Paylocity Holding Corporation (PCTY)vsPalantir Technologies Inc. (PLTR)
PCTY
Paylocity Holding Corporation
$113.46
+0.71%
TECHNOLOGY · Cap: $5.83B
PLTR
Palantir Technologies Inc.
$141.70
+5.25%
TECHNOLOGY · Cap: $364.80B
Smart Verdict
WallStSmart Research — data-driven comparison
Palantir Technologies Inc. generates 202% more annual revenue ($5.22B vs $1.73B). PLTR leads profitability with a 43.7% 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
PLTR
Strong Buy73
out of 100
Grade: B
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
-78.1%
Fair Value
$76.08
Current Price
$141.70
$65.62 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
Mega-cap, among the largest globally
Keeps 44 of every $100 in revenue as profit
Strong operational efficiency at 46.2%
Revenue surging 84.7% year-over-year
Earnings expanding 325.0% YoY
Conservative balance sheet, low leverage
Areas to Watch
Distress zone — elevated risk
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 40.1x book value
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 : PLTR
The strongest argument for PLTR centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 43.7% and operating margin at 46.2%. Revenue growth of 84.7% demonstrates continued momentum.
Bear Case : PCTY
The primary concerns for PCTY are Altman Z-Score.
Bear Case : PLTR
The primary concerns for PLTR are PEG Ratio, P/E Ratio, Price/Book. A P/E of 172.9x leaves little room for execution misses.
Key Dynamics to Monitor
PCTY profiles as a value stock while PLTR is a growth play — different risk/reward profiles.
PLTR carries more volatility with a beta of 1.52 — expect wider price swings.
PLTR is growing revenue faster at 84.7% — sustainability is the question.
PLTR generates stronger free cash flow (892M), providing more financial flexibility.
Bottom Line
PCTY scores higher overall (74/100 vs 73/100) and 10.5% revenue growth. Both earn "Strong Buy" and "Strong 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.
Palantir Technologies Inc.
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Palantir Technologies Inc. creates and implements software platforms for the intelligence community in the United States to assist in counterterrorism investigations and operations. The company is headquartered in Denver, Colorado.
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