Paycom Software, Inc. (NYSE:PAYC) Stock Now Rated “Hold” by Wall Street Analysts

Shares of Paycom Software, Inc. (NYSE:PAYC) have been given a consensus rating of “Hold” by the sixteen analysts that are covering the stock, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell rating, ten have assigned a hold rating and five have issued a buy rating on the company. The average twelve-month price objective among brokers that have issued a report on the stock in the last year is $219.79.

Several analysts have issued reports on PAYC shares. Citigroup upped their price target on shares of Paycom Software from $136.00 to $194.00 and gave the company a “neutral” rating in a research report on Friday, August 7th. JPMorgan Chase & Co. lifted their price objective on Paycom Software from $140.00 to $264.00 and gave the stock a “neutral” rating in a report on Tuesday, August 25th. TD Cowen lifted their price objective on Paycom Software from $244.00 to $286.00 and gave the stock a “buy” rating in a report on Friday, October 2nd. BMO Capital Markets boosted their target price on Paycom Software from $145.00 to $208.00 and gave the company a “market perform” rating in a research note on Thursday, August 6th. Finally, BTIG Research increased their target price on Paycom Software from $160.00 to $230.00 and gave the company a “buy” rating in a report on Thursday, August 6th.

Paycom Software Price Performance

Shares of Paycom Software stock opened at $239.02 on Friday. Paycom Software has a 52-week low of $104.90 and a 52-week high of $244.98. The stock has a market capitalization of $10.77 billion, a price-to-earnings ratio of 25.40, a price-to-earnings-growth ratio of 1.28 and a beta of 0.82. The company has a fifty day moving average of $225.33 and a 200-day moving average of $167.09. 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 (NYSE:PAYC) last released its earnings results on Wednesday, August 5th. The software maker reported $2.78 EPS for the quarter, beating the consensus estimate of $2.38 by $0.40. The company had revenue of $531.20 million for the quarter, compared to analyst estimates of $513.12 million. Paycom Software had a net margin of 22.78% and a return on equity of 37.06%. The firm’s quarterly revenue was up 9.8% compared to the same quarter last year. During the same quarter last year, the firm earned $2.06 EPS. Equities research analysts expect that Paycom Software will post 10.64 EPS for the current year.

Paycom Software Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 8th. Investors of record on Monday, August 24th were given a dividend of $0.3750 per share. This represents a $1.50 annualized dividend and a yield of 0.6%. The ex-dividend date was Monday, August 24th. Paycom Software’s dividend payout ratio (DPR) is presently 15.94%.

Insider Buying and Selling

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

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in PAYC. BlackRock Inc. purchased a new stake in Paycom Software during the 2nd quarter valued at $632,460,000. Contour Asset Management LLC purchased a new position in shares of Paycom Software in the fourth quarter valued at about $60,333,000. Bank of New York Mellon Corp purchased a new position in shares of Paycom Software in the second quarter valued at about $42,858,000. River Road Asset Management LLC increased its position in shares of Paycom Software by 481.9% in the fourth quarter. River Road Asset Management LLC now owns 392,403 shares of the software maker’s stock valued at $62,533,000 after acquiring an additional 324,970 shares during the period. Finally, Equity Investment Corp bought a new position in shares of Paycom Software during the second quarter valued at about $37,085,000. Institutional investors own 87.77% of the company’s stock.

About Paycom Software

Paycom Software, Inc develops and provides cloud-based human capital management (HCM) software for businesses. Its platform is designed to help employers manage payroll and other workforce processes through a unified system, reducing the need for separate applications and manual data entry.

The company’s products and services include payroll processing, tax management, time and labor management, talent acquisition, onboarding, talent management, employee benefits administration, expense management, and workforce analytics.