Market Value Added (MVA)
Market value added (MVA) is the difference between a firm fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.
MVA
Paycom Software Inc., MVA calculation
US$ in thousands
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 Fair value of debt. See details »
2 Invested capital. See details »
| Item | Description | The company |
|---|---|---|
| MVA | Paycom Software Inc. market (fair) value less invested capital. | Paycom Software Inc. MVA decreased from 2020 to 2021 and from 2021 to 2022. |
MVA Spread Ratio
Paycom Software Inc., MVA spread ratio calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Market value added (MVA)1 | 16,384,262) | 17,883,226) | 22,384,257) | 16,825,247) | 9,756,049) | |
| Invested capital2 | 1,478,485) | 1,189,369) | 860,024) | 724,133) | 522,609) | |
| Performance Ratio | ||||||
| MVA spread ratio3 | 1,108.18% | 1,503.59% | 2,602.75% | 2,323.50% | 1,866.80% | |
| Benchmarks | ||||||
| MVA Spread Ratio, Competitors4 | ||||||
| Cintas Corp. | 573.07% | 540.75% | 433.42% | 361.84% | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 MVA. See details »
2 Invested capital. See details »
3 2022 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 16,384,262 ÷ 1,478,485 = 1,108.18%
4 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA spread ratio | The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. | Paycom Software Inc. MVA spread ratio deteriorated from 2020 to 2021 and from 2021 to 2022. |
MVA Margin
Paycom Software Inc., MVA margin calculation, comparison to benchmarks
| Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Market value added (MVA)1 | 16,384,262) | 17,883,226) | 22,384,257) | 16,825,247) | 9,756,049) | |
| Revenues | 1,375,218) | 1,055,524) | 841,434) | 737,671) | 566,336) | |
| Add: Increase (decrease) in deferred revenue | 15,990) | 14,600) | 10,582) | 11,593) | 13,027) | |
| Adjusted revenues | 1,391,208) | 1,070,124) | 852,016) | 749,264) | 579,363) | |
| Performance Ratio | ||||||
| MVA margin2 | 1,177.70% | 1,671.14% | 2,627.21% | 2,245.57% | 1,683.93% | |
| Benchmarks | ||||||
| MVA Margin, Competitors3 | ||||||
| Cintas Corp. | 481.79% | 511.81% | 397.03% | 341.21% | — | |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
1 MVA. See details »
2 2022 Calculation
MVA margin = 100 × MVA ÷ Adjusted revenues
= 100 × 16,384,262 ÷ 1,391,208 = 1,177.70%
3 Click competitor name to see calculations.
| Performance ratio | Description | The company |
|---|---|---|
| MVA margin | The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. | Paycom Software Inc. MVA margin ratio deteriorated from 2020 to 2021 and from 2021 to 2022. |