Head-To-Head Analysis: Paylocity (NASDAQ:PCTY) & Debt Resolve (OTCMKTS:DRSV)

Paylocity (NASDAQ:PCTY) and Debt Resolve (OTCMKTS:DRSV) are both computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, valuation, risk, institutional ownership, profitability, analyst recommendations and dividends.

Analyst Ratings

This is a summary of current ratings for Paylocity and Debt Resolve, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paylocity	0	1	13	0	2.93
Debt Resolve	0	0	0	0	0.00

Paylocity presently has a consensus target price of $213.86, indicating a potential upside of 2.27%. Given Paylocity’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Paylocity is more favorable than Debt Resolve.

Institutional and Insider Ownership

94.8% of Paylocity shares are held by institutional investors. 21.9% of Paylocity shares are held by company insiders. Comparatively, 56.1% of Debt Resolve shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Paylocity and Debt Resolve”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paylocity	$1.40 billion	8.31	$206.77 million	$3.91	53.48
Debt Resolve	N/A	N/A	N/A	N/A	N/A

Paylocity has higher revenue and earnings than Debt Resolve.

Profitability

This table compares Paylocity and Debt Resolve’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paylocity	15.32%	22.92%	5.47%
Debt Resolve	N/A	N/A	N/A

Summary

Paylocity beats Debt Resolve on 8 of the 9 factors compared between the two stocks.

About Paylocity

Paylocity Holding Corporation engages in the provision of cloud-based human capital management and payroll software solutions for workforce in the United States. The company offers payroll software solution for global payroll, expense management, tax services, on demand payment, and garnishment managed services; and time and labor management software for time and attendance, scheduling, and time collection. It also provides human resources (HR) software solutions for employee self-service, compliance, HR edge, data analytics, and workflows and documents, as well as human resource management system; talent management system for recruiting, onboarding, performance, compensation, and learning; and benefits administration software. In addition, the company offers employee experience platform for community, employee voice, recognition and rewards, video, and modern workforce index; HR reporting software; and mobile HR solutions. Further, it provides implementation and training, client, and tax and regulatory services. The company serves for-profit and non-profit organizations across industries, including business services, financial services, healthcare, manufacturing, restaurants, retail, technology, and others. It sells its products through sales representatives. The company was founded in 1997 and is headquartered in Schaumburg, Illinois.

About Debt Resolve

Debt Resolve, Inc. provides software solutions to consumer lenders or those collecting consumer loans using Software-as-a-Service model in the United States. Its solutions facilitate Web-based payments or the resolution of delinquent or defaulted consumer debt. The company also provides services in the student loan document preparation industry. It serves consumer banks, collection agencies, and the buyers of defaulted debt. The company was formerly known as Lombardia Acquisition Corp. and changed its name to Debt Resolve, Inc. in May 2003. Debt Resolve, Inc. was founded in 1997 and is based in Hawthorne, New York. On July 29, 2020, the voluntary petition of Debt Resolve, Inc. for reorganization under Chapter 11 was converted to Chapter 7. It had filed for Chapter 11 bankruptcy on February 3, 2020.