Paycom Software (NYSE:PAYC) Coverage Initiated by Analysts at Cantor Fitzgerald

Key Points

• Analysts at Cantor Fitzgerald have initiated coverage of Paycom Software (NYSE:PAYC) with a "neutral" rating and a price target of $230.00, suggesting a potential upside of 3.84% from its previous close.
• Paycom Software recently reported earnings of $2.06 earnings per share (EPS), exceeding analysts' expectations of $1.78, with a 10.5% year-over-year revenue increase to $483.60 million.
• Insider transactions have seen significant selling activity, with notable sales from executives Bradley Scott Smith and Randall Peck, indicating potential shifts in insider confidence or strategy.

Cantor Fitzgerald initiated coverage on shares of Paycom Software (NYSE:PAYC - Get Free Report) in a note issued to investors on Thursday, MarketBeat reports. The firm set a "neutral" rating and a $230.00 price target on the software maker's stock. Cantor Fitzgerald's price objective would indicate a potential upside of 2.41% from the stock's previous close.

A number of other equities research analysts also recently issued reports on the stock. Stifel Nicolaus lifted their price target on shares of Paycom Software from $187.00 to $215.00 and gave the company a "hold" rating in a research report on Thursday, May 8th. KeyCorp lifted their price target on shares of Paycom Software from $285.00 to $290.00 and gave the company an "overweight" rating in a research report on Thursday, August 7th. Barclays lifted their price target on shares of Paycom Software from $240.00 to $250.00 and gave the company an "equal weight" rating in a research report on Thursday, August 7th. BMO Capital Markets lifted their price target on shares of Paycom Software from $244.00 to $258.00 and gave the company a "market perform" rating in a research report on Thursday, August 7th. Finally, Piper Sandler lifted their price target on shares of Paycom Software from $224.00 to $246.00 and gave the company a "neutral" rating in a research report on Thursday, May 8th. One analyst has rated the stock with a Buy rating and eleven have assigned a Hold rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and an average price target of $234.36.

Paycom Software Stock Performance

NYSE:PAYC traded down $0.6950 during mid-day trading on Thursday, reaching $224.5850. The stock had a trading volume of 153,711 shares, compared to its average volume of 624,969. The firm has a market capitalization of $13.00 billion, a price-to-earnings ratio of 30.38, a PEG ratio of 2.37 and a beta of 0.81. Paycom Software has a twelve month low of $153.08 and a twelve month high of $267.76. The business has a 50 day simple moving average of $231.17 and a 200 day simple moving average of $227.73.

Paycom Software (NYSE:PAYC - Get Free Report) last announced its quarterly earnings data on Wednesday, August 6th. The software maker reported $2.06 EPS for the quarter, beating analysts' consensus estimates of $1.78 by $0.28. The firm had revenue of $483.60 million during the quarter, compared to the consensus estimate of $472.00 million. Paycom Software had a net margin of 21.22% and a return on equity of 25.40%. The firm's revenue was up 10.5% compared to the same quarter last year. During the same quarter last year, the firm earned $1.62 earnings per share. As a group, sell-side analysts expect that Paycom Software will post 7.15 earnings per share for the current year.

Insiders Place Their Bets

In other Paycom Software news, CEO Chad R. Richison sold 23,200 shares of Paycom Software stock in a transaction that occurred on Wednesday, June 4th. The shares were sold at an average price of $265.20, for a total value of $6,152,640.00. Following the completion of the sale, the chief executive officer directly owned 3,224,049 shares of the company's stock, valued at approximately $855,017,794.80. The trade was a 0.71% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Bradley Scott Smith sold 1,500 shares of Paycom Software stock in a transaction that occurred on Thursday, June 12th. The stock was sold at an average price of $249.96, for a total transaction of $374,940.00. Following the completion of the sale, the insider directly owned 27,233 shares of the company's stock, valued at $6,807,160.68. The trade was a 5.22% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 25,590 shares of company stock valued at $6,761,837. Company insiders own 10.90% of the company's stock.

Institutional Trading of Paycom Software

Several hedge funds and other institutional investors have recently bought and sold shares of the company. CYBER HORNET ETFs LLC purchased a new stake in Paycom Software in the 2nd quarter worth approximately $29,000. MUFG Securities EMEA plc purchased a new stake in shares of Paycom Software during the 2nd quarter valued at $33,000. Synergy Financial Group LTD grew its stake in shares of Paycom Software by 3.8% during the 2nd quarter. Synergy Financial Group LTD now owns 3,629 shares of the software maker's stock valued at $840,000 after buying an additional 132 shares during the period. Vident Advisory LLC grew its stake in shares of Paycom Software by 128.7% during the 2nd quarter. Vident Advisory LLC now owns 2,715 shares of the software maker's stock valued at $628,000 after buying an additional 1,528 shares during the period. Finally, Tidal Investments LLC grew its stake in shares of Paycom Software by 91.1% during the 2nd quarter. Tidal Investments LLC now owns 12,926 shares of the software maker's stock valued at $2,991,000 after buying an additional 6,162 shares during the period. 87.77% of the stock is owned by hedge funds and other 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.