Paycom Software (NYSE:PAYC) Price Target Raised to $200.00

Paycom Software (NYSE:PAYC) had its price target upped by Stifel Nicolaus from $120.00 to $200.00 in a research note issued to investors on Thursday morning,Benzinga reports. Stifel Nicolaus currently has a hold rating on the software maker’s stock.

A number of other research analysts also recently issued reports on the stock. Cantor Fitzgerald upped their target price on shares of Paycom Software from $135.00 to $195.00 and gave the company a “neutral” rating in a research report on Thursday. Weiss Ratings upgraded shares of Paycom Software from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Thursday, July 16th. BMO Capital Markets boosted their price target on shares of Paycom Software from $145.00 to $208.00 and gave the stock a “market perform” rating in a research note on Thursday. UBS Group cut their price objective on shares of Paycom Software from $210.00 to $183.00 and set a “buy” rating on the stock in a report on Tuesday, April 21st. Finally, Guggenheim raised 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. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and nine have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $204.69.

Paycom Software Trading Down 0.7%

Shares of PAYC opened at $214.52 on Thursday. The company has a quick ratio of 1.08, a current ratio of 1.07 and a debt-to-equity ratio of 1.57. Paycom Software has a 12-month low of $104.90 and a 12-month high of $234.60. The firm has a market capitalization of $10.22 billion, a PE ratio of 22.80, a price-to-earnings-growth ratio of 1.81 and a beta of 0.76. The stock’s fifty day simple moving average is $144.49 and its 200-day simple moving average is $134.69.

Paycom Software (NYSE:PAYC) last posted its quarterly earnings results on Wednesday, August 5th. The software maker reported $2.78 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.38 by $0.40. The business had revenue of $531.20 million for the quarter, compared to analysts’ expectations of $513.12 million. Paycom Software had a return on equity of 37.06% and a net margin of 22.78%.The firm’s quarterly revenue was up 9.8% compared to the same quarter last year. During the same quarter last year, the business earned $2.06 earnings per share. As a group, research analysts predict that Paycom Software will post 9.53 earnings per share for the current year.

Paycom Software Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 8th. Shareholders of record on Monday, August 24th will be issued a $0.375 dividend. The ex-dividend date is Monday, August 24th. This represents a $1.50 annualized dividend and a yield of 0.7%. Paycom Software’s dividend payout ratio (DPR) is 15.94%.

Hedge Funds Weigh In On Paycom Software

Institutional investors and hedge funds have recently made changes to their positions in the company. Equity Investment Corp acquired a new stake in Paycom Software during the 2nd quarter worth $37,085,000. Meeder Advisory Services Inc. acquired a new position in Paycom Software in the second quarter valued at about $283,000. MidFirst Bank bought a new stake in shares of Paycom Software in the second quarter worth about $633,000. BlackRock Inc. bought a new stake in shares of Paycom Software in the second quarter worth about $632,460,000. Finally, Deutsche Bank AG acquired a new stake in shares of Paycom Software during the second quarter worth about $1,268,000. Institutional investors and hedge funds own 87.77% of the company’s stock.

Key Stories Impacting Paycom Software

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

• Positive Sentiment: Q2 results exceeded expectations: Paycom reported $531.2 million in revenue, up 9.8% year over year, and $2.78 in non-GAAP EPS, beating consensus estimates. Recurring sales growth and expanding margins added to the positive reaction. Paycom’s Q2 Earnings Surpass Expectations, Revenues Rise Y/Y
• Positive Sentiment: Management raised its 2026 forecast: Paycom now expects revenue of approximately $2.197 billion to $2.212 billion and adjusted EBITDA of $1.007 billion to $1.022 billion. Free cash flow is expected to exceed $650 million, supporting the improved earnings outlook. Paycom forecasts 2026 revenue and EBITDA
• Positive Sentiment: Automation and AI are improving profitability: Management highlighted savings from automation, internally hosted AI models, and new product releases as drivers of operating leverage and demand for Paycom’s employee-management services. Paycom raises annual forecast on AI-driven demand
• Positive Sentiment: Analysts lifted price targets: KeyBanc raised its target to $270 with an overweight rating, while TD Cowen raised its target to $244 and upgraded the stock to buy. BTIG also increased its target to $230 and maintained a buy rating. Paycom Software analysts boost forecasts
• Neutral Sentiment: Capital returns remain supportive: Paycom repurchased roughly 2.57 million shares for $345.9 million during the quarter, which may enhance per-share results but also reflects substantial cash deployment.
• Negative Sentiment: Some analysts remain cautious at the higher valuation: Barclays, BMO, Stifel, UBS, and Cantor Fitzgerald raised targets but retained neutral or hold-equivalent ratings, with targets ranging from $195 to $210—below the recent market level. Mixed institutional positioning also suggests not all investors share the bullish view.

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.