Paycom Software (NYSE:PAYC) Price Target Raised to $270.00

Paycom Software (NYSE:PAYC) had its price objective raised by KeyCorp from $195.00 to $270.00 in a report published on Thursday morning,Benzinga reports. KeyCorp currently has an overweight rating on the software maker’s stock.

Several other research firms have also recently weighed in on PAYC. Barclays increased their price target on shares of Paycom Software from $154.00 to $210.00 and gave the company an “equal weight” rating in a report on Thursday. Citigroup upped their target price on Paycom Software from $120.00 to $136.00 and gave the company a “neutral” rating in a research report on Thursday, May 7th. BTIG Research increased their target price on Paycom Software from $160.00 to $230.00 and gave the stock a “buy” rating in a research note on Thursday. UBS Group dropped their price target on Paycom Software from $210.00 to $183.00 and set a “buy” rating for the company in a report on Tuesday, April 21st. Finally, Mizuho boosted their price target on Paycom Software from $120.00 to $130.00 and gave the company a “neutral” rating in a research note on Thursday, May 7th. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and nine have issued a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $204.69.

Paycom Software Price Performance

NYSE:PAYC opened at $214.52 on Thursday. Paycom Software has a one year low of $104.90 and a one year high of $234.60. The company has a market cap of $10.22 billion, a P/E ratio of 22.80, a P/E/G ratio of 1.81 and a beta of 0.76. The firm’s fifty day moving average price is $144.49 and its two-hundred day moving average price is $134.69. The company has a debt-to-equity ratio of 1.57, a current ratio of 1.07 and a quick ratio of 1.08.

Paycom Software (NYSE:PAYC) last posted its earnings results on Wednesday, August 5th. The software maker reported $2.78 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.38 by $0.40. The company had revenue of $531.20 million during the quarter, compared to analysts’ expectations of $513.12 million. Paycom Software had a net margin of 22.78% and a return on equity of 37.06%. Paycom Software’s quarterly revenue was up 9.8% compared to the same quarter last year. During the same quarter last year, the company posted $2.06 EPS. Equities analysts expect that Paycom Software will post 9.53 earnings per share for the current year.

Paycom Software Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 8th. Stockholders of record on Monday, August 24th will be issued a dividend of $0.375 per share. The ex-dividend date of this dividend is Monday, August 24th. This represents a $1.50 annualized dividend and a dividend yield of 0.7%. Paycom Software’s dividend payout ratio (DPR) is currently 15.94%.

Institutional Investors Weigh In On Paycom Software

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Brown Brothers Harriman & Co. boosted its stake in shares of Paycom Software by 190.6% in the fourth quarter. Brown Brothers Harriman & Co. now owns 154 shares of the software maker’s stock valued at $25,000 after buying an additional 101 shares during the period. Clearstead Advisors LLC increased its stake in Paycom Software by 140.3% during the 4th quarter. Clearstead Advisors LLC now owns 161 shares of the software maker’s stock worth $26,000 after acquiring an additional 94 shares during the period. CYBER HORNET ETFs LLC bought a new position in Paycom Software during the 2nd quarter worth $29,000. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in Paycom Software in the 2nd quarter valued at $33,000. Finally, MUFG Securities EMEA plc acquired a new position in Paycom Software in the 2nd quarter valued at $33,000. 87.77% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Paycom Software

Here are the key news stories impacting Paycom Software this week:

• Positive Sentiment: Q2 results exceeded expectations: Paycom reported $531.2 million in revenue, up 9.8% year over year, and $2.78 in non-GAAP EPS, beating consensus estimates. Recurring sales growth and expanding margins added to the positive reaction. Paycom’s Q2 Earnings Surpass Expectations, Revenues Rise Y/Y
• Positive Sentiment: Management raised its 2026 forecast: Paycom now expects revenue of approximately $2.197 billion to $2.212 billion and adjusted EBITDA of $1.007 billion to $1.022 billion. Free cash flow is expected to exceed $650 million, supporting the improved earnings outlook. Paycom forecasts 2026 revenue and EBITDA
• Positive Sentiment: Automation and AI are improving profitability: Management highlighted savings from automation, internally hosted AI models, and new product releases as drivers of operating leverage and demand for Paycom’s employee-management services. Paycom raises annual forecast on AI-driven demand
• Positive Sentiment: Analysts lifted price targets: KeyBanc raised its target to $270 with an overweight rating, while TD Cowen raised its target to $244 and upgraded the stock to buy. BTIG also increased its target to $230 and maintained a buy rating. Paycom Software analysts boost forecasts
• Neutral Sentiment: Capital returns remain supportive: Paycom repurchased roughly 2.57 million shares for $345.9 million during the quarter, which may enhance per-share results but also reflects substantial cash deployment.
• Negative Sentiment: Some analysts remain cautious at the higher valuation: Barclays, BMO, Stifel, UBS, and Cantor Fitzgerald raised targets but retained neutral or hold-equivalent ratings, with targets ranging from $195 to $210—below the recent market level. Mixed institutional positioning also suggests not all investors share the bullish view.

Paycom Software Company Profile

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.