Paycom Software (NYSE:PAYC) Given New $200.00 Price Target at Stifel Nicolaus

Key Points

• Stifel Nicolaus raised Paycom’s price target to $200 from $120 but maintained a “hold” rating, implying roughly 7.3% downside from the prior close.
• Paycom shares surged 23.5% to $215.81 after the company reported quarterly EPS of $2.78, beating estimates by $0.40, while revenue of $531.2 million rose 9.8% year over year and exceeded forecasts.
• Analyst sentiment remains mixed: the consensus rating is “Hold” with an average price target of $181.15, despite several firms raising their targets and Zacks upgrading the stock to “Strong Buy.”

Paycom Software (NYSE:PAYC - Get Free Report) had its target price hoisted by investment analysts at Stifel Nicolaus from $120.00 to $200.00 in a note issued to investors on Thursday,Benzinga reports. The firm presently has a "hold" rating on the software maker's stock. Stifel Nicolaus' price target points to a potential downside of 7.33% from the stock's previous close.

A number of other research analysts have also recently weighed in on PAYC. Citigroup lifted their price objective on shares of Paycom Software from $120.00 to $136.00 and gave the company a "neutral" rating in a report on Thursday, May 7th. Cantor Fitzgerald raised their price target on shares of Paycom Software from $135.00 to $195.00 and gave the company a "neutral" rating in a research report on Thursday. BMO Capital Markets boosted their price target on shares of Paycom Software from $145.00 to $208.00 and gave the stock a "market perform" rating in a research note on Thursday. Mizuho upped their price objective on Paycom Software from $120.00 to $130.00 and gave the stock a "neutral" rating in a research report on Thursday, May 7th. Finally, Zacks Research upgraded Paycom Software from a "hold" rating to a "strong-buy" rating in a research note on Monday, May 18th. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and nine have given a Hold rating to the company. According to MarketBeat, the company has an average rating of "Hold" and a consensus price target of $181.15.

Paycom Software Trading Up 23.5%

PAYC traded up $41.02 during mid-day trading on Thursday, hitting $215.81. 1,131,615 shares of the stock were exchanged, compared to its average volume of 1,336,417. The firm's fifty day moving average is $141.40 and its two-hundred day moving average is $133.66. Paycom Software has a 1-year low of $104.90 and a 1-year high of $248.95. The company has a market cap of $10.28 billion, a PE ratio of 24.73, a PEG ratio of 1.49 and a beta of 0.76. The company has a current ratio of 1.08, a quick ratio of 1.08 and a debt-to-equity ratio of 0.83.

Paycom Software (NYSE:PAYC - Get Free Report) last released its earnings results on Wednesday, August 5th. The software maker reported $2.78 earnings per share for the quarter, beating the consensus estimate of $2.38 by $0.40. The company had revenue of $531.20 million during the quarter, compared to the consensus estimate of $513.12 million. Paycom Software had a return on equity of 28.34% and a net margin of 22.44%.Paycom Software's revenue was up 9.8% compared to the same quarter last year. During the same period in the previous year, the company posted $2.06 EPS. Equities analysts forecast that Paycom Software will post 9.37 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Paycom Software

Several institutional investors have recently added to or reduced their stakes in the business. Mackenzie Financial Corp boosted its holdings in Paycom Software by 4.0% in the third quarter. Mackenzie Financial Corp now owns 1,624 shares of the software maker's stock worth $338,000 after purchasing an additional 63 shares in the last quarter. Boyd Watterson Asset Management LLC OH increased its holdings in shares of Paycom Software by 0.8% during the 4th quarter. Boyd Watterson Asset Management LLC OH now owns 10,662 shares of the software maker's stock valued at $1,699,000 after acquiring an additional 86 shares during the last quarter. Lido Advisors LLC raised its stake in shares of Paycom Software by 1.4% in the 4th quarter. Lido Advisors LLC now owns 6,286 shares of the software maker's stock valued at $1,081,000 after acquiring an additional 87 shares in the last quarter. Janus Henderson Group PLC boosted its position in Paycom Software by 2.2% during the fourth quarter. Janus Henderson Group PLC now owns 4,090 shares of the software maker's stock worth $652,000 after purchasing an additional 88 shares during the period. Finally, Evoke Wealth LLC grew its holdings in Paycom Software by 2.8% during the fourth quarter. Evoke Wealth LLC now owns 3,335 shares of the software maker's stock valued at $531,000 after purchasing an additional 90 shares during the last quarter. Hedge funds and other 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: Q2 earnings beat expectations: Paycom reported adjusted earnings of $2.78 per share, above the $2.38 consensus estimate and up from $2.06 a year earlier. Revenue increased 9.8% year over year to $531.2 million, exceeding estimates of $513.1 million. Paycom Software Reports Second Quarter 2026 Results
• Positive Sentiment: Raised 2026 forecast: Paycom now expects full-year revenue of approximately $2.197 billion to $2.212 billion and adjusted EBITDA of $1.007 billion to $1.022 billion. The higher outlook reflects steady demand for AI-driven services and expanded automation releases. Paycom Raises Annual Forecast on AI-Driven Demand
• Positive Sentiment: Analysts lifted targets: BTIG Research raised its price target from $160 to $230 and maintained a Buy rating, helping reinforce the bullish reaction to the earnings report. BTIG Raises Paycom Price Target
• Neutral Sentiment: Analyst views remain mixed: BMO Capital Markets raised its target to $208 but kept a Market Perform rating, while Cantor Fitzgerald increased its target to $195 and retained a Neutral rating. These targets suggest some analysts believe much of the improved outlook is already reflected in the stock.

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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