PAYC PEG Ratio Analysis
Updated 101h ago·SEC filings & market data
Key Takeaway
The PEG ratio (price-to-earnings divided by earnings growth rate) of 1.24x means the stock's price is 1.24 times its annual earnings growth, indicating a valuation that is slightly above its growth rate.
Sector Performance
57th percentilePAYC
1.24x
Sector Median
0.97x
Sector Avg
2.92x
Deep Analysis
The PEG ratio (price-to-earnings divided by earnings growth rate) of 1.24x means the stock's price is 1.24 times its annual earnings growth, indicating a valuation that is slightly above its growth rate.
This compares to a sector median of 0.92x, placing PAYC in the 58th percentile among peers—meaning it is more expensive than 58% of similar companies. Trend data is not available: the year-over-year change is listed as N/A, and the quarter-over-quarter change is also N/A. Without any trend direction, it is impossible to assess whether the metric is improving or deteriorating, which limits the ability to gauge momentum. The combination of a PEG slightly above the sector median and no trend data suggests a neutral risk profile—neither a clear bargain nor an indication of overvaluation. This metric supports the overall NEUTRAL verdict, as the PEG ratio does not signal a compelling opportunity or a strong warning.
Frequently Asked Questions
What does the PEG Ratio tell investors about PAYC?
The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.
How is the PEG Ratio calculated?
PEG Ratio is calculated as: P/E Ratio / EPS Growth Rate.
Who are PAYC's closest peers by PEG Ratio?
The closest peers by PEG Ratio include: EBAY (8.15x), VTR (8.27x), DOV (8.39x), MTD (8.61x), KR (9.25x).
Learn More About PEG Ratio
The Formula
P/E Ratio / EPS Growth Rate
Why It Matters
The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.
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1.24x
Sector Median
0.97x
Sector Avg
2.92x
How PAYC's PEG Ratio compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.