Paycom Software (NYSE:PAYC) Sets New 52-Week Low Following Analyst Downgrade

Paycom Software, Inc. (NYSE:PAYC)’s stock price hit a new 52-week low during mid-day trading on Tuesday after UBS Group lowered their price target on the stock from $245.00 to $210.00. UBS Group currently has a buy rating on the stock. Paycom Software traded as low as $142.88 and last traded at $147.8040, with a volume of 1749756 shares changing hands. The stock had previously closed at $152.29.

Several other analysts have also issued reports on PAYC. KeyCorp cut their price objective on Paycom Software from $290.00 to $250.00 and set an “overweight” rating for the company in a report on Thursday, November 6th. Citigroup lowered their target price on Paycom Software from $191.00 to $185.00 and set a “neutral” rating on the stock in a research note on Tuesday, December 23rd. Barclays cut their price target on Paycom Software from $210.00 to $185.00 and set an “equal weight” rating for the company in a research note on Monday, January 12th. BMO Capital Markets reissued a “market perform” rating and issued a $175.00 price target on shares of Paycom Software in a research note on Friday, January 16th. Finally, JPMorgan Chase & Co. dropped their price objective on Paycom Software from $235.00 to $220.00 and set a “neutral” rating on the stock in a report on Thursday, November 6th. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, eleven have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $209.64.

Insider Buying and Selling at Paycom Software

In related news, CFO Robert D. Foster sold 1,300 shares of the business’s stock in a transaction that occurred on Wednesday, December 10th. The stock was sold at an average price of $162.66, for a total value of $211,458.00. Following the completion of the sale, the chief financial officer directly owned 14,747 shares in the company, valued at approximately $2,398,747.02. The trade was a 8.10% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Insiders own 10.90% of the company’s stock.

Institutional Investors Weigh In On Paycom Software

Several hedge funds have recently modified their holdings of PAYC. UMB Bank n.a. grew its position in shares of Paycom Software by 7.6% in the third quarter. UMB Bank n.a. now owns 789 shares of the software maker’s stock valued at $164,000 after purchasing an additional 56 shares in the last quarter. Applied Finance Capital Management LLC lifted its holdings in Paycom Software by 4.3% during the 2nd quarter. Applied Finance Capital Management LLC now owns 1,425 shares of the software maker’s stock worth $330,000 after purchasing an additional 59 shares in the last quarter. ORG Wealth Partners LLC boosted its stake in Paycom Software by 4.4% in the 3rd quarter. ORG Wealth Partners LLC now owns 1,390 shares of the software maker’s stock worth $289,000 after purchasing an additional 59 shares during the period. Wallace Advisory Group LLC grew its holdings in Paycom Software by 2.7% during the 2nd quarter. Wallace Advisory Group LLC now owns 2,262 shares of the software maker’s stock valued at $494,000 after buying an additional 60 shares in the last quarter. Finally, Mackenzie Financial Corp grew its holdings in Paycom Software by 4.0% during the 3rd quarter. Mackenzie Financial Corp now owns 1,624 shares of the software maker’s stock valued at $338,000 after buying an additional 63 shares in the last quarter. 87.77% of the stock is owned by institutional investors.

Paycom Software Stock Down 1.8%

The stock has a market capitalization of $7.85 billion, a P/E ratio of 17.36, a PEG ratio of 1.49 and a beta of 0.82. The company has a 50-day moving average price of $158.44 and a two-hundred day moving average price of $192.35.

Paycom Software (NYSE:PAYC) last issued its quarterly earnings data on Wednesday, November 5th. The software maker reported $1.94 EPS for the quarter, missing the consensus estimate of $1.96 by ($0.02). The firm had revenue of $493.30 million for the quarter, compared to analysts’ expectations of $492.62 million. Paycom Software had a net margin of 22.65% and a return on equity of 24.79%. Paycom Software’s revenue was up 9.2% on a year-over-year basis. During the same period in the prior year, the firm posted $1.67 EPS. On average, sell-side analysts expect that Paycom Software, Inc. will post 7.15 earnings per share for the current year.

Paycom Software Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, December 8th. Stockholders of record on Monday, November 24th were issued a $0.375 dividend. The ex-dividend date of this dividend was Monday, November 24th. This represents a $1.50 annualized dividend and a dividend yield of 1.1%. Paycom Software’s dividend payout ratio is presently 18.66%.

Paycom Software Company Profile

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.