Paycom Software (PAYC) Expected to Announce 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 projected to announce its Q2 2025 earnings results after the market closes on Wednesday, August 6th. Analysts expect the company to announce 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 announced its earnings results 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 business had revenue of $530.50 million during the quarter, compared to the consensus estimate of $522.92 million. During the same period in the previous year, the company posted $2.59 earnings per share. The firm's revenue was up 6.1% on a year-over-year basis. 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 Paycom Software stock traded down $1.78 during trading on Wednesday, hitting $235.67. 518,005 shares of the company's stock were exchanged, compared to its average volume of 462,783. The business has a 50-day simple moving average of $241.14 and a 200-day simple moving average of $225.88. The stock has a market capitalization of $13.63 billion, a price-to-earnings ratio of 33.62, a PEG ratio of 2.62 and a beta of 0.77. Paycom Software has a 52-week low of $152.46 and a 52-week high of $267.76.

Paycom Software Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Monday, June 9th. Stockholders of record on Tuesday, May 27th were paid a dividend of $0.375 per share. This represents a $1.50 annualized dividend and a dividend yield of 0.64%. The ex-dividend date of this dividend was Tuesday, May 27th. Paycom Software's dividend payout ratio (DPR) is presently 21.40%.

Insiders Place Their Bets

In related news, CEO Chad R. Richison sold 23,200 shares of the business's stock in a transaction that occurred on Wednesday, June 4th. The shares were sold at an average price of $265.20, for a total transaction of $6,152,640.00. Following the completion of the transaction, the chief executive officer 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 ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Bradley Scott Smith sold 1,500 shares of the stock in a transaction on Thursday, June 12th. The stock was sold at an average price of $249.96, for a total value of $374,940.00. Following the completion of the transaction, the insider owned 27,233 shares of the company's stock, valued at approximately $6,807,160.68. This trade represents a 5.22% decrease in their position. The disclosure for this sale can be found here. Insiders sold 172,016 shares of company stock worth $42,736,608 in the last quarter. 10.90% of the stock is currently owned by corporate insiders.

Institutional Trading of Paycom Software

Several hedge funds have recently modified their holdings of PAYC. United Services Automobile Association acquired a new stake in Paycom Software in the 1st quarter valued at approximately $215,000. Empowered Funds LLC boosted its stake in Paycom Software by 22.8% during the 1st 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 last quarter. Focus Partners Wealth grew its position in Paycom Software by 220.8% in the first quarter. Focus Partners Wealth now owns 3,940 shares of the software maker's stock valued at $861,000 after purchasing an additional 2,712 shares in the last quarter. Brighton Jones LLC bought a new position in shares of Paycom Software during the fourth quarter worth approximately $638,000. Finally, AQR Capital Management LLC grew its position in Paycom Software by 23.7% in the first quarter. AQR Capital Management LLC now owns 19,155 shares of the software maker's stock valued at $4,136,000 after acquiring an additional 3,674 shares during the last quarter. 87.77% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

PAYC has been the subject of a number of analyst reports. KeyCorp boosted their price objective on shares of Paycom Software from $245.00 to $270.00 and gave the stock an "overweight" rating in a research note on Thursday, May 8th. Barclays raised their price objective 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 target on shares of Paycom Software from $187.00 to $215.00 and gave the company a "hold" rating in a research note on Thursday, May 8th. Piper Sandler raised their price target on shares of Paycom Software from $224.00 to $246.00 and gave the company a "neutral" rating in a research note on Thursday, May 8th. Finally, Needham & Company LLC reiterated a "hold" rating on shares of Paycom Software in a report on Thursday, May 8th. Eleven equities research analysts have rated the stock with a hold rating and one has issued a buy rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus target price of $226.90.

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.