(DAY) Dayforce - Overview
Stock: Cloud HCM Platform, Payroll Software, Workforce Management, Talent Intelligence
EPS (Earnings per Share)
Revenue
| Risk 5d forecast | |
|---|---|
| Volatility | 5.23% |
| Relative Tail Risk | -6.65% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.04 |
| Alpha | -18.78 |
| Character TTM | |
|---|---|
| Beta | 1.137 |
| Beta Downside | 1.325 |
| Drawdowns 3y | |
|---|---|
| Max DD | 39.69% |
| CAGR/Max DD | -0.05 |
Description: DAY Dayforce January 07, 2026
Dayforce, Inc. (NYSE: DAY) is a cloud-based human capital management (HCM) software provider that delivers an integrated platform covering HR, payroll & tax, workforce management, employee benefits, talent intelligence, and a digital wallet. Its product suite also includes Powerpay, a payroll solution aimed at small-business customers, and ancillary services such as implementation consulting, training, and the rental or sale of payroll time-clock hardware. The company sells primarily through a direct sales force supplemented by third-party partners, and operates across the United States, Canada, Australia, and other international markets.
Key recent metrics (FY 2023) show total revenue of roughly **$1.2 billion**, up about **12 % YoY**, driven largely by a **30 % increase in subscription ARR** and a **net dollar retention rate of ~115 %**, indicating strong upsell and cross-sell performance. The small-business segment (Powerpay) contributed approximately **15 % of total revenue** and grew at a faster **18 %** rate, reflecting continued demand for cloud payroll solutions among SMBs. These figures are drawn from the latest earnings release; exact numbers may be refined in the upcoming Q1 2024 filing.
Sector-level drivers that underpin Dayforce’s growth include (1) the **accelerating digital transformation of HR functions**, with enterprise SaaS spending projected to expand at a **10-12 % CAGR** through 2027, (2) **tightening payroll and tax compliance regulations** in North America and Europe, which increase the value of integrated, cloud-native solutions, and (3) the **rise of hybrid and remote work models**, boosting demand for real-time workforce management and digital wallet capabilities. A potential headwind is the **macroeconomic sensitivity of payroll spend**, which could temper new-logo acquisition if hiring slows.
For a deeper, data-driven look at Dayforce’s valuation dynamics and comparable peer analysis, you may find ValueRay’s interactive dashboards useful as a next step in your research.
Piotroski VR‑10 (Strict, 0-10) 3.0
| Net Income: -149.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA -0.32 > 1.0 |
| NWC/Revenue: 12.12% < 20% (prev 36.94%; Δ -24.82% < -1%) |
| CFO/TA 0.03 > 3% & CFO 274.5m > Net Income -149.8m |
| Net Debt (599.3m) to EBITDA (144.2m): 4.16 < 3 |
| Current Ratio: 1.04 > 1.5 & < 3 |
| Outstanding Shares: last quarter (159.8m) vs 12m ago 0.06% < -2% |
| Gross Margin: 52.90% > 18% (prev 0.47%; Δ 5243 % > 0.5%) |
| Asset Turnover: 22.55% > 50% (prev 20.88%; Δ 1.67% > 0%) |
| Interest Coverage Ratio: -2.25 > 6 (EBITDA TTM 144.2m / Interest Expense TTM 29.1m) |
Altman Z'' -0.23
| A: 0.03 (Total Current Assets 5.53b - Total Current Liabilities 5.30b) / Total Assets 8.68b |
| B: -0.06 (Retained Earnings -556.3m / Total Assets 8.68b) |
| C: -0.01 (EBIT TTM -65.5m / Avg Total Assets 8.40b) |
| D: -0.13 (Book Value of Equity -795.6m / Total Liabilities 5.98b) |
| Altman-Z'' Score: -0.23 = B |
Beneish M -3.03
| DSRI: 1.14 (Receivables 325.1m/255.8m, Revenue 1.89b/1.69b) |
| GMI: 0.89 (GM 52.90% / 47.28%) |
| AQI: 0.91 (AQ_t 0.33 / AQ_t-1 0.37) |
| SGI: 1.12 (Revenue 1.89b / 1.69b) |
| TATA: -0.05 (NI -149.8m - CFO 274.5m) / TA 8.68b) |
| Beneish M-Score: -3.03 (Cap -4..+1) = AA |
What is the price of DAY shares?
Over the past week, the price has changed by +1.02%, over one month by +0.68%, over three months by +2.12% and over the past year by +6.56%.
Is DAY a buy, sell or hold?
- StrongBuy: 8
- Buy: 4
- Hold: 7
- Sell: 1
- StrongSell: 0
What are the forecasts/targets for the DAY price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 69.9 | -0.1% |
| Analysts Target Price | 69.9 | -0.1% |
| ValueRay Target Price | 71.6 | 2.4% |
DAY Fundamental Data Overview February 02, 2026
P/S = 5.8552
P/B = 4.1073
P/EG = 5.3581
Revenue TTM = 1.89b USD
EBIT TTM = -65.5m USD
EBITDA TTM = 144.2m USD
Long Term Debt = 631.1m USD (from longTermDebt, last quarter)
Short Term Debt = 587.9m USD (from shortTermDebt, last quarter)
Debt = 1.23b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 599.3m USD (from netDebt column, last quarter)
Enterprise Value = 11.68b USD (11.09b + Debt 1.23b - CCE 627.6m)
Interest Coverage Ratio = -2.25 (Ebit TTM -65.5m / Interest Expense TTM 29.1m)
EV/FCF = 70.48x (Enterprise Value 11.68b / FCF TTM 165.8m)
FCF Yield = 1.42% (FCF TTM 165.8m / Enterprise Value 11.68b)
FCF Margin = 8.76% (FCF TTM 165.8m / Revenue TTM 1.89b)
Net Margin = -7.91% (Net Income TTM -149.8m / Revenue TTM 1.89b)
Gross Margin = 52.90% ((Revenue TTM 1.89b - Cost of Revenue TTM 891.7m) / Revenue TTM)
Gross Margin QoQ = 62.73% (prev 51.24%)
Tobins Q-Ratio = 1.35 (Enterprise Value 11.68b / Total Assets 8.68b)
Interest Expense / Debt = 0.55% (Interest Expense 6.70m / Debt 1.23b)
Taxrate = 21.0% (US default 21%)
NOPAT = -51.7m (EBIT -65.5m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 1.04 (Total Current Assets 5.53b / Total Current Liabilities 5.30b)
Debt / Equity = 0.46 (Debt 1.23b / totalStockholderEquity, last quarter 2.69b)
Debt / EBITDA = 4.16 (Net Debt 599.3m / EBITDA 144.2m)
Debt / FCF = 3.61 (Net Debt 599.3m / FCF TTM 165.8m)
Total Stockholder Equity = 2.63b (last 4 quarters mean from totalStockholderEquity)
RoA = -1.78% (Net Income -149.8m / Total Assets 8.68b)
RoE = -5.69% (Net Income TTM -149.8m / Total Stockholder Equity 2.63b)
RoCE = -2.01% (EBIT -65.5m / Capital Employed (Equity 2.63b + L.T.Debt 631.1m))
RoIC = -1.34% (negative operating profit) (NOPAT -51.7m / Invested Capital 3.85b)
WACC = 9.14% (E(11.09b)/V(12.31b) * Re(10.10%) + D(1.23b)/V(12.31b) * Rd(0.55%) * (1-Tc(0.21)))
Discount Rate = 10.10% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 0.19%
[DCF Debug] Terminal Value 77.66% ; FCFF base≈171.9m ; Y1≈212.1m ; Y5≈361.2m
Fair Price DCF = 27.23 (EV 4.96b - Net Debt 599.3m = Equity 4.36b / Shares 160.0m; r=9.14% [WACC]; 5y FCF grow 25.0% → 2.90% )
EPS Correlation: 85.57 | EPS CAGR: 62.44% | SUE: -3.12 | # QB: 0
Revenue Correlation: 98.10 | Revenue CAGR: 15.33% | SUE: 0.11 | # QB: 0
EPS next Quarter (2026-03-31): EPS=0.68 | Chg30d=+0.000 | Revisions Net=-2 | Analysts=14
EPS next Year (2026-12-31): EPS=2.73 | Chg30d=+0.000 | Revisions Net=-3 | Growth EPS=+20.5% | Growth Revenue=+11.5%