Citigroup Has Lowered Expectations for Paycom Software (NYSE:PAYC) Stock Price

Posted by Micah Haroldson on Feb 13th, 2026

Paycom Software (NYSE:PAYC – Get Free Report) had its price target decreased by equities research analysts at Citigroup from $185.00 to $128.00 in a note issued to investors on Friday,Benzinga reports. The firm currently has a “neutral” rating on the software maker’s stock. Citigroup’s target price would indicate a potential upside of 1.53% from the stock’s current price.

PAYC has been the topic of a number of other reports. Weiss Ratings lowered shares of Paycom Software from a “hold (c-)” rating to a “sell (d+)” rating in a report on Tuesday, February 3rd. TD Cowen reduced their price objective on Paycom Software from $200.00 to $184.00 and set a “buy” rating on the stock in a research note on Thursday, January 8th. Mizuho lowered their target price on Paycom Software from $180.00 to $120.00 and set a “neutral” rating for the company in a research note on Thursday. BMO Capital Markets cut their price target on Paycom Software from $175.00 to $137.00 and set a “market perform” rating on the stock in a report on Thursday. Finally, JPMorgan Chase & Co. reduced their price target on Paycom Software from $235.00 to $220.00 and set a “neutral” rating on the stock in a research report on Thursday, November 6th. Five investment analysts have rated the stock with a Buy rating, ten have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $168.57.

Get Our Latest Stock Analysis on PAYC

Paycom Software Stock Performance

Shares of NYSE:PAYC traded up $6.31 during trading on Friday, reaching $126.07. The stock had a trading volume of 980,479 shares, compared to its average volume of 1,337,042. Paycom Software has a 1-year low of $104.90 and a 1-year high of $267.76. The stock has a market cap of $7.09 billion, a PE ratio of 15.59, a PEG ratio of 1.25 and a beta of 0.79. The business has a fifty day moving average price of $151.02 and a 200-day moving average price of $184.86.

Paycom Software (NYSE:PAYC – Get Free Report) last announced its quarterly earnings results on Wednesday, February 11th. The software maker reported $2.45 earnings per share for the quarter, beating the consensus estimate of $2.44 by $0.01. The firm had revenue of $544.30 million for the quarter, compared to analysts’ expectations of $542.79 million. Paycom Software had a net margin of 22.10% and a return on equity of 24.21%. The company’s revenue was up 10.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $2.32 EPS. Sell-side analysts expect that Paycom Software will post 7.15 earnings per share for the current year.

Insider Activity

In other news, CFO Robert D. Foster sold 1,300 shares of the company’s stock in a transaction dated Wednesday, December 10th. The shares were sold at an average price of $162.66, for a total value of $211,458.00. Following the completion of the sale, the chief financial officer directly owned 14,747 shares of the company’s stock, valued at approximately $2,398,747.02. This represents a 8.10% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 10.90% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in PAYC. Ethic Inc. purchased a new stake in shares of Paycom Software in the second quarter valued at about $566,000. Aviva PLC raised its position in shares of Paycom Software by 65.2% during the 2nd quarter. Aviva PLC now owns 34,129 shares of the software maker’s stock worth $7,897,000 after purchasing an additional 13,473 shares during the last quarter. United Asset Strategies Inc. purchased a new stake in Paycom Software in the 2nd quarter valued at approximately $877,000. Dillon & Associates Inc. grew its holdings in Paycom Software by 10.9% during the 3rd quarter. Dillon & Associates Inc. now owns 68,153 shares of the software maker’s stock valued at $14,176,000 after buying an additional 6,696 shares during the last quarter. Finally, Allianz Asset Management GmbH increased its position in Paycom Software by 10,106.6% during the third quarter. Allianz Asset Management GmbH now owns 486,957 shares of the software maker’s stock worth $101,355,000 after buying an additional 482,186 shares in the last quarter. 87.77% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Paycom Software

Here are the key news stories impacting Paycom Software this week:

Positive Sentiment: Q4 results beat modestly: PAYC reported $2.45 EPS and $544.3M revenue (up ~10% YoY), marginally topping estimates and showing expanding margins—this provides fundamental support for the stock. Paycom’s Q4 Earnings Surpass Expectations, Revenues Rise Y/Y
Positive Sentiment: Product differentiation: A Forrester-commissioned study found Paycom’s IWant AI delivers significant three-year ROI for clients—evidence that the company’s AI-led product push can support long-term revenue expansion and client retention. New Study Finds Paycom’s IWant Has Delivered Significant ROI
Positive Sentiment: Bullish analyst views and opportunity narratives: Some analysts and outlets are framing the post‑selloff levels as an attractive buying opportunity, which can attract short-term buyers and value-oriented investors. Paycom Software Q4: After The Massive Selloff, An Attractive Opportunity (Upgrade)
Neutral Sentiment: Longer-term style notes: Coverage pieces highlight PAYC as a potential value pick by some screens (Zacks style scores) and show mixed analyst sentiment—useful for investors weighing growth vs. value exposure. Here’s Why Paycom Software (PAYC) is a Strong Value Stock
Negative Sentiment: Weak 2026 revenue outlook: Paycom’s 2026 revenue guidance disappointed Street expectations, triggering near-term selling pressure and investor concern about growth momentum. Payroll software maker Paycom forecasts weak 2026 revenue, shares fall
Negative Sentiment: Analysts cut targets: Multiple firms trimmed price targets (examples: Jefferies, Mizuho, Cantor, Barclays, BMO) after guidance—ratings range from neutral/hold to buy, but the cuts increase near-term downside risk and volatility. Paycom Software Analysts Lower Their Forecasts After Q4 Results
Negative Sentiment: Technical/market pressure: Coverage noted the stock has hit 52‑week lows amid the guidance-driven selloff—this can amplify downside in the near term until guidance confidence is restored. Paycom stock hits 52-week low at $122.52 amid market challenges

About Paycom Software

(Get Free Report)

Paycom Software, Inc (NYSE: PAYC) is a cloud-based human capital management (HCM) software provider that delivers an end-to-end solution for human resources, payroll, talent acquisition, time and labor management, and talent management. Its single-database platform enables organizations to process payroll, track time, administer benefits, and manage recruiting and employee development through a unified system. Paycom’s software is designed to streamline administrative tasks, improve data accuracy, and provide real-time reporting and analytics to support strategic HR decisions.

The company’s core offerings include payroll processing with built-in tax compliance, employee self-service functionality, automated time tracking, and customizable talent acquisition tools that allow employers to create and post job requisitions, screen candidates, and conduct onboarding electronically.