Paylocity Holding Corporation (PCTY)vsSAP SE ADR (SAP)
PCTY
Paylocity Holding Corporation
$113.46
+0.71%
TECHNOLOGY · Cap: $5.83B
SAP
SAP SE ADR
$184.77
-1.27%
TECHNOLOGY · Cap: $192.92B
Smart Verdict
WallStSmart Research — data-driven comparison
SAP SE ADR generates 2062% more annual revenue ($37.34B vs $1.73B). SAP leads profitability with a 19.6% profit margin vs 14.9%. PCTY appears more attractively valued with a PEG of 0.86. PCTY earns a higher WallStSmart Score of 74/100 (B).
PCTY
Strong Buy74
out of 100
Grade: B
SAP
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+55.3%
Fair Value
$240.76
Current Price
$113.46
$127.30 discount
Margin of Safety
-34.7%
Fair Value
$145.83
Current Price
$184.77
$38.94 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 31.2%
Every $100 of equity generates 22 in profit
Conservative balance sheet, low leverage
Growing faster than its price suggests
Earnings expanding 27.3% YoY
Strong operational efficiency at 30.0%
Safe zone — low bankruptcy risk
Large-cap with strong market position
Generating 3.3B in free cash flow
Areas to Watch
Distress zone — elevated risk
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : PCTY
The strongest argument for PCTY centers on Operating Margin, Return on Equity, Debt/Equity. Revenue growth of 10.5% demonstrates continued momentum. PEG of 0.86 suggests the stock is reasonably priced for its growth.
Bull Case : SAP
The strongest argument for SAP centers on Operating Margin, Altman Z-Score, Market Cap. Profitability is solid with margins at 19.6% and operating margin at 30.0%. PEG of 1.44 suggests the stock is reasonably priced for its growth.
Bear Case : PCTY
The primary concerns for PCTY are Altman Z-Score.
Bear Case : SAP
No major red flags identified for SAP, but monitor valuation.
Key Dynamics to Monitor
PCTY profiles as a value stock while SAP is a mature play — different risk/reward profiles.
SAP carries more volatility with a beta of 0.73 — expect wider price swings.
PCTY is growing revenue faster at 10.5% — sustainability is the question.
SAP generates stronger free cash flow (3.3B), providing more financial flexibility.
Bottom Line
PCTY scores higher overall (74/100 vs 59/100) and 10.5% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Paylocity Holding Corporation
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Paylocity Holding Corporation provides cloud-based payroll and human capital management software solutions for midsize organizations in the United States. The company is headquartered in Schaumburg, Illinois.
SAP SE ADR
TECHNOLOGY · SOFTWARE - APPLICATION · USA
SAP SE is a global enterprise application software company. The company is headquartered in Walldorf, Germany.
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