Mizuho Issues Positive Forecast for Paycom Software (NYSE:PAYC) Stock Price

Key Points

• Mizuho raised its price target on Paycom from $120 to $130 while keeping a "neutral" rating, implying only about a 3% upside from the prior close.
• The board approved a $2.0 billion buyback and announced a dividend, and management reaffirmed FY‑2026 revenue and adjusted EBITDA guidance, while Q1 revenue beat estimates but mixed EPS reports have created short‑term volatility.
• Analyst coverage is mixed (5 Buys, 11 Holds, 1 Sell) with an average rating of Hold and an average target of $171.50, indicating divergent views despite the company's capital returns and guidance reaffirmation.

Paycom Software (NYSE:PAYC - Get Free Report) had its price objective lifted by stock analysts at Mizuho from $120.00 to $130.00 in a note issued to investors on Thursday,Benzinga reports. The brokerage currently has a "neutral" rating on the software maker's stock. Mizuho's target price suggests a potential upside of 3.03% from the company's previous close.

Several other brokerages have also commented on PAYC. Zacks Research raised shares of Paycom Software from a "strong sell" rating to a "hold" rating in a report on Wednesday, February 18th. Citigroup decreased their target price on Paycom Software from $185.00 to $128.00 and set a "neutral" rating on the stock in a research report on Friday, February 13th. Cantor Fitzgerald upped their price objective on shares of Paycom Software from $115.00 to $135.00 and gave the company a "neutral" rating in a research note on Friday, March 6th. TD Cowen dropped their target price on Paycom Software from $200.00 to $184.00 and set a "buy" rating for the company in a report on Thursday, January 8th. Finally, UBS Group reduced their price target on shares of Paycom Software from $210.00 to $183.00 and set a "buy" rating on the stock in a research report on Tuesday, April 21st. Five equities 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, Paycom Software currently has an average rating of "Hold" and an average target price of $171.50.

Paycom Software Stock Performance

Shares of PAYC opened at $126.18 on Thursday. The business's 50-day moving average is $125.45 and its two-hundred day moving average is $146.62. The company has a market capitalization of $6.01 billion, a P/E ratio of 15.60, a P/E/G ratio of 1.39 and a beta of 0.77. Paycom Software has a fifty-two week low of $104.90 and a fifty-two week high of $267.76.

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

Institutional Trading of Paycom Software

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in PAYC. Aurora Investment Counsel grew its position in shares of 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 acquiring an additional 3,819 shares during the last quarter. Modera Wealth Management LLC boosted its stake in Paycom Software by 13.8% during the 1st 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 period. Aware Super Pty Ltd as trustee of Aware Super purchased a new position in Paycom Software during the 1st quarter worth $12,205,000. Geneos Wealth Management Inc. grew its position in Paycom Software by 81.2% during the 1st quarter. Geneos Wealth Management Inc. now owns 895 shares of the software maker's stock worth $109,000 after purchasing an additional 401 shares during the last quarter. Finally, Maryland State Retirement & Pension System increased its stake in Paycom Software by 299.4% in the first quarter. Maryland State Retirement & Pension System now owns 9,505 shares of the software maker's stock valued at $1,155,000 after purchasing an additional 7,125 shares during the period. Institutional investors and hedge funds own 87.77% of the company's stock.

More Paycom Software News

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

• Positive Sentiment: Board approved a new $2.0 billion buyback and the company announced a dividend — a meaningful return-of-capital that supports the stock and EPS per share over time. Paycom Announces Dividend and New $2 Billion Buyback
• Positive Sentiment: Company reaffirmed FY‑2026 revenue ($2.175B–$2.195B) and adjusted EBITDA ($950M–$970M), signaling management confidence in the outlook. That, combined with the buyback, is supportive of forward earnings. Paycom reaffirms 2026 revenue...
• Positive Sentiment: Quarterly revenue topped estimates (reported ~$571.9M vs. ~564.4M consensus), showing continued top-line growth even as margins/earnings drivers are debated. Paycom’s NYSE: PAYC Q1 CY2026 Sales Top Estimates
• Neutral Sentiment: BMO raised its price target to $145 from $137 but kept a "market perform" rating — marginally positive for valuation but not a strong buy signal. BMO raises price target
• Neutral Sentiment: The full Q1 earnings call transcript is available for investors wanting detail on guidance, client metrics, and margin drivers — useful for parsing mixed headlines. Paycom Q1 2026 Earnings Call Transcript
• Neutral Sentiment: Some outlets report an EPS beat (Zacks: $3.15 vs $2.93), while others report a miss — this inconsistency is creating short-term volatility until figures are reconciled. Paycom Q1 earnings (Zacks)
• Negative Sentiment: At least one widely cited report shows an EPS miss versus consensus (reported $2.87 vs. $2.99), which likely triggered some of today’s selling pressure as investors focus on near-term profitability and margin trends. Paycom Q1 results (MarketBeat)

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.

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