Paycom Software, Inc. (NYSE:PAYC) Given Average Recommendation of “Hold” by Analysts

Paycom Software, Inc. (NYSE:PAYC) has earned a consensus rating of “Hold” from the eleven brokerages that are currently covering the company, Marketbeat Ratings reports. Ten analysts have rated the stock with a hold recommendation and one has issued a buy recommendation on the company. The average 12 month price target among analysts that have updated their coverage on the stock in the last year is $226.90.

Several research analysts have issued reports on the stock. KeyCorp lifted their target price on shares of Paycom Software from $245.00 to $270.00 and gave the stock an “overweight” rating in a report on Thursday, May 8th. Needham & Company LLC reissued a “hold” rating on shares of Paycom Software in a report on Thursday, May 8th. Piper Sandler boosted their target price on shares of Paycom Software from $224.00 to $246.00 and gave the company a “neutral” rating in a research report on Thursday, May 8th. Stifel Nicolaus boosted their target price on shares of Paycom Software from $187.00 to $215.00 and gave the company a “hold” rating in a research report on Thursday, May 8th. Finally, BMO Capital Markets upped their price target on shares of Paycom Software from $215.00 to $244.00 and gave the stock a “market perform” rating in a research report on Thursday, May 8th.

Insider Activity

In other Paycom Software news, COO Randall Peck sold 890 shares of the stock in a transaction dated Wednesday, June 4th. The shares were sold at an average price of $263.21, for a total transaction of $234,256.90. Following the transaction, the chief operating officer now directly owns 49,394 shares in the company, valued at $13,000,994.74. This represents a 1.77% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Chad R. Richison sold 120,000 shares of the stock in a transaction dated Thursday, May 8th. The stock was sold at an average price of $243.52, for a total transaction of $29,222,400.00. Following the transaction, the chief executive officer now owns 3,307,249 shares in the company, valued at approximately $805,381,276.48. The trade was a 3.50% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 172,016 shares of company stock valued at $42,736,608. 10.90% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in PAYC. Baillie Gifford & Co. boosted its holdings in shares of Paycom Software by 1,918.4% in the 1st quarter. Baillie Gifford & Co. now owns 1,584,493 shares of the software maker’s stock valued at $346,180,000 after buying an additional 1,505,990 shares in the last quarter. FMR LLC boosted its stake in Paycom Software by 137.8% in the 4th quarter. FMR LLC now owns 2,396,452 shares of the software maker’s stock worth $491,201,000 after purchasing an additional 1,388,533 shares in the last quarter. Sylebra Capital LLC raised its position in Paycom Software by 63.8% during the 4th quarter. Sylebra Capital LLC now owns 3,215,085 shares of the software maker’s stock worth $658,996,000 after buying an additional 1,252,617 shares during the last quarter. Alyeska Investment Group L.P. purchased a new position in Paycom Software during the 1st quarter worth approximately $114,440,000. Finally, Arrowstreet Capital Limited Partnership raised its position in Paycom Software by 1,153.4% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 401,889 shares of the software maker’s stock worth $82,375,000 after buying an additional 369,825 shares during the last quarter. 87.77% of the stock is currently owned by institutional investors.

Paycom Software Stock Performance

Paycom Software stock opened at $231.84 on Friday. Paycom Software has a fifty-two week low of $139.50 and a fifty-two week high of $267.76. The firm’s fifty day moving average price is $242.95 and its 200-day moving average price is $223.04. The stock has a market cap of $13.41 billion, a P/E ratio of 33.07, a price-to-earnings-growth ratio of 2.56 and a beta of 0.81.

Paycom Software (NYSE:PAYC) last announced its earnings results on Wednesday, May 7th. The software maker reported $2.80 earnings per share for the quarter, beating analysts’ consensus estimates of $2.62 by $0.18. Paycom Software had a net margin of 20.60% and a return on equity of 25.53%. The firm had revenue of $530.50 million for the quarter, compared to analyst estimates of $522.92 million. During the same quarter in the previous year, the firm posted $2.59 EPS. The company’s revenue for the quarter was up 6.1% compared to the same quarter last year. On average, analysts predict that Paycom Software will post 7.15 earnings per share for the current year.

Paycom Software Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, June 9th. Investors of record on Tuesday, May 27th were paid a dividend of $0.375 per share. This represents a $1.50 dividend on an annualized basis and a yield of 0.65%. The ex-dividend date of this dividend was Tuesday, May 27th. Paycom Software’s payout ratio is 21.40%.

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.