Fluent Financial LLC Purchases Shares of 19,410 Paycom Software, Inc. $PAYC

Key Points

• Fluent Financial LLC acquired 19,410 Paycom shares worth approximately $2.44 million in the second quarter, making PAYC about 0.9% of its portfolio. Institutional investors and hedge funds collectively own 87.77% of Paycom.
• Paycom beat second-quarter expectations, reporting $531.2 million in revenue, up 9.8% year over year, and non-GAAP EPS of $2.78 versus the $2.38 consensus estimate. Management also raised its 2026 revenue and adjusted EBITDA forecasts, citing automation and AI-driven efficiency.
• Analyst sentiment remains mixed despite several price-target increases: Paycom has an average “Hold” rating and a $204.69 consensus target, below its recent trading level near $214.52. The company also declared a quarterly dividend of $0.375 per share, yielding about 0.7%.

Fluent Financial LLC acquired a new stake in Paycom Software, Inc. (NYSE:PAYC - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The firm acquired 19,410 shares of the software maker's stock, valued at approximately $2,439,000. Paycom Software accounts for about 0.9% of Fluent Financial LLC's portfolio, making the stock its 26th largest position.

Several other institutional investors also recently modified their holdings of PAYC. State Street Corp lifted its stake in Paycom Software by 0.4% in the 4th quarter. State Street Corp now owns 2,165,546 shares of the software maker's stock valued at $345,101,000 after purchasing an additional 8,419 shares during the last quarter. First Trust Advisors LP grew its holdings in Paycom Software by 19.9% during the fourth quarter. First Trust Advisors LP now owns 1,665,529 shares of the software maker's stock worth $265,419,000 after purchasing an additional 275,954 shares during the period. Invesco Ltd. increased its position in Paycom Software by 28.2% during the fourth quarter. Invesco Ltd. now owns 1,559,682 shares of the software maker's stock worth $248,551,000 after buying an additional 343,494 shares during the last quarter. Reinhart Partners LLC. increased its position in Paycom Software by 20.1% during the second quarter. Reinhart Partners LLC. now owns 1,219,906 shares of the software maker's stock worth $153,320,000 after buying an additional 204,191 shares during the last quarter. Finally, Federated Hermes Inc. raised its stake in Paycom Software by 12.7% in the fourth quarter. Federated Hermes Inc. now owns 624,371 shares of the software maker's stock valued at $99,500,000 after buying an additional 70,208 shares during the period. 87.77% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Paycom Software

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

• Positive Sentiment: Q2 results exceeded expectations: Paycom reported $531.2 million in revenue, up 9.8% year over year, and $2.78 in non-GAAP EPS, beating consensus estimates. Recurring sales growth and expanding margins added to the positive reaction. Paycom's Q2 Earnings Surpass Expectations, Revenues Rise Y/Y
• Positive Sentiment: Management raised its 2026 forecast: Paycom now expects revenue of approximately $2.197 billion to $2.212 billion and adjusted EBITDA of $1.007 billion to $1.022 billion. Free cash flow is expected to exceed $650 million, supporting the improved earnings outlook. Paycom forecasts 2026 revenue and EBITDA
• Positive Sentiment: Automation and AI are improving profitability: Management highlighted savings from automation, internally hosted AI models, and new product releases as drivers of operating leverage and demand for Paycom’s employee-management services. Paycom raises annual forecast on AI-driven demand
• Positive Sentiment: Analysts lifted price targets: KeyBanc raised its target to $270 with an overweight rating, while TD Cowen raised its target to $244 and upgraded the stock to buy. BTIG also increased its target to $230 and maintained a buy rating. Paycom Software analysts boost forecasts
• Neutral Sentiment: Capital returns remain supportive: Paycom repurchased roughly 2.57 million shares for $345.9 million during the quarter, which may enhance per-share results but also reflects substantial cash deployment.
• Negative Sentiment: Some analysts remain cautious at the higher valuation: Barclays, BMO, Stifel, UBS, and Cantor Fitzgerald raised targets but retained neutral or hold-equivalent ratings, with targets ranging from $195 to $210—below the recent market level. Mixed institutional positioning also suggests not all investors share the bullish view.

Paycom Software Trading Down 0.2%

PAYC stock opened at $214.52 on Monday. Paycom Software, Inc. has a 52 week low of $104.90 and a 52 week high of $234.60. The company has a market capitalization of $9.67 billion, a PE ratio of 22.80, a price-to-earnings-growth ratio of 1.33 and a beta of 0.75. The company's 50-day simple moving average is $144.49 and its 200 day simple moving average is $134.60. 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 - Get Free Report) last issued its quarterly earnings data on Wednesday, August 5th. The software maker reported $2.78 earnings per share for the quarter, topping the consensus estimate of $2.38 by $0.40. Paycom Software had a net margin of 22.78% and a return on equity of 37.06%. The business had revenue of $531.20 million during the quarter, compared to analysts' expectations of $513.12 million. During the same quarter in the previous year, the company earned $2.06 EPS. The business's revenue was up 9.8% on a year-over-year basis. As a group, sell-side analysts anticipate that Paycom Software, Inc. will post 9.53 earnings per share for the current year.

Paycom Software Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 8th. Stockholders of record on Monday, August 24th will be given a $0.375 dividend. This represents a $1.50 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date is Monday, August 24th. Paycom Software's payout ratio is presently 15.94%.

Analyst Upgrades and Downgrades

PAYC has been the subject of a number of recent analyst reports. Zacks Research raised Paycom Software from a "hold" rating to a "strong-buy" rating in a research report on Monday, May 18th. Guggenheim boosted their target price on Paycom Software from $180.00 to $225.00 and gave the stock a "buy" rating in a report on Thursday. BTIG Research increased their price target on Paycom Software from $160.00 to $230.00 and gave the company a "buy" rating in a research note on Thursday. Mizuho raised their price target on Paycom Software from $120.00 to $130.00 and gave the company a "neutral" rating in a report on Thursday, May 7th. Finally, KeyCorp raised their price target on Paycom Software from $195.00 to $270.00 and gave the company an "overweight" rating in a report on Thursday. One research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $204.69.

Paycom Software 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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