Paycom Software (NYSE:PAYC) Stock Rating Lowered by Zacks Research

Paycom Software (NYSE:PAYC) was downgraded by investment analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued on Tuesday,Zacks.com reports.

Several other equities research analysts have also commented on the company. Guggenheim initiated coverage on Paycom Software in a research note on Friday, September 26th. They set a “buy” rating and a $270.00 price target on the stock. Weiss Ratings reissued a “hold (c-)” rating on shares of Paycom Software in a report on Monday, December 29th. BTIG Research started coverage on shares of Paycom Software in a research report on Wednesday, December 17th. They issued a “buy” rating and a $195.00 price objective on the stock. BMO Capital Markets restated a “market perform” rating and set a $175.00 target price on shares of Paycom Software in a report on Friday, January 16th. Finally, Mizuho reduced their price target on shares of Paycom Software from $220.00 to $180.00 and set a “neutral” rating on the stock in a report on Thursday, November 6th. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $212.14.

Paycom Software Trading Up 1.9%

Shares of PAYC traded up $2.80 during mid-day trading on Tuesday, hitting $151.98. 101,356 shares of the company’s stock were exchanged, compared to its average volume of 753,714. The firm has a market capitalization of $8.55 billion, a P/E ratio of 18.88, a P/E/G ratio of 1.51 and a beta of 0.82. Paycom Software has a fifty-two week low of $145.61 and a fifty-two week high of $267.76. The business’s 50 day moving average is $160.09 and its two-hundred day moving average is $195.25.

Paycom Software (NYSE:PAYC) last posted its quarterly earnings data on Wednesday, November 5th. The software maker reported $1.94 earnings per share for the quarter, missing analysts’ consensus estimates of $1.96 by ($0.02). Paycom Software had a return on equity of 24.79% and a net margin of 22.65%.The company had revenue of $493.30 million for the quarter, compared to analyst estimates of $492.62 million. During the same period in the previous year, the business posted $1.67 earnings per share. The firm’s revenue was up 9.2% compared to the same quarter last year. On average, equities research analysts forecast that Paycom Software will post 7.15 earnings per share for the current year.

Insider Buying and Selling

In related news, CFO Robert D. Foster sold 1,300 shares of the stock in a transaction dated Wednesday, December 10th. The stock was sold at an average price of $162.66, for a total transaction of $211,458.00. Following the transaction, the chief financial officer directly owned 14,747 shares in the company, valued at approximately $2,398,747.02. This represents a 8.10% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Insiders own 10.90% of the company’s stock.

Institutional Trading of Paycom Software

Institutional investors have recently modified their holdings of the company. Brighton Jones LLC acquired a new position in Paycom Software during the fourth quarter valued at approximately $638,000. AQR Capital Management LLC boosted its position in Paycom Software by 23.7% during the 1st quarter. AQR Capital Management LLC now owns 19,155 shares of the software maker’s stock worth $4,136,000 after purchasing an additional 3,674 shares during the period. United Services Automobile Association purchased a new position in Paycom Software in the first quarter valued at about $215,000. Empowered Funds LLC lifted its stake in shares of 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 purchasing an additional 1,480 shares in the last quarter. Finally, Focus Partners Wealth boosted its position in shares of Paycom Software by 220.8% in the first quarter. Focus Partners Wealth now owns 3,940 shares of the software maker’s stock worth $861,000 after buying an additional 2,712 shares during the period. Hedge funds and other institutional investors own 87.77% of the company’s stock.

About Paycom Software

Paycom Software, Inc (NYSE: PAYC) is a cloud-based human capital management (HCM) software provider that delivers an end-to-end solution for human resources, payroll, talent acquisition, time and labor management, and talent management. Its single-database platform enables organizations to process payroll, track time, administer benefits, and manage recruiting and employee development through a unified system. Paycom’s software is designed to streamline administrative tasks, improve data accuracy, and provide real-time reporting and analytics to support strategic HR decisions.

The company’s core offerings include payroll processing with built-in tax compliance, employee self-service functionality, automated time tracking, and customizable talent acquisition tools that allow employers to create and post job requisitions, screen candidates, and conduct onboarding electronically.