Paycom Software, Inc. (NYSE:PAYC) Stock Has Consensus Price Target of $256.21

Shares of Paycom Software, Inc. (NYSE:PAYC) have been given a consensus recommendation of “Hold” by the seventeen ratings firms that are covering the firm, Marketbeat.com reports. One equities research analyst has rated the stock with a sell rating, twelve have assigned a hold rating and four have assigned a buy rating to the company. The average 12 month price objective among brokerages that have covered the stock in the last year is $255.36.

Several research analysts recently issued reports on the stock. TD Cowen increased their price target on shares of Paycom Software from $244.00 to $286.00 and gave the stock a “buy” rating in a report on Friday, October 2nd. Bank of America began coverage on shares of Paycom Software in a research note on Tuesday, September 29th. They issued an “underperform” rating and a $200.00 price target on the stock. Needham & Company LLC reiterated a “hold” rating on shares of Paycom Software in a research note on Thursday. BMO Capital Markets raised their price target on Paycom Software from $145.00 to $208.00 and gave the company a “market perform” rating in a report on Thursday, August 6th. Finally, KeyCorp boosted their price objective on shares of Paycom Software from $295.00 to $297.00 and gave the stock an “overweight” rating in a research note on Thursday.

Paycom Software Stock Down 5.5%

Shares of NYSE PAYC opened at $236.21 on Wednesday. The stock has a market capitalization of $10.65 billion, a P/E ratio of 22.63, a PEG ratio of 1.42 and a beta of 0.75. The stock’s fifty day moving average is $238.29 and its 200 day moving average is $166.73. The company has a debt-to-equity ratio of 1.57, a quick ratio of 1.07 and a current ratio of 1.07. Paycom Software has a 52 week low of $104.90 and a 52 week high of $275.22.

Paycom Software (NYSE:PAYC) last posted its earnings results on Wednesday, November 4th. The software maker reported $3.37 EPS for the quarter, topping the consensus estimate of $2.81 by $0.56. The business had revenue of $543.80 million during the quarter, compared to analysts’ expectations of $535.26 million. Paycom Software had a return on equity of 37.06% and a net margin of 22.78%. The firm’s revenue was up 10.2% on a year-over-year basis. During the same period in the previous year, the business earned $1.94 earnings per share. Sell-side analysts forecast that Paycom Software will post 10.80 earnings per share for the current fiscal year.

Paycom Software Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, December 7th. Investors of record on Monday, November 23rd will be issued a dividend of $0.3750 per share. The ex-dividend date of this dividend is Monday, November 23rd. This represents a $1.50 annualized dividend and a yield of 0.6%. Paycom Software’s payout ratio is presently 15.94%.

Insider Buying and Selling at Paycom Software

In other Paycom Software news, insider Shane Hadlock sold 2,577 shares of the business’s stock in a transaction on Thursday, August 27th. The shares were sold at an average price of $237.60, for a total value of $612,295.20. Following the sale, the insider owned 70,152 shares of the company’s stock, valued at $16,668,115.20. The trade was a 3.54% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Company insiders own 13.20% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Diversified Trust Co raised its stake in Paycom Software by 53.5% during the 3rd quarter. Diversified Trust Co now owns 11,346 shares of the software maker’s stock valued at $2,469,000 after purchasing an additional 3,953 shares during the period. Allworth Financial LP increased its position in Paycom Software by 7.5% during the third quarter. Allworth Financial LP now owns 1,505 shares of the software maker’s stock worth $328,000 after buying an additional 105 shares during the period. Russell Investments Group Ltd. increased its stake in shares of Paycom Software by 29.1% during the 3rd quarter. Russell Investments Group Ltd. now owns 102,799 shares of the software maker’s stock worth $22,450,000 after purchasing an additional 23,146 shares in the last quarter. Fifth Third Bancorp lifted its stake in shares of Paycom Software by 125.8% during the third quarter. Fifth Third Bancorp now owns 47,541 shares of the software maker’s stock worth $10,347,000 after purchasing an additional 26,488 shares in the last quarter. Finally, Maryland State Retirement & Pension System lifted its stake in Paycom Software by 30.1% in the third quarter. Maryland State Retirement & Pension System now owns 10,960 shares of the software maker’s stock valued at $2,385,000 after buying an additional 2,535 shares during the last quarter. 87.77% of the stock is owned by institutional investors.

More Paycom Software News

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

• Positive Sentiment: Paycom beat third-quarter earnings expectations, with EPS of $3.37 versus the cited $2.76 consensus. Earnings growth, higher revenue, and margin gains were linked to wider adoption of automation; the company also raised its 2026 revenue and EBITDA guidance. Paycom Q3 Earnings Beat Estimates on Revenue Growth, Margin Gains
• Positive Sentiment: KeyCorp raised its price target to $297 and maintained an overweight rating, signaling confidence in further upside. KeyCorp recommendations
• Positive Sentiment: Paycom declared its first cash dividend, adding a shareholder-return component to the investment case. Paycom declares its first cash dividend
• Neutral Sentiment: JPMorgan raised its target slightly, from $264 to $265, but kept a neutral rating. JPMorgan recommendations
• Negative Sentiment: BTIG downgraded PAYC from buy to neutral, a more cautious view that could pressure shares despite the earnings beat. BTIG Research recommendations
• Negative Sentiment: Citigroup cut its target from $279 to $264 and retained a neutral rating. Other coverage also raised questions about whether Paycom’s shares are fully valued after a strong run, tempering the positive results. Citigroup recommendations Paycom stock could be rich despite raised guidance

About Paycom Software

Paycom Software, Inc is a provider of cloud-based human capital management (HCM) software designed to help businesses manage employee-related processes through a unified platform. Its solutions support payroll, human resources, talent acquisition and management, time and labor management, compliance, and employee engagement.

The company’s software is intended to allow employers and employees to enter and manage workforce information within a single system. Its offerings include payroll processing, benefits administration, expense management, scheduling, performance management, learning, and recruiting tools.