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The Receivables Turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by average Accounts Receivable. An efficient company has a higher accounts receivable turnover ratio while an inefficient company has a lower ratio. Paycom Software's Revenue for the
three
months ended in Mar. 2026 was $572 Mil. Paycom Software's average Accounts Receivable for the
three
months ended in Mar. 2026 was $48 Mil.
Hence, Paycom Software's Receivables Turnover for the
three
months ended in Mar. 2026 was 11.89.
An efficient company has a higher accounts receivable turnover ratio while an inefficient company has a lower ratio. This metric is commonly used to compare companies within the same industry to check whether they are on par with their competitors.
Paycom Software Receivables Turnover Related Terms
Paycom Software Receivables Turnover Historical Data
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The historical data trend for Paycom Software's Receivables Turnover 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.
PAYC vs ESTC, CVLT, NAVN: Receivables Turnover Comparison
For the Software - Application subindustry, Paycom Software's Receivables Turnover, along with its competitors' market caps and Receivables Turnover 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 Receivables Turnover vs Software Industry
For the Software industry and Technology sector, Paycom Software's Receivables Turnover distribution charts can be found below:
* The bar in red indicates where Paycom Software's Receivables Turnover 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 (PAYC) has a Receivables Turnover of 11.89 as of Mar. 2026. The accounts receivables turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by Average Accounts Receivable. View historical data on Paycom Software and its competitors. According to the industry distribution chart, Paycom Software ranks #78 out of 2781 companies in the Software industry, placing it in the top 2.8%.
Is Paycom Software's Receivables Turnover too high?
Paycom Software's current Receivables Turnover is 11.89. The Software industry median Receivables Turnover is 5.72. Paycom Software's value of 11.89 is 107.9% above this industry median. Based on the distribution chart, Paycom Software ranks #78 out of 2781 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 81/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Paycom Software's Receivables Turnover compare to ESTC and CVLT?
According to the Software industry distribution chart, Paycom Software ranks #78 out of 2781 companies for Receivables Turnover. This places Paycom Software in the top 3% of its industry — outperforming the majority of peers. The industry median Receivables Turnover is 5.72. Paycom Software's value of 11.89 is 107.9% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Receivables Turnover for a Software company?
The median Receivables Turnover among Software companies is 5.72, based on 2,781 companies in the industry. Companies in the top quartile (top 25%) have a Receivables Turnover significantly above this median, while those in the bottom quartile fall well below. However, Receivables Turnover should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Paycom Software's current Receivables Turnover of 11.89 is 107.9% 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 Receivables Turnover mean?
A high Receivables Turnover can signal that a stock is expensive relative to its fundamentals. The accounts receivables turnover ratio measures the number of times a company collects its average accounts receivable balance. It is calculated as Revenue divided by Average Accounts Receivable. View historical data on Paycom Software and its competitors. For the Software industry, the median Receivables Turnover is 5.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Paycom Software's current Receivables Turnover is 11.89. 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 (PAYC) is currently considered Significantly Undervalued. The stock's GF Value™ is $256.25, compared to a current price of $144.22 — trading 43.7% below its estimated fair value. The current Receivables Turnover is 11.89 and 107.9% above the Software industry median of 5.72. Paycom Software's overall GF Score™ is 81/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Receivables Turnover calculated?
Receivables Turnover is calculated from a company's financial statements. For Paycom Software (PAYC), the current Receivables Turnover is 11.89 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 (PAYC) Overvalued in 2026?
Based on GuruFocus' analysis, Paycom Software stock appears to be undervalued.
The current stock price of $144.22 is trading 43.7% below its estimated GF Value™ of $256.25.
GuruFocus considers Paycom Software to be Significantly Undervalued.
Key valuation signals for PAYC:
Receivables Turnover: 11.89
GF Value™: $256.25 vs. price of $144.22 (43.7% below fair value)
Industry Position: 107.9% above the Software median (#78 of 2781)
No single metric tells the full story. See the PAYC 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.
81GF Score
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