Paycom Software (NYSE:PAYC) Price Target Raised to $244.00 at TD Cowen

Paycom Software (NYSE:PAYC) had its target price raised by equities researchers at TD Cowen from $149.00 to $244.00 in a report released on Thursday,Benzinga reports. The firm currently has a “buy” rating on the software maker’s stock. TD Cowen’s price objective would indicate a potential upside of 12.75% from the stock’s previous close.

A number of other equities research analysts also recently weighed in on the stock. BTIG Research raised their price target on shares of Paycom Software from $160.00 to $230.00 and gave the company a “buy” rating in a research note on Thursday. Guggenheim increased their price objective on shares of Paycom Software from $180.00 to $225.00 and gave the company a “buy” rating in a research note on Thursday. Weiss Ratings raised shares of Paycom Software from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Thursday, July 16th. BMO Capital Markets increased their price target on Paycom Software from $145.00 to $208.00 and gave the company a “market perform” rating in a research note on Thursday. Finally, Mizuho boosted their price objective on Paycom Software from $120.00 to $130.00 and gave the stock a “neutral” rating in a research report on Thursday, May 7th. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat.com, Paycom Software currently has a consensus rating of “Hold” and a consensus price target of $200.23.

Paycom Software Price Performance

Shares of PAYC stock traded up $41.60 during trading hours on Thursday, reaching $216.40. The company’s stock had a trading volume of 3,309,190 shares, compared to its average volume of 1,353,007. The firm’s 50 day simple moving average is $141.40 and its 200-day simple moving average is $133.66. The company has a market capitalization of $10.31 billion, a price-to-earnings ratio of 24.77, a PEG ratio of 1.49 and a beta of 0.76. Paycom Software has a fifty-two week low of $104.90 and a fifty-two week 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.

Paycom Software (NYSE:PAYC) last announced its quarterly earnings data on Wednesday, August 5th. The software maker reported $2.78 earnings per share for the quarter, topping the consensus estimate of $2.38 by $0.40. The business had revenue of $531.20 million during the quarter, compared to the consensus estimate of $513.12 million. Paycom Software had a return on equity of 28.34% and a net margin of 22.44%.Paycom Software’s revenue for the quarter was up 9.8% on a year-over-year basis. During the same period in the prior year, the company earned $2.06 EPS. Sell-side analysts forecast that Paycom Software will post 9.37 earnings per share for the current year.

Hedge Funds Weigh In On Paycom Software

A number of institutional investors and hedge funds have recently modified their holdings of PAYC. Brown Brothers Harriman & Co. boosted its stake in Paycom Software by 190.6% during the fourth quarter. Brown Brothers Harriman & Co. now owns 154 shares of the software maker’s stock worth $25,000 after acquiring an additional 101 shares in the last quarter. Clearstead Advisors LLC raised its holdings in shares of Paycom Software by 140.3% during the fourth quarter. Clearstead Advisors LLC now owns 161 shares of the software maker’s stock valued at $26,000 after purchasing an additional 94 shares during the period. CYBER HORNET ETFs LLC acquired a new position in shares of Paycom Software during the second quarter valued at about $29,000. MUFG Securities EMEA plc bought a new position in shares of Paycom Software during the 2nd quarter worth about $33,000. Finally, Palisade Asset Management LLC acquired a new stake in shares of Paycom Software in the 3rd quarter valued at about $33,000. 87.77% of the stock is currently owned by institutional investors.

Paycom Software News Summary

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.