Zacks Research Expects Stronger Earnings for Paycom Software

Paycom Software, Inc. (NYSE:PAYC) – Equities research analysts at Zacks Research lifted their FY2024 earnings estimates for Paycom Software in a research note issued on Wednesday, November 20th. Zacks Research analyst R. Department now expects that the software maker will earn $6.85 per share for the year, up from their previous estimate of $6.56. The consensus estimate for Paycom Software’s current full-year earnings is $6.84 per share. Zacks Research also issued estimates for Paycom Software’s Q4 2024 earnings at $1.59 EPS, Q1 2025 earnings at $2.30 EPS, Q2 2025 earnings at $1.44 EPS, Q3 2025 earnings at $1.55 EPS, Q4 2025 earnings at $1.83 EPS, FY2025 earnings at $7.12 EPS, Q1 2026 earnings at $2.47 EPS, Q2 2026 earnings at $1.71 EPS, Q3 2026 earnings at $1.83 EPS and FY2026 earnings at $8.02 EPS.

A number of other equities analysts also recently commented on the company. Mizuho raised their price objective on Paycom Software from $170.00 to $190.00 and gave the stock a “neutral” rating in a report on Monday, November 4th. TD Cowen lifted their price target on shares of Paycom Software from $171.00 to $188.00 and gave the company a “hold” rating in a research report on Monday, September 23rd. Citigroup boosted their price objective on Paycom Software from $172.00 to $196.00 and gave the stock a “neutral” rating in a research note on Thursday, October 31st. Jefferies Financial Group raised their target price on Paycom Software from $170.00 to $175.00 and gave the company a “hold” rating in a report on Thursday, October 31st. Finally, Barclays upped their price target on Paycom Software from $172.00 to $181.00 and gave the stock an “equal weight” rating in a report on Thursday, October 31st. Twelve equities research analysts have rated the stock with a hold rating and one has assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus target price of $193.67.

Paycom Software Stock Performance

Paycom Software stock opened at $230.32 on Monday. Paycom Software has a 1 year low of $139.50 and a 1 year high of $233.69. The firm has a 50 day moving average price of $185.75 and a 200 day moving average price of $167.42. The company has a market cap of $13.28 billion, a price-to-earnings ratio of 27.72, a PEG ratio of 3.04 and a beta of 1.14.

Paycom Software Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, December 9th. Shareholders of record on Monday, November 25th will be issued a dividend of $0.375 per share. This represents a $1.50 annualized dividend and a yield of 0.65%. The ex-dividend date is Monday, November 25th. Paycom Software’s dividend payout ratio is currently 18.05%.

Insider Activity

In other Paycom Software news, CEO Chad R. Richison sold 1,950 shares of the firm’s stock in a transaction dated Tuesday, August 27th. The shares were sold at an average price of $163.12, for a total value of $318,084.00. Following the transaction, the chief executive officer now owns 3,534,499 shares of the company’s stock, valued at $576,547,476.88. This trade represents a 0.06 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. In the last 90 days, insiders have sold 56,550 shares of company stock worth $10,044,801. 14.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of PAYC. Sylebra Capital LLC boosted its holdings in shares of Paycom Software by 0.3% in the third quarter. Sylebra Capital LLC now owns 1,962,468 shares of the software maker’s stock valued at $326,888,000 after acquiring an additional 5,000 shares in the last quarter. Geode Capital Management LLC grew its stake in shares of Paycom Software by 3.3% in the 3rd quarter. Geode Capital Management LLC now owns 1,426,920 shares of the software maker’s stock worth $237,015,000 after purchasing an additional 45,404 shares during the last quarter. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA grew its stake in shares of Paycom Software by 9.4% in the 2nd quarter. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA now owns 1,069,104 shares of the software maker’s stock worth $152,925,000 after purchasing an additional 92,049 shares during the last quarter. FMR LLC raised its holdings in shares of Paycom Software by 55.0% in the 3rd quarter. FMR LLC now owns 1,007,919 shares of the software maker’s stock worth $167,889,000 after purchasing an additional 357,723 shares in the last quarter. Finally, BNP PARIBAS ASSET MANAGEMENT Holding S.A. lifted its stake in Paycom Software by 1.0% during the third quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. now owns 627,510 shares of the software maker’s stock valued at $104,524,000 after purchasing an additional 6,488 shares during the last quarter. Institutional investors own 87.77% of the company’s stock.

Paycom Software Company Profile

Paycom Software, Inc provides cloud-based human capital management (HCM) solution delivered as software-as-a-service for small to mid-sized companies in the United States. It offers functionality and data analytics that businesses need to manage the employment life cycle from recruitment to retirement.