Paylocity (NASDAQ:PCTY) Upgraded by Cantor Fitzgerald to Strong-Buy Rating

Key Points

• Paylocity has been upgraded to a "strong-buy" rating by Cantor Fitzgerald, with earnings estimates for FY2026 projected at $5.53 EPS.
• Several analysts have varied ratings for Paylocity, with an average rating of "Moderate Buy" and a consensus target price of $222.71.
• Paylocity's latest earnings report showed a 12.2% year-over-year revenue growth, with $400.74 million in revenue and an EPS of $1.56, surpassing estimates.

Cantor Fitzgerald upgraded shares of Paylocity (NASDAQ:PCTY - Free Report) to a strong-buy rating in a research report released on Thursday morning,Zacks.com reports. Cantor Fitzgerald also issued estimates for Paylocity's FY2026 earnings at $5.53 EPS.

A number of other research firms also recently commented on PCTY. KeyCorp increased their price objective on Paylocity from $220.00 to $225.00 and gave the company an "overweight" rating in a report on Wednesday, August 6th. Stephens began coverage on Paylocity in a research note on Monday, July 21st. They set an "equal weight" rating and a $200.00 price target on the stock. Barclays dropped their price target on Paylocity from $209.00 to $190.00 and set an "equal weight" rating on the stock in a research note on Monday, July 21st. Needham & Company LLC restated a "buy" rating and set a $250.00 price target on shares of Paylocity in a research note on Friday, July 18th. Finally, Jefferies Financial Group dropped their price target on Paylocity from $235.00 to $225.00 and set a "buy" rating on the stock in a research note on Wednesday, August 6th. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat.com, Paylocity has a consensus rating of "Moderate Buy" and an average target price of $222.71.

Paylocity Stock Down 1.3%

Shares of PCTY traded down $2.25 during mid-day trading on Thursday, reaching $169.68. The company's stock had a trading volume of 423,119 shares, compared to its average volume of 483,309. Paylocity has a 12-month low of $154.91 and a 12-month high of $223.80. The stock has a market cap of $9.36 billion, a PE ratio of 42.31, a price-to-earnings-growth ratio of 3.23 and a beta of 0.51. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.14 and a quick ratio of 1.14. The company's 50 day moving average is $179.79 and its 200 day moving average is $185.35.

Paylocity (NASDAQ:PCTY - Get Free Report) last released its quarterly earnings data on Tuesday, August 5th. The software maker reported $1.56 EPS for the quarter, beating analysts' consensus estimates of $1.38 by $0.18. Paylocity had a return on equity of 22.08% and a net margin of 14.24%.The business had revenue of $400.74 million for the quarter, compared to the consensus estimate of $388.25 million. During the same quarter in the prior year, the business posted $1.48 EPS. The business's revenue for the quarter was up 12.2% on a year-over-year basis. Paylocity has set its FY 2026 guidance at EPS. Q1 2026 guidance at EPS. Equities analysts anticipate that Paylocity will post 4.36 EPS for the current fiscal year.

Insiders Place Their Bets

In other Paylocity news, SVP Andrew Cappotelli sold 1,717 shares of the stock in a transaction that occurred on Monday, June 23rd. The stock was 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 directly owned 11,953 shares of the company's stock, valued at approximately $2,112,573.22. This trade represents a 12.56% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 21.91% of the company's stock.

Institutional Trading of Paylocity

A number of hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. lifted its position in Paylocity by 7.0% during the 1st quarter. Vanguard Group Inc. now owns 4,312,832 shares of the software maker's stock worth $807,966,000 after acquiring an additional 283,430 shares during the period. Price T Rowe Associates Inc. MD lifted its holdings in shares of Paylocity by 3.4% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 4,287,514 shares of the software maker's stock valued at $803,224,000 after buying an additional 141,705 shares during the period. T. Rowe Price Investment Management Inc. lifted its holdings in shares of Paylocity by 0.3% in the 1st quarter. T. Rowe Price Investment Management Inc. now owns 3,987,037 shares of the software maker's stock valued at $746,932,000 after buying an additional 13,027 shares during the period. American Century Companies Inc. lifted its holdings in shares of Paylocity by 4.0% in the 2nd quarter. American Century Companies Inc. now owns 534,843 shares of the software maker's stock valued at $96,909,000 after buying an additional 20,649 shares during the period. Finally, Northern Trust Corp lifted its holdings in shares of Paylocity by 1.8% in the 1st quarter. Northern Trust Corp now owns 469,566 shares of the software maker's stock valued at $87,968,000 after buying an additional 8,349 shares during the period. 94.76% of the stock is 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.