Paylocity Holdng (PCTY)vsSynopsys Inc (SNPS)
PCTY
Paylocity Holdng
$107.94
+5.54%
TECHNOLOGY · Cap: $5.87B
SNPS
Synopsys Inc
$482.60
+0.29%
TECHNOLOGY · Cap: $92.45B
Smart Verdict
WallStSmart Research — data-driven comparison
Synopsys Inc generates 377% more annual revenue ($8.01B vs $1.68B). PCTY leads profitability with a 14.2% profit margin vs 13.8%. PCTY appears more attractively valued with a PEG of 1.13. PCTY earns a higher WallStSmart Score of 68/100 (B-).
PCTY
Strong Buy68
out of 100
Grade: B-
SNPS
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+61.6%
Fair Value
$280.52
Current Price
$107.94
$172.58 discount
Intrinsic value data unavailable for SNPS.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 21 in profit
Earnings expanding 39.4% YoY
Revenue surging 65.5% year-over-year
Large-cap with strong market position
Areas to Watch
Moderate valuation
Distress zone — elevated risk
ROE of 5.5% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : PCTY
The strongest argument for PCTY centers on Return on Equity, EPS Growth. Revenue growth of 10.4% demonstrates continued momentum. PEG of 1.13 suggests the stock is reasonably priced for its growth.
Bull Case : SNPS
The strongest argument for SNPS centers on Revenue Growth, Market Cap. Revenue growth of 65.5% demonstrates continued momentum.
Bear Case : PCTY
The primary concerns for PCTY are P/E Ratio, Altman Z-Score.
Bear Case : SNPS
The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 74.3x leaves little room for execution misses.
Key Dynamics to Monitor
PCTY profiles as a value stock while SNPS is a growth play — different risk/reward profiles.
SNPS carries more volatility with a beta of 1.15 — expect wider price swings.
SNPS is growing revenue faster at 65.5% — sustainability is the question.
SNPS generates stronger free cash flow (822M), providing more financial flexibility.
Bottom Line
PCTY scores higher overall (68/100 vs 47/100) and 10.4% revenue growth. Both earn "Strong Buy" and "Hold" 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 Holdng
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.
Synopsys Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Synopsys is an American electronic design automation company that focuses on silicon design and verification, silicon intellectual property and software security and quality. Products include logic synthesis, behavioral synthesis, place and route, static timing analysis, formal verification, hardware description language (SystemC, SystemVerilog/Verilog, VHDL) simulators, and transistor-level circuit simulation.
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