PaychexFRA:PCX +3.42%84 OCF Margin % is 44.92% as of Feb. 2026, which is 31% above its 10-year median of 34.30. GuruFocus rates FRA:PCX with a GF Score™ of 84/100 and a GF Value™ of €132.58 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 2,812 Software companies, Paychex ranks better than 93.39% on this metric.
The historical rank and industry rank for Paychex's OCF Margin % or its related term are showing as below:
FRA:PCX'
s OCF Margin % Range Over the Past 10 Years
Min: 30.46 Med: 34.3 Max: 37.79
Current: 36.48
During the past 13 years, the highest OCF Margin % of Paychex was 37.79%. The lowest was 30.46%. And the median was 34.30%.
FRA:PCX's OCF Margin % is ranked better than 93.39% of 2812
companies
in the Software industry
Industry Median: 6.745
vs FRA:PCX: 36.48
Paychex OCF Margin % Related Terms
Paychex OCF Margin % Historical Data
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The historical data trend for Paychex's OCF 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 - Application subindustry, Paychex's OCF Margin %, along with its competitors' market caps and OCF 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.
Paychex OCF Margin % vs Software Industry
For the Software industry and Technology sector, Paychex's OCF Margin % distribution charts can be found below:
* The bar in red indicates where Paychex's OCF 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.
Paychex (FRA:PCX) has a OCF Margin % of 44.92% as of Feb. 2026. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Paychex and its competitors. This is 31% above median its historical median of 34.30. Over the past decade, Paychex's OCF Margin % has ranged from 30.46 to 37.79. According to the industry distribution chart, Paychex ranks #186 out of 2812 companies in the Software industry, placing it in the top 6.6%.
Is Paychex's OCF Margin % too high?
Paychex's current OCF Margin % of 44.92% is 31% above median its 10-year median of 34.30. Over the past 10 years, this metric has ranged from a low of 30.46 to a high of 37.79. The Software industry median OCF Margin % is 6.75. Paychex's value of 44.92% is 566% above this industry median. Based on the distribution chart, Paychex ranks #186 out of 2812 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Paychex has a GF Score™ of 84/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Paychex's OCF Margin % compare to WDAY and ROP?
According to the Software industry distribution chart, Paychex ranks #186 out of 2812 companies for OCF Margin %. This places Paychex in the top 7% of its industry — outperforming the majority of peers. The industry median OCF Margin % is 6.75. Paychex's value of 44.92% is 566% above this benchmark. Historically, Paychex's own OCF Margin % has ranged from 30.46 to 37.79 over the past decade. While the company's 10-year median is 34.30 vs. the industry median of 6.75, Paychex 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 OCF Margin % for a Software company?
The median OCF Margin % among Software companies is 6.75, based on 2,812 companies in the industry. Companies in the top quartile (top 25%) have a OCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, OCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Paychex's current OCF Margin % of 44.92% is 566% 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 OCF Margin % mean?
A high OCF Margin % can signal that a stock is expensive relative to its fundamentals. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Paychex and its competitors. For the Software industry, the median OCF Margin % is 6.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paychex's current OCF Margin % is 44.92%, which is 31% above median its own 10-year median of 34.30. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Paychex stock overvalued right now?
Based on GuruFocus' analysis, Paychex (FRA:PCX) is currently considered Significantly Undervalued. The stock's GF Value™ is €132.58, compared to a current price of €85.79 — trading 35.3% below its estimated fair value. The current OCF Margin % is 44.92%, which is 31% above median its 10-year median of 34.30 and 566% above the Software industry median of 6.75. Paychex's overall GF Score™ is 84/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is OCF Margin % calculated?
OCF Margin % is calculated from a company's financial statements. For Paychex (FRA:PCX), the current OCF Margin % is 44.92% as of Feb. 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 Paychex (FRA:PCX) Overvalued in 2026?
Based on GuruFocus' analysis, Paychex stock appears to be undervalued.
The current stock price of €85.79 is trading 35.3% below its estimated GF Value™ of €132.58.
GuruFocus considers Paychex to be Significantly Undervalued.
Key valuation signals for FRA:PCX:
OCF Margin %: 44.92% (31% above median its 10-year median of 34.30)
GF Value™: €132.58 vs. price of €85.79 (35.3% below fair value)
Industry Position: 566% above the Software median (#186 of 2812)
No single metric tells the full story. See the FRA:PCX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Paychex is a cloud-based human capital management provider offering payroll, compliance, talent management, benefits administration, and retirement services. The firm also provides HR outsourcing services, including professional employer organization, or PEO, offerings, enabling clients to reduce HR overhead. Paychex primarily targets small and midsize businesses, although its acquisition of Paycor in 2025 signals the firm's aspirations to expand into the midmarket segment, serving firms with more than 100 employees. As of fiscal 2025, Paychex has approximately 800,000 clients and manages payroll for one in 11 workers in the United States.
84GF Score
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