Paylocity (NASDAQ:PCTY) Releases Quarterly Earnings Results, Beats Expectations By $0.18 EPS

Key Points

• Paylocity reported an earnings per share (EPS) of $0.99, missing analysts' expectations by $0.40, as they had forecasted $1.39.
• Following the earnings announcement, Paylocity's stock price fell by 1.0% to $181.71, with a significant trading volume of 873,880 shares.
• Despite the earnings miss, analysts maintain a consensus rating of "Moderate Buy" for Paylocity, with a target price averaging $223.13.

Paylocity (NASDAQ:PCTY - Get Free Report) posted its earnings results on Tuesday. The software maker reported $1.56 EPS for the quarter, beating the consensus estimate of $1.38 by $0.18, Briefing.com reports. The firm had revenue of $400.74 million during the quarter, compared to the consensus estimate of $388.25 million. Paylocity had a return on equity of 22.08% and a net margin of 14.24%. The business's quarterly revenue was up 12.2% on a year-over-year basis. During the same period last year, the company earned $1.48 earnings per share. Paylocity updated its FY 2026 guidance to EPS and its Q1 2026 guidance to EPS.

Paylocity Stock Down 2.9%

Shares of NASDAQ PCTY traded down $5.40 during midday trading on Friday, hitting $178.30. 269,409 shares of the stock traded hands, compared to its average volume of 477,038. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.13 and a current ratio of 1.14. Paylocity has a one year low of $146.02 and a one year high of $223.80. The business has a 50 day moving average price of $183.73 and a two-hundred day moving average price of $191.43. The company has a market cap of $9.85 billion, a PE ratio of 44.46, a P/E/G ratio of 3.70 and a beta of 0.54.

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on the stock. UBS Group upped their price target on shares of Paylocity from $201.00 to $202.00 and gave the company a "neutral" rating in a research report on Wednesday. JMP Securities reaffirmed a "market outperform" rating and set a $270.00 target price on shares of Paylocity in a report on Tuesday, April 29th. Mizuho decreased their price target on Paylocity from $245.00 to $220.00 and set an "outperform" rating for the company in a research note on Tuesday, April 15th. Needham & Company LLC reaffirmed a "buy" rating and issued a $250.00 price objective on shares of Paylocity in a research note on Friday, July 18th. Finally, Jefferies Financial Group decreased their target price on shares of Paylocity from $235.00 to $225.00 and set a "buy" rating for the company in a research report on Wednesday. Four equities research analysts have rated the stock with a hold rating and thirteen have assigned a buy rating to the stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $223.19.

Insider Activity

In other Paylocity news, SVP Andrew Cappotelli sold 1,717 shares of the business's stock in a transaction on Monday, June 23rd. The shares were sold at an average price of $176.74, for a total transaction of $303,462.58. Following the completion of the sale, the senior vice president owned 11,953 shares in the company, valued at approximately $2,112,573.22. The trade was a 12.56% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 21.91% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Paylocity

An institutional investor recently raised its position in Paylocity stock. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in shares of Paylocity Holding Corporation (NASDAQ:PCTY - Free Report) by 5.9% in the first quarter, according to its most recent filing with the SEC. The institutional investor owned 136,388 shares of the software maker's stock after purchasing an additional 7,594 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC owned about 0.25% of Paylocity worth $25,551,000 as of its most recent filing with the SEC. 94.76% of the stock is currently owned by institutional investors and hedge funds.

Paylocity Company Profile

Paylocity Holding Corporation engages in the provision of cloud-based human capital management and payroll software solutions for workforce in the United States. The company offers payroll software solution for global payroll, expense management, tax services, on demand payment, and garnishment managed services; and time and labor management software for time and attendance, scheduling, and time collection.