UBS Group Raises Paycom Software (NYSE:PAYC) Price Target to $205.00

Paycom Software (NYSE:PAYC) had its target price boosted by analysts at UBS Group from $195.00 to $205.00 in a note issued to investors on Thursday,Benzinga reports. The firm currently has a “buy” rating on the software maker’s stock. UBS Group’s target price would suggest a potential downside of 4.32% from the company’s current price.

PAYC has been the subject of several other research reports. Mizuho lifted their price target on shares of Paycom Software from $120.00 to $130.00 and gave the company a “neutral” rating in a research report on Thursday, May 7th. TD Cowen dropped their price objective on shares of Paycom Software from $154.00 to $149.00 and set a “buy” rating on the stock in a research note on Friday, June 26th. Stifel Nicolaus lifted their price objective on shares of Paycom Software from $120.00 to $200.00 and gave the company a “hold” rating in a report on Thursday. Zacks Research upgraded shares of Paycom Software from a “hold” rating to a “strong-buy” rating in a report on Monday, May 18th. Finally, Citigroup boosted their price objective on Paycom Software from $120.00 to $136.00 and gave the stock a “neutral” rating in a report on Thursday, May 7th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and nine have issued a Hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $192.92.

Paycom Software Stock Up 22.6%

NYSE:PAYC traded up $39.46 on Thursday, hitting $214.26. The stock had a trading volume of 3,208,881 shares, compared to its average volume of 1,352,544. The business’s fifty day moving average is $141.40 and its 200 day moving average is $133.66. The company has a market cap of $10.21 billion, a PE ratio of 24.64, a P/E/G ratio of 1.49 and a beta of 0.76. The company has a quick ratio of 1.08, a current ratio of 1.08 and a debt-to-equity ratio of 0.83. Paycom Software has a 52 week low of $104.90 and a 52 week high of $248.95.

Paycom Software (NYSE:PAYC) last announced its quarterly earnings data on Wednesday, August 5th. The software maker reported $2.78 EPS for the quarter, beating analysts’ consensus estimates of $2.38 by $0.40. The firm had revenue of $531.20 million during the quarter, compared to analysts’ expectations of $513.12 million. Paycom Software had a return on equity of 28.34% and a net margin of 22.44%.The company’s revenue for the quarter was up 9.8% compared to the same quarter last year. During the same quarter last year, the firm posted $2.06 earnings per share. On average, equities research analysts expect that Paycom Software will post 9.37 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of PAYC. Willis Investment Counsel grew its holdings in shares of Paycom Software by 122.2% during the 4th quarter. Willis Investment Counsel now owns 22,100 shares of the software maker’s stock valued at $3,522,000 after purchasing an additional 12,156 shares during the last quarter. Berkeley Inc lifted its stake in Paycom Software by 47.5% in the fourth quarter. Berkeley Inc now owns 40,794 shares of the software maker’s stock worth $6,501,000 after purchasing an additional 13,140 shares during the last quarter. Northwestern Mutual Wealth Management Co. lifted its stake in Paycom Software by 1,151.4% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 170,854 shares of the software maker’s stock worth $27,227,000 after purchasing an additional 157,201 shares during the last quarter. Principal Financial Group Inc. boosted its position in Paycom Software by 290.5% during the first quarter. Principal Financial Group Inc. now owns 243,762 shares of the software maker’s stock valued at $29,627,000 after buying an additional 181,346 shares during the period. Finally, Robeco Institutional Asset Management B.V. boosted its position in Paycom Software by 230.9% during the fourth quarter. Robeco Institutional Asset Management B.V. now owns 341,286 shares of the software maker’s stock valued at $54,387,000 after buying an additional 238,155 shares during the period. Hedge funds and other institutional investors own 87.77% of the company’s stock.

Trending Headlines about Paycom Software

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

• Positive Sentiment: Q2 beat expectations: Revenue rose 9.8% year over year to $531.2 million, exceeding the $513.1 million consensus estimate. Non-GAAP earnings of $2.78 per diluted share also surpassed expectations and increased from $2.06 a year earlier. Paycom Q2 2026 Results
• Positive Sentiment: Higher 2026 guidance: Management raised its full-year revenue outlook to $2.197 billion–$2.212 billion and adjusted EBITDA guidance to $1.007 billion–$1.022 billion. The improved forecast reflects recurring sales growth, product expansion and expected benefits from automation and internally hosted AI models. Paycom 2026 Forecast
• Positive Sentiment: Capital returns and margins supported sentiment: Paycom repurchased approximately 2.57 million shares for $345.9 million during the quarter, while expanding margins and anticipated free cash flow above $650 million highlighted operating leverage. Paycom Q2 Earnings Call Takeaways
• Positive Sentiment: Analysts lifted targets: BTIG raised its target to $230 and maintained a buy rating, while KeyCorp increased its target to $270 and assigned an overweight rating. These revisions suggest some analysts view the earnings and outlook improvements as warranting a higher valuation. Analyst Forecast Revisions
• Neutral Sentiment: Analyst reactions were mixed: Barclays, BMO Capital Markets, Stifel and Cantor Fitzgerald raised their targets but retained equal-weight, market-perform, hold or neutral ratings.
• Negative Sentiment: The stock’s sharp move has placed it above several revised targets, including Barclays’ $210, BMO’s $208 and Stifel’s $200, suggesting valuation and near-term upside may be more limited for cautious investors.

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.