?
Paymentus Holdings' current Net Margin % of 5.83% is 28% above median its 10-year median of 4.54. The Software industry median Net Margin % is 2.54. Paymentus Holdings' value of 5.83% is 129.5% above this industry median. Based on the distribution chart, Paymentus Holdings ranks #1081 out of 2825 companies in the Software industry, which is above the industry midpoint. Overall, Paymentus Holdings has a GF Score™ of 80/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Paymentus Holdings' Net Margin % compare to NTCT and NN?
According to the Software industry distribution chart, Paymentus Holdings ranks #1081 out of 2825 companies for Net Margin %. This puts Paymentus Holdings in the upper half of its industry. The industry median Net Margin % is 2.54. Paymentus Holdings' value of 5.83% is 129.5% above this benchmark. While the company's 10-year median is 4.54 vs. the industry median of 2.54, Paymentus Holdings 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 Net Margin % for a Software company?
The median Net Margin % among Software companies is 2.54, based on 2,825 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Paymentus Holdings's current Net Margin % of 5.83% is 129.5% 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Paymentus Holdings and its competitors. For the Software industry, the median Net Margin % is 2.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paymentus Holdings's current Net Margin % is 5.83%, which is 28% above median its own 10-year median of 4.54. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paymentus Holdings stock overvalued right now?
Based on GuruFocus' analysis, Paymentus Holdings (PAY) is currently considered Significantly Undervalued. The stock's GF Value™ is $38.75, compared to a current price of $21.51 — trading 44.5% below its estimated fair value. The current Net Margin % is 5.83%, which is 28% above median its 10-year median of 4.54 and 129.5% above the Software industry median of 2.54. Paymentus Holdings' overall GF Score™ is 80/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Paymentus Holdings (PAY), the current Net Margin % is 5.83% 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 Paymentus Holdings (PAY) Overvalued in 2026?
Based on GuruFocus' analysis, Paymentus Holdings stock appears to be undervalued.
The current stock price of $21.51 is trading 44.5% below its estimated GF Value™ of $38.75.
GuruFocus considers Paymentus Holdings to be Significantly Undervalued.
Key valuation signals for PAY:
Net Margin %: 5.83% (28% above median its 10-year median of 4.54)
GF Value™: $38.75 vs. price of $21.51 (44.5% below fair value)
Industry Position: 129.5% above the Software median (#1081 of 2825)
No single metric tells the full story. See the PAY stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Paymentus Holdings Inc provides electronic bill presentment and payment services, enterprise customer communication and self-service revenue management to billers through a Software-as-a-Service (SaaS), secure, omni-channel technology platform. The platform integrates with a biller's financial and operational systems to provide secure and flexible processing of payments, including credit cards, debit cards, eChecks, and digital wallets, across multiple channels such as online, mobile, IVR, call centers, chatbots, and voice-based assistants. The company generates the majority of its revenue from payment transaction fees processed through its platform. Geographically, it derives the maximum revenue from the United States.
80GF Score
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