Paycom Software (PAYC) Expected to Announce Quarterly Earnings on Wednesday

Key Points

• Paycom Software is set to release its Q2 2025 earnings report on August 6th, with analysts expecting earnings of $1.79 per share and revenue of $472 million.
• In the last quarter, Paycom reported $2.80 earnings per share, exceeding analyst expectations and showing a 6.1% year-over-year revenue growth.
• The company has recently declared a quarterly dividend of $0.375 per share, resulting in an annualized dividend yield of 0.63%.

Paycom Software (NYSE:PAYC - Get Free Report) is expected to post its Q2 2025 quarterly earnings results after the market closes on Wednesday, August 6th. Analysts expect Paycom Software to post earnings of $1.79 per share and revenue of $472.00 million for the quarter. Paycom Software has set its FY 2025 guidance at EPS.

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, beating analysts' consensus estimates of $2.62 by $0.18. Paycom Software had a return on equity of 25.53% and a net margin of 20.60%. The company had revenue of $530.50 million during the quarter, compared to analysts' expectations of $522.92 million. During the same quarter in the prior year, the business earned $2.59 earnings per share. Paycom Software's revenue for the quarter was up 6.1% compared to the same quarter last year. On average, analysts expect Paycom Software to post $7 EPS for the current fiscal year and $8 EPS for the next fiscal year.

Paycom Software Stock Performance

Shares of NYSE PAYC traded down $5.01 during trading on Friday, hitting $226.53. The company had a trading volume of 580,497 shares, compared to its average volume of 463,397. The stock has a 50 day simple moving average of $239.49 and a 200 day simple moving average of $226.32. Paycom Software has a 12 month low of $152.46 and a 12 month high of $267.76. The firm has a market capitalization of $13.10 billion, a P/E ratio of 32.32, a price-to-earnings-growth ratio of 2.55 and a beta of 0.81.

Paycom Software Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, June 9th. Shareholders of record on Tuesday, May 27th were given a dividend of $0.375 per share. The ex-dividend date was Tuesday, May 27th. This represents a $1.50 dividend on an annualized basis and a yield of 0.7%. Paycom Software's dividend payout ratio is 21.40%.

Analyst Ratings Changes

A number of research firms have recently weighed in on PAYC. Stifel Nicolaus raised their price objective on Paycom Software from $187.00 to $215.00 and gave the stock a "hold" rating in a research report on Thursday, May 8th. KeyCorp raised their price objective on Paycom Software from $245.00 to $270.00 and gave the stock an "overweight" rating in a research report on Thursday, May 8th. BMO Capital Markets lifted their price target on Paycom Software from $215.00 to $244.00 and gave the stock a "market perform" rating in a research report on Thursday, May 8th. Piper Sandler lifted their price target on Paycom Software from $224.00 to $246.00 and gave the stock a "neutral" rating in a research report on Thursday, May 8th. Finally, Needham & Company LLC reaffirmed a "hold" rating on shares of Paycom Software in a research report on Thursday, May 8th. Eleven research analysts have rated the stock with a hold rating and one has assigned a buy rating to the company's stock. Based on data from MarketBeat.com, Paycom Software has a consensus rating of "Hold" and an average target price of $226.90.

Insider Transactions at Paycom Software

In other Paycom Software news, COO Randall Peck sold 890 shares of the business's stock in a transaction dated Wednesday, June 4th. The shares were sold at an average price of $263.21, for a total value of $234,256.90. Following the completion of the transaction, the chief operating officer directly owned 49,394 shares of the company's stock, valued at approximately $13,000,994.74. The trade was a 1.77% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CEO Chad R. Richison sold 120,000 shares of Paycom Software 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 sale, the chief executive officer owned 3,307,249 shares of the company's stock, valued at approximately $805,381,276.48. This represents a 3.50% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 172,016 shares of company stock valued at $42,736,608. Company insiders own 10.90% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the business. United Services Automobile Association bought a new position in Paycom Software during the first quarter worth about $215,000. Brighton Jones LLC bought a new position in Paycom Software during the fourth quarter worth about $638,000. Focus Partners Wealth increased its position in Paycom Software by 220.8% during the first quarter. Focus Partners Wealth now owns 3,940 shares of the software maker's stock worth $861,000 after acquiring an additional 2,712 shares during the period. Empowered Funds LLC increased its position in Paycom Software by 22.8% during the first quarter. Empowered Funds LLC now owns 7,958 shares of the software maker's stock worth $1,739,000 after acquiring an additional 1,480 shares during the period. Finally, AQR Capital Management LLC grew its stake in Paycom Software by 23.7% during the first quarter. AQR Capital Management LLC now owns 19,155 shares of the software maker's stock worth $4,136,000 after buying an additional 3,674 shares in the last quarter. Institutional investors and hedge funds own 87.77% of the company's stock.

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.