Paycom Software (NYSE:PAYC) Reaches New 52-Week High - Still a Buy?

Shares of Paycom Software, Inc. (NYSE:PAYC - Get Free Report) reached a new 52-week high on Wednesday . The stock traded as high as $261.64 and last traded at $260.25, with a volume of 535336 shares traded. The stock had previously closed at $258.38.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on PAYC shares. JPMorgan Chase & Co. boosted their target price on Paycom Software from $185.00 to $200.00 and gave the stock a "neutral" rating in a research note on Thursday, February 13th. Barclays boosted their target price on Paycom Software from $221.00 to $240.00 and gave the company an "equal weight" rating in a report on Thursday, May 8th. Stifel Nicolaus upped their price objective on Paycom Software from $187.00 to $215.00 and gave the stock a "hold" 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, StockNews.com lowered Paycom Software from a "buy" rating to a "hold" rating in a report on Tuesday, March 4th. Eleven equities research analysts have rated the stock with a hold rating and one has assigned a buy rating to the company. According to data from MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $226.90.

Paycom Software Price Performance

The company has a 50-day moving average of $222.52 and a two-hundred day moving average of $217.81. The stock has a market capitalization of $15.08 billion, a PE ratio of 29.29, a P/E/G ratio of 2.40 and a beta of 0.80.

Paycom Software (NYSE:PAYC - Get Free Report) last released its earnings results on Wednesday, May 7th. The software maker reported $2.80 earnings per share for the quarter, topping the consensus estimate of $2.62 by $0.18. The firm had revenue of $530.50 million for the quarter, compared to the consensus estimate of $522.92 million. Paycom Software had a return on equity of 33.53% and a net margin of 26.66%. The firm's revenue for the quarter was up 6.1% compared to the same quarter last year. During the same period in the prior year, the business posted $2.59 earnings per share. On average, research analysts forecast that Paycom Software, Inc. will post 7.15 EPS for the current fiscal year.

Paycom Software Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, June 9th. Stockholders of record on Tuesday, May 27th will be paid a $0.375 dividend. The ex-dividend date of this dividend is Tuesday, May 27th. This represents a $1.50 dividend on an annualized basis and a dividend yield of 0.58%. Paycom Software's dividend payout ratio (DPR) is currently 21.40%.

Insider Buying and Selling at Paycom Software

In related news, Director J C. Watts, Jr. sold 500 shares of the firm's stock in a transaction that occurred on Monday, February 24th. The stock was sold at an average price of $218.22, for a total value of $109,110.00. Following the sale, the director now owns 7,730 shares of the company's stock, valued at approximately $1,686,840.60. This trade represents a 6.08% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Bradley Scott Smith sold 3,000 shares of Paycom Software stock in a transaction on Thursday, March 13th. The shares were sold at an average price of $201.01, for a total value of $603,030.00. Following the sale, the insider now directly owns 28,733 shares in the company, valued at $5,775,620.33. The trade was a 9.45% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 153,526 shares of company stock worth $37,450,796 in the last 90 days. 10.90% of the stock is owned by corporate insiders.

Institutional Trading of Paycom Software

Institutional investors have recently bought and sold shares of the company. Empowered Funds LLC lifted its position in shares of Paycom Software by 22.8% in the first quarter. Empowered Funds LLC now owns 7,958 shares of the software maker's stock worth $1,739,000 after buying an additional 1,480 shares during the last quarter. MBB Public Markets I LLC acquired a new position in shares of Paycom Software during the 1st quarter worth about $332,000. United Services Automobile Association acquired a new position in shares of Paycom Software during the 1st quarter worth about $215,000. Goldman Sachs Group Inc. lifted its position in shares of Paycom Software by 12.4% during the 1st quarter. Goldman Sachs Group Inc. now owns 633,626 shares of the software maker's stock worth $138,435,000 after purchasing an additional 69,884 shares during the last quarter. Finally, UniSuper Management Pty Ltd lifted its position in shares of Paycom Software by 6.4% during the 1st quarter. UniSuper Management Pty Ltd now owns 8,963 shares of the software maker's stock worth $1,958,000 after purchasing an additional 536 shares during the last quarter. Institutional investors and hedge funds own 87.77% of the company's stock.

Paycom Software Company Profile

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.