PAYX vs WDAY: Paychex and Workday compared
The short version
From the latest prices and each company's SEC filings. Who's ahead on each measure, not which to buy.
- Workday is the larger company, worth $51.7B, about 1.3 times Paychex.
- Workday grew revenue faster over the last year (+12.8% vs +5.9%).
- Paychex keeps more of each dollar of revenue as operating profit (40.5% vs 10.7%).
- On earnings, Paychex is the cheaper stock (24.1x vs 80.0x).
- Workday's price assumes faster free cash flow growth: about 4% a year, against 3% for Paychex (reverse DCF).
Side by side
The stronger figure is shaded where higher (or, for valuation multiples, lower) reads as better. How the implied growth works.
| Measure | PAYX | WDAY |
|---|---|---|
| Market cap | $39.0B | $51.7B |
| Share price | $103.98 | $186.59 |
| Revenue (last fiscal year) | $6.3B | $9.6B |
| Free cash flow (last fiscal year) | $2.3B | $2.8B |
| Revenue growth, last year | +5.9% | +12.8% |
| Revenue growth per year, last 5 fiscal years | +8.5% | +16.8% |
| Operating margin | 40.5% | 10.7% |
| Net margin | 28.3% | 12.3% |
| Return on equity | 48.7% | 19.4% |
| P/E (trailing) | 24.1x | 80.0x |
| Price / free cash flow | 22.2x | 18.6x |
| EV / EBITDA | 13.8x | 29.0x |
| FCF growth the price implies | 2.7% | 4.1% |
| Dividend yield | — | — |
| Debt / equity | 3.23x | 1.45x |
| Fundamental grade | C | C |
| Superinvestors holding it | 5 | 6 |
| Insider purchases, last 12 months | 10 | 6 |
Results from SEC filings
Revenue and free cash flow by fiscal year, from each company's 10-K filings.
Paychex
| Year | Revenue | Free cash flow | Op. margin |
|---|---|---|---|
| 2022 | $4.6B | $1.5B | 40.4% |
| 2023 | $4.9B | $1.6B | 41.4% |
| 2024 | $5.1B | $1.7B | 42.4% |
| 2025 | $5.4B | $1.7B | 40.8% |
| 2026 | $6.3B | $2.3B | 39.8% |
Workday
| Year | Revenue | Free cash flow | Op. margin |
|---|---|---|---|
| 2022 | $5.1B | — | -2.3% |
| 2023 | $6.2B | $1.3B | -3.6% |
| 2024 | $7.3B | $1.9B | 2.5% |
| 2025 | $8.4B | $2.2B | 4.9% |
| 2026 | $9.6B | $2.8B | 7.5% |
Where the revenue comes from
Paychex · by products, 2026
Management Solutions$4.9B77%
PEO and Insurance Solutions$1.4B23%
Workday · by products, 2026
Subscription services$8.8B92%
Costs of professional services$719M8%
Compare them in fullFifteen years of statements, quarterly results, DCF and IRR models, and any number of peers side by side.
Open PAYX in InvestinglyQuestions
Which is bigger, Paychex or Workday?
Workday (WDAY), at $51.7B against $39.0B.
Is PAYX or WDAY cheaper?
By trailing P/E, Paychex (24.1x) is cheaper than Workday (80.0x). A lower multiple can also mean the market expects less growth.
Which grows faster, PAYX or WDAY?
Workday: revenue grew +12.8% over the last year, against +5.9%.
Prices and ratios as of the last daily update; statements from SEC filings. Information only, not investment advice.