Paycom Software, Inc. (NYSE:PAYC) Receives Consensus Recommendation of "Hold" from Analysts

Shares of Paycom Software, Inc. (NYSE:PAYC - Get Free Report) have earned an average rating of "Hold" from the eleven research firms that are currently covering the stock, MarketBeat reports. Ten equities research analysts have rated the stock with a hold rating and one has issued a buy rating on the company. The average twelve-month price objective among analysts that have updated their coverage on the stock in the last year is $226.90.

A number of research firms have recently commented on PAYC. BMO Capital Markets increased their price objective on shares of Paycom Software from $215.00 to $244.00 and gave the stock a "market perform" rating in a research note on Thursday, May 8th. Piper Sandler upped their target price on shares of Paycom Software from $224.00 to $246.00 and gave the company a "neutral" rating in a report on Thursday, May 8th. KeyCorp upped their target price on shares of Paycom Software from $245.00 to $270.00 and gave the company an "overweight" rating in a report on Thursday, May 8th. Needham & Company LLC reaffirmed a "hold" rating on shares of Paycom Software in a report on Thursday, May 8th. Finally, Stifel Nicolaus upped their target price on shares of Paycom Software from $187.00 to $215.00 and gave the company a "hold" rating in a report on Thursday, May 8th.

Paycom Software Trading Up 2.3%

Shares of Paycom Software stock traded up $5.09 during trading hours on Thursday, reaching $229.81. 481,282 shares of the company's stock were exchanged, compared to its average volume of 621,758. The company has a 50 day moving average of $244.86 and a two-hundred day moving average of $223.95. Paycom Software has a fifty-two week low of $152.45 and a fifty-two week high of $267.76. The stock has a market cap of $13.29 billion, a P/E ratio of 32.78, a P/E/G ratio of 2.46 and a beta of 0.77.

Paycom Software (NYSE:PAYC - Get Free Report) last posted its quarterly earnings data on Wednesday, May 7th. The software maker reported $2.80 EPS for the quarter, topping 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 company had revenue of $530.50 million during the quarter, compared to the consensus estimate of $522.92 million. During the same period in the prior year, the business posted $2.59 EPS. The company's quarterly revenue was up 6.1% on a year-over-year basis. As a group, analysts expect that Paycom Software will post 7.15 earnings per share for the current fiscal year.

Paycom Software Announces Dividend

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

Insider Transactions at Paycom Software

In other news, COO Randall Peck sold 890 shares of the firm's stock in a transaction that occurred on 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 directly owned 49,394 shares of the company's stock, valued at approximately $13,000,994.74. This trade represents a 1.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Chad R. Richison sold 120,000 shares of the firm's stock in a transaction that occurred on 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 directly owned 3,307,249 shares in the company, valued at $805,381,276.48. This represents a 3.50% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, 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

A number of hedge funds have recently added to or reduced their stakes in PAYC. Sylebra Capital LLC boosted its position in Paycom Software by 63.8% in the fourth quarter. Sylebra Capital LLC now owns 3,215,085 shares of the software maker's stock valued at $658,996,000 after buying an additional 1,252,617 shares in the last quarter. FMR LLC lifted its holdings in shares of Paycom Software by 137.8% during the fourth 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 during the period. Baillie Gifford & Co. lifted its holdings in shares of Paycom Software by 1,918.4% during the first quarter. Baillie Gifford & Co. now owns 1,584,493 shares of the software maker's stock worth $346,180,000 after purchasing an additional 1,505,990 shares during the period. Geode Capital Management LLC lifted its holdings in shares of Paycom Software by 6.3% during the fourth quarter. Geode Capital Management LLC now owns 1,516,768 shares of the software maker's stock worth $310,245,000 after purchasing an additional 89,848 shares during the period. Finally, Invesco Ltd. lifted its holdings in shares of Paycom Software by 5.0% during the first quarter. Invesco Ltd. now owns 1,233,057 shares of the software maker's stock worth $269,398,000 after purchasing an additional 58,176 shares during the period. 87.77% of the stock is owned by institutional investors.

About Paycom Software

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.