Paycom Software, Inc. (NYSE:PAYC) Receives Consensus Recommendation of “Hold” from Analysts

Paycom Software, Inc. (NYSE:PAYC) has received an average rating of “Hold” from the fourteen brokerages that are currently covering the company, Marketbeat Ratings reports. One investment analyst has rated the stock with a sell recommendation, seven have issued a hold recommendation, five have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12-month price target among brokerages that have covered the stock in the last year is $159.6667.

A number of equities research analysts have issued reports on the stock. Zacks Research upgraded shares of Paycom Software from a “hold” rating to a “strong-buy” rating in a research report on Monday, May 18th. Mizuho increased their target price on shares of Paycom Software from $120.00 to $130.00 and gave the stock a “neutral” rating in a research report on Thursday, May 7th. Cantor Fitzgerald increased their target price on shares of Paycom Software from $115.00 to $135.00 and gave the stock a “neutral” rating in a research report on Friday, March 6th. BMO Capital Markets raised their price target on shares of Paycom Software from $137.00 to $145.00 and gave the company a “market perform” rating in a report on Thursday, May 7th. Finally, Barclays cut their price target on shares of Paycom Software from $150.00 to $148.00 and set an “equal weight” rating on the stock in a report on Thursday, May 7th.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. CYBER HORNET ETFs LLC bought a new position in shares of Paycom Software during the 2nd quarter valued at $29,000. Caitlin John LLC bought a new position in shares of Paycom Software during the 3rd quarter valued at $29,000. MUFG Securities EMEA plc bought a new position in shares of Paycom Software during the 2nd quarter valued at $33,000. Brown Brothers Harriman & Co. raised its holdings in shares of Paycom Software by 190.6% during the 4th quarter. Brown Brothers Harriman & Co. now owns 154 shares of the software maker’s stock valued at $25,000 after purchasing an additional 101 shares in the last quarter. Finally, True Wealth Design LLC grew its stake in Paycom Software by 946.7% in the 4th quarter. True Wealth Design LLC now owns 157 shares of the software maker’s stock valued at $25,000 after buying an additional 142 shares during the last quarter. Institutional investors own 87.77% of the company’s stock.

Paycom Software Stock Up 1.6%

PAYC stock opened at $134.35 on Friday. Paycom Software has a 12-month low of $104.90 and a 12-month high of $248.95. The company has a quick ratio of 1.08, a current ratio of 1.08 and a debt-to-equity ratio of 0.83. The company has a market cap of $6.40 billion, a price-to-earnings ratio of 15.53, a PEG ratio of 1.17 and a beta of 0.79. The company has a 50 day moving average of $131.34 and a two-hundred day moving average of $138.73.

Paycom Software (NYSE:PAYC) last released its earnings results on Wednesday, May 6th. The software maker reported $3.15 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.99 by $0.16. Paycom Software had a net margin of 22.44% and a return on equity of 28.34%. The company had revenue of $571.80 million during the quarter, compared to the consensus estimate of $564.37 million. During the same quarter in the prior year, the firm earned $2.80 EPS. The company’s revenue was up 7.8% compared to the same quarter last year. On average, equities analysts anticipate that Paycom Software will post 9.16 earnings per share for the current fiscal year.

Paycom Software Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, June 8th. Stockholders of record on Tuesday, May 26th were issued a dividend of $0.375 per share. The ex-dividend date was Tuesday, May 26th. This represents a $1.50 dividend on an annualized basis and a dividend yield of 1.1%. Paycom Software’s dividend payout ratio (DPR) is currently 17.34%.

About Paycom Software

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.