WallStSmart

Paycom Software, Inc. (PAYC)vsTurtle Beach Corporation (TBCH)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Paycom Software, Inc. generates 602% more annual revenue ($2.09B vs $298.19M). PAYC leads profitability with a 22.4% profit margin vs 0.4%. PAYC appears more attractively valued with a PEG of 0.97. PAYC earns a higher WallStSmart Score of 75/100 (B).

PAYC

Strong Buy

75

out of 100

Grade: B

Growth: 7.3Profit: 8.5Value: 8.7Quality: 4.5
Piotroski: 2/9Altman Z: 1.21

TBCH

Hold

43

out of 100

Grade: D

Growth: 4.0Profit: 3.5Value: 5.0Quality: 7.0
Piotroski: 5/9Altman Z: 1.83
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PAYCUndervalued (+68.5%)

Margin of Safety

+68.5%

Fair Value

$376.50

Current Price

$137.62

$238.88 discount

UndervaluedFair: $376.50Overvalued

Intrinsic value data unavailable for TBCH.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PAYC6 strengths · Avg: 8.8/10
Return on EquityProfitability
57.9%10/10

Every $100 of equity generates 58 in profit

Operating MarginProfitability
36.8%10/10

Strong operational efficiency at 36.8%

Profit MarginProfitability
22.4%9/10

Keeps 22 of every $100 in revenue as profit

PEG RatioValuation
0.978/10

Growing faster than its price suggests

P/E RatioValuation
15.6x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
22.6%8/10

Earnings expanding 22.6% YoY

TBCH2 strengths · Avg: 8.0/10
PEG RatioValuation
1.008/10

Growing faster than its price suggests

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

PAYC2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Altman Z-ScoreHealth
1.212/10

Distress zone — elevated risk

TBCH4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.834/10

Grey zone — moderate risk

Market CapQuality
$265.76M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
1.1%3/10

ROE of 1.1% — below average capital efficiency

Profit MarginProfitability
0.4%3/10

0.4% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : PAYC

The strongest argument for PAYC centers on Return on Equity, Operating Margin, Profit Margin. Profitability is solid with margins at 22.4% and operating margin at 36.8%. PEG of 0.97 suggests the stock is reasonably priced for its growth.

Bull Case : TBCH

The strongest argument for TBCH centers on PEG Ratio, Price/Book. PEG of 1.00 suggests the stock is reasonably priced for its growth.

Bear Case : PAYC

The primary concerns for PAYC are Piotroski F-Score, Altman Z-Score.

Bear Case : TBCH

The primary concerns for TBCH are Altman Z-Score, Market Cap, Return on Equity. A P/E of 669.5x leaves little room for execution misses. Thin 0.4% margins leave little buffer for downturns.

Key Dynamics to Monitor

PAYC profiles as a mature stock while TBCH is a value play — different risk/reward profiles.

TBCH carries more volatility with a beta of 2.29 — expect wider price swings.

PAYC is growing revenue faster at 7.8% — sustainability is the question.

PAYC generates stronger free cash flow (181M), providing more financial flexibility.

Bottom Line

PAYC scores higher overall (75/100 vs 43/100), backed by strong 22.4% margins. 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.

Paycom Software, Inc.

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Paycom Software, Inc., known simply as Paycom, is an American online payroll and human resource technology provider based in Oklahoma City, Oklahoma.

Turtle Beach Corporation

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Turtle Beach Corporation is an audio technology company in North America, Europe, the Middle East, and the Asia Pacific. The company is headquartered in White Plains, New York.

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