BMO Capital Markets Forecasts Strong Price Appreciation for Paycom Software (NYSE:PAYC) Stock

Paycom Software (NYSE:PAYC - Get Free Report) had its price objective boosted by equities research analysts at BMO Capital Markets from $137.00 to $145.00 in a research report issued on Thursday. The firm presently has a "market perform" rating on the software maker's stock. BMO Capital Markets' target price points to a potential upside of 14.92% from the stock's current price.

Other research analysts also recently issued research reports about the company. Jefferies Financial Group reduced their target price on Paycom Software from $190.00 to $130.00 and set a "hold" rating on the stock in a report on Thursday, February 12th. Mizuho dropped their target price on Paycom Software from $180.00 to $120.00 and set a "neutral" rating on the stock in a report on Thursday, February 12th. Guggenheim cut their price objective on Paycom Software from $210.00 to $180.00 and set a "buy" rating for the company in a research report on Thursday, February 12th. Citigroup lowered their price objective on shares of Paycom Software from $185.00 to $128.00 and set a "neutral" rating on the stock in a research report on Friday, February 13th. Finally, Barclays increased their price target on shares of Paycom Software from $140.00 to $150.00 and gave the stock an "equal weight" rating in a research report on Friday, March 6th. Five research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus price target of $169.36.

Paycom Software Stock Performance

PAYC opened at $126.18 on Thursday. The firm has a 50 day moving average price of $125.45 and a 200 day moving average price of $146.62. Paycom Software has a 1 year low of $104.90 and a 1 year high of $267.76. The company has a market cap of $6.01 billion, a PE ratio of 15.60, a price-to-earnings-growth ratio of 1.39 and a beta of 0.77.

Paycom Software (NYSE:PAYC - Get Free Report) last released its quarterly earnings results on Wednesday, February 11th. The software maker reported $2.45 EPS for the quarter, topping the consensus estimate of $2.44 by $0.01. The firm had revenue of $544.30 million for the quarter, compared to analyst estimates of $542.79 million. Paycom Software had a return on equity of 24.25% and a net margin of 22.10%.Paycom Software's revenue for the quarter was up 10.2% on a year-over-year basis. During the same period in the previous year, the company posted $2.32 EPS. On average, sell-side analysts predict that Paycom Software will post 8.59 earnings per share for the current year.

Hedge Funds Weigh In On Paycom Software

A number of institutional investors and hedge funds have recently bought and sold shares of PAYC. True Wealth Design LLC grew its position in Paycom Software by 946.7% in the 4th quarter. True Wealth Design LLC now owns 157 shares of the software maker's stock worth $25,000 after purchasing an additional 142 shares during the last quarter. Brown Brothers Harriman & Co. lifted its stake in shares of Paycom Software by 190.6% in the fourth quarter. Brown Brothers Harriman & Co. now owns 154 shares of the software maker's stock valued at $25,000 after buying an additional 101 shares during the period. Clearstead Advisors LLC grew its position in Paycom Software by 140.3% during the fourth quarter. Clearstead Advisors LLC now owns 161 shares of the software maker's stock worth $26,000 after buying an additional 94 shares in the last quarter. Caitlin John LLC acquired a new stake in Paycom Software during the third quarter worth about $29,000. Finally, CYBER HORNET ETFs LLC bought a new position in Paycom Software during the second quarter valued at about $29,000. Institutional investors own 87.77% of the company's stock.

Key Paycom Software News

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

• Positive Sentiment: Paycom announced a quarterly cash dividend of $0.375 per share and a new $2.0 billion share‑repurchase program, which boosts capital-return potential and supports per‑share metrics. Article Title
• Positive Sentiment: Separately reported authorization of a $2.0B repurchase program was highlighted by MarketWatch, signaling management confidence and potential support for the stock over time. Article Title
• Positive Sentiment: Paycom expanded a $2.13 billion credit facility, improving liquidity and optionality to fund buybacks/dividends or other corporate uses — a factor that earlier lifted the stock. Article Title
• Neutral Sentiment: The company published its Q1 2026 results and commentary; management described execution on its strategy but guidance language in filings/updates was ambiguous in the feeds provided (revenue referenced around $2.2B, EPS guidance not clearly reported). Investors will watch the formal 10-Q/earnings transcript for clarity. Article Title
• Negative Sentiment: Reported EPS of $2.87 for the quarter missed consensus ($2.99), which, combined with any unclear forward EPS commentary, likely pressured the stock as investors reassessed near‑term growth and margins. Full release and metrics here. Press Release PDF

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.

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