Paycom Software (PAYC) Competitors

Paycom Software (NYSE:PAYC) and Datadog (NASDAQ:DDOG) are both large-cap computer and technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their valuation, dividends, risk, institutional ownership, analyst recommendations, media sentiment, community ranking, earnings and profitability.

Which has better earnings & valuation, PAYC or DDOG?

Paycom Software has higher earnings, but lower revenue than Datadog. Paycom Software is trading at a lower price-to-earnings ratio than Datadog, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paycom Software	$1.69B	7.49	$340.79M	$8.31	26.46
Datadog	$2.13B	19.97	$48.57M	$0.53	237.91

Does the media prefer PAYC or DDOG?

In the previous week, Datadog had 17 more articles in the media than Paycom Software. MarketBeat recorded 35 mentions for Datadog and 18 mentions for Paycom Software. Paycom Software's average media sentiment score of 0.98 beat Datadog's score of 0.77 indicating that Paycom Software is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Paycom Software	14 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Datadog	19 Very Positive mention(s)	1 Positive mention(s)	10 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has more risk and volatility, PAYC or DDOG?

Paycom Software has a beta of 1.14, meaning that its share price is 14% more volatile than the S&P 500. Comparatively, Datadog has a beta of 1.1, meaning that its share price is 10% more volatile than the S&P 500.

Is PAYC or DDOG more profitable?

Paycom Software has a net margin of 25.78% compared to Datadog's net margin of 7.58%. Paycom Software's return on equity of 32.90% beat Datadog's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Paycom Software	25.78%	32.90%	11.07%
Datadog	7.58%	9.41%	5.09%

Do institutionals and insiders believe in PAYC or DDOG?

87.8% of Paycom Software shares are owned by institutional investors. Comparatively, 78.3% of Datadog shares are owned by institutional investors. 14.5% of Paycom Software shares are owned by company insiders. Comparatively, 11.8% of Datadog shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Does the MarketBeat Community favor PAYC or DDOG?

Paycom Software received 394 more outperform votes than Datadog when rated by MarketBeat users. However, 65.99% of users gave Datadog an outperform vote while only 64.09% of users gave Paycom Software an outperform vote.

Company	Underperform	Outperform
Paycom Software	Outperform Votes 687 64.09%	Underperform Votes 385 35.91%
Datadog	Outperform Votes 293 65.99%	Underperform Votes 151 34.01%

Do analysts rate PAYC or DDOG?

Paycom Software currently has a consensus target price of $193.67, indicating a potential downside of 11.92%. Datadog has a consensus target price of $150.96, indicating a potential upside of 19.73%. Given Datadog's stronger consensus rating and higher probable upside, analysts clearly believe Datadog is more favorable than Paycom Software.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paycom Software	0 Sell rating(s)	11 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.08
Datadog	1 Sell rating(s)	1 Hold rating(s)	25 Buy rating(s)	2 Strong Buy rating(s)	2.97

Summary

Paycom Software beats Datadog on 10 of the 19 factors compared between the two stocks.