BMO Capital Markets Issues Positive Forecast for Paycom Software (NYSE:PAYC) Stock Price

Paycom Software (NYSE:PAYC) had its price target lifted by BMO Capital Markets from $137.00 to $145.00 in a research report sent to investors on Thursday, MarketBeat.com reports. They currently have a market perform rating on the software maker’s stock.

PAYC has been the subject of a number of other reports. Zacks Research raised Paycom Software from a “strong sell” rating to a “hold” rating in a report on Wednesday, February 18th. Weiss Ratings reissued a “sell (d+)” rating on shares of Paycom Software in a report on Friday, May 1st. UBS Group cut their price target on Paycom Software from $210.00 to $183.00 and set a “buy” rating for the company in a report on Tuesday, April 21st. Citigroup cut their price target on Paycom Software from $185.00 to $128.00 and set a “neutral” rating for the company in a report on Friday, February 13th. Finally, Barclays boosted their price objective on shares of Paycom Software from $140.00 to $150.00 and gave the company an “equal weight” rating in a research report on Friday, March 6th. Five research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $159.67.

Paycom Software Trading Up 9.5%

Shares of PAYC opened at $138.38 on Thursday. The stock has a market cap of $6.60 billion, a P/E ratio of 16.00, a PEG ratio of 1.33 and a beta of 0.77. The company has a 50-day moving average of $125.83 and a two-hundred day moving average of $146.19. Paycom Software has a 12-month low of $104.90 and a 12-month high of $267.76.

Paycom Software (NYSE:PAYC) last announced its earnings results on Wednesday, May 6th. The software maker reported $3.15 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.99 by $0.16. The company had revenue of $571.80 million during the quarter, compared to analysts’ expectations of $564.37 million. Paycom Software had a net margin of 22.44% and a return on equity of 24.55%. The firm’s quarterly revenue was up 7.8% compared to the same quarter last year. During the same quarter in the previous year, the business posted $2.80 earnings per share. As a group, analysts forecast that Paycom Software will post 8.59 EPS for the current fiscal year.

Paycom Software Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, June 8th. Investors of record on Tuesday, May 26th will be paid a $0.375 dividend. This represents a $1.50 annualized dividend and a yield of 1.1%. The ex-dividend date is Tuesday, May 26th. Paycom Software’s dividend payout ratio is presently 17.34%.

Hedge Funds Weigh In On Paycom Software

Several institutional investors have recently added to or reduced their stakes in the business. Florida Financial Advisors LLC acquired a new position in Paycom Software in the first quarter valued at $286,000. Dimensional Fund Advisors LP increased its position in Paycom Software by 10.1% during the first quarter. Dimensional Fund Advisors LP now owns 538,376 shares of the software maker’s stock worth $65,435,000 after purchasing an additional 49,460 shares during the last quarter. Parallel Advisors LLC increased its position in Paycom Software by 102.5% during the first quarter. Parallel Advisors LLC now owns 1,776 shares of the software maker’s stock worth $216,000 after purchasing an additional 899 shares during the last quarter. Aurora Investment Counsel increased its position in Paycom Software by 59.6% during the first quarter. Aurora Investment Counsel now owns 10,230 shares of the software maker’s stock worth $1,243,000 after purchasing an additional 3,819 shares during the last quarter. Finally, Modera Wealth Management LLC increased its position in Paycom Software by 13.8% during the first quarter. Modera Wealth Management LLC now owns 9,740 shares of the software maker’s stock worth $1,184,000 after purchasing an additional 1,183 shares during the last quarter. 87.77% of the stock is currently owned by institutional investors and hedge funds.

Key Paycom Software News

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

• Positive Sentiment: Q1 beat and outlook reaffirmed — Paycom posted Q1 EPS of $3.15 (vs. ~ $2.99 consensus) and revenue of $571.8M (+7.8% Y/Y); management reiterated FY26 revenue of $2.175B–$2.195B and adjusted EBITDA of $950M–$970M, supporting confidence in forward results. Business Wire: Q1 Results
• Positive Sentiment: Large buyback / dividend program — the board approved a new $2.0B buyback and the company repurchased ~8.38M shares for ~$1.06B during the quarter, materially reducing share count and boosting EPS accretion. QuiverQuant: Price Move Analysis
• Positive Sentiment: Buy-side analyst upgrades — TD Cowen raised its target to $154 (buy) and BTIG boosted its target to $160 (buy), lending support to the rally by signaling upside from current levels. Benzinga: Analyst Updates
• Neutral Sentiment: Shareholder meeting outcomes — investors re‑elected the board and approved the auditor and executive compensation at the annual meeting, removing governance uncertainty but not directly changing fundamentals. TipRanks: Annual Meeting
• Neutral Sentiment: Mixed analyst actions — several firms tweaked targets (BMO, Barclays, Mizuho, Citigroup) with a mix of raises and hold/neutral ratings; these create varied analyst signals even as some houses turned bullish. Benzinga: Analyst Updates
• Negative Sentiment: Insider selling noted — recent filings show multiple insider sales (no buys) in the past six months, which some investors view as a cautionary signal. QuiverQuant: Insider & Institutional Activity

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.