Paycom SoftwareHAM:0PY +2.60%71 PS Ratio is 3.72 as of Jul. 08, 2026, which is 70% below its 10-year median of 12.61. 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 2,775 Software companies, Paycom Software ranks worse than 67.39% on this metric.
The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Paycom Software's share price is €122.50.
Paycom Software's Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2026 was €32.95. Hence, Paycom Software's PS Ratio for today is 3.72.
The historical rank and industry rank for Paycom Software's PS Ratio or its related term are showing as below:
HAM:0PY'
s PS Ratio Range Over the Past 10 Years
Min: 2.96 Med: 12.61 Max: 33.11
Current: 3.75
During the past 13 years, Paycom Software's highest PS Ratio was 33.11. The lowest was 2.96. And the median was 12.61.
HAM:0PY's PS Ratio is ranked worse than 67.39% of 2775
companies
in the Software industry
Industry Median: 2.04
vs HAM:0PY: 3.75
Paycom Software Inc has shown predictable revenue and earnings growth.
During the past 12 months, the average Revenue per Share Growth Rate of Paycom Software was 12.70% per year.
During the past 3 years, the average Revenue per Share Growth Rate was 15.70% per year.
During the past 5 years, the average Revenue per Share Growth Rate was 21.10% per year.
During the past 10 years, the average Revenue per Share Growth Rate was 25.10% per year.
During the past 13 years, Paycom Software's highest 3-Year average Revenue per Share Growth Rate was 36.30% per year. The lowest was 15.70% per year. And the median was 28.90% per year.
Back to Basics: PS Ratio
Paycom Software (HAM:0PY) PS Ratio Explanation
The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.
When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.
The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.
Paycom Software PS Ratio Related Terms
Paycom Software PS Ratio Historical Data
* Premium members only.
The historical data trend for Paycom Software's PS Ratio 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, Paycom Software's PS Ratio, along with its competitors' market caps and PS Ratio 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 PS Ratio vs Software Industry
For the Software industry and Technology sector, Paycom Software's PS Ratio distribution charts can be found below:
* The bar in red indicates where Paycom Software's PS Ratio falls into.
The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.
Paycom Software's Share Price of today is €122.50. Paycom Software's Revenue per Share for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €32.95.
* 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.
It can also be calculated from the numbers for the whole company:
Paycom Software (HAM:0PY) has a PS Ratio of 3.72 as of Jul. 08, 2026. Price-to-Sales ratio is the ratio of share price to a company's revenue per share. View historical data on Paycom Software and its competitors. This is 70% below median its historical median of 12.61. Over the past decade, Paycom Software's PS Ratio has ranged from 2.96 to 33.11. According to the industry distribution chart, Paycom Software ranks #1870 out of 2775 companies in the Software industry, placing it in the top 67.4%.
Is Paycom Software's PS Ratio too high?
Paycom Software's current PS Ratio of 3.72 is 70% below median its 10-year median of 12.61. Over the past 10 years, this metric has ranged from a low of 2.96 to a high of 33.11. The Software industry median PS Ratio is 2.04. Paycom Software's value of 3.72 is 82.4% above this industry median. Based on the distribution chart, Paycom Software ranks #1870 out of 2775 companies in the Software industry, which is below the industry midpoint. 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 PS Ratio compare to ESTC and CVLT?
According to the Software industry distribution chart, Paycom Software ranks #1870 out of 2775 companies for PS Ratio. This places Paycom Software in the lower half of its industry. The industry median PS Ratio is 2.04. Paycom Software's value of 3.72 is 82.4% above this benchmark. Historically, Paycom Software's own PS Ratio has ranged from 2.96 to 33.11 over the past decade. While the company's 10-year median is 12.61 vs. the industry median of 2.04, 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 PS Ratio for a Software company?
The median PS Ratio among Software companies is 2.04, based on 2,775 companies in the industry. Companies in the top quartile (top 25%) have a PS Ratio significantly above this median, while those in the bottom quartile fall well below. However, PS Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Paycom Software's current PS Ratio of 3.72 is 82.4% 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 PS Ratio mean?
A high PS Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Sales ratio is the ratio of share price to a company's revenue per share. View historical data on Paycom Software and its competitors. For the Software industry, the median PS Ratio is 2.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paycom Software's current PS Ratio is 3.72, which is 70% below median its own 10-year median of 12.61. 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 €122.50 — trading 43.6% below its estimated fair value. The current PS Ratio is 3.72, which is 70% below median its 10-year median of 12.61 and 82.4% above the Software industry median of 2.04. 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 PS Ratio calculated?
PS Ratio is calculated from a company's financial statements. For Paycom Software (HAM:0PY), the current PS Ratio is 3.72 as of Jul. 08, 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 €122.50 is trading 43.6% below its estimated GF Value™ of €217.18.
GuruFocus considers Paycom Software to be Significantly Undervalued.
Key valuation signals for HAM:0PY:
PS Ratio: 3.72 (70% below median its 10-year median of 12.61)
GF Value™: €217.18 vs. price of €122.50 (43.6% below fair value)
Industry Position: 82.4% above the Software median (#1870 of 2775)
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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