The Latest Analyst Ratings For Paylocity Holding

Paylocity Holding PCTY has been analyzed by 7 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $192.14, with a high estimate of $210.00 and a low estimate of $155.00. Highlighting a 7.09% decrease, the current average has fallen from the previous average price target of $206.80.

Diving into Analyst Ratings: An In-Depth Exploration

A comprehensive examination of how financial experts perceive Paylocity Holding is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Paylocity Holding. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Paylocity Holding compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Paylocity Holding's stock. This comparison reveals trends in analysts' expectations over time.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Paylocity Holding's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Paylocity Holding analyst ratings.

Delving into Paylocity Holding's Background

Paylocity is a provider of payroll and human capital management, or HCM, solutions servicing small- to midsize clients in the United States. The company was founded in 1997 and targets businesses with 10 to 5,000 employees and services about 36,000 clients as of fiscal 2023. Alongside core payroll services, Paylocity offers HCM solutions such as time and attendance and recruiting software, as well workplace collaboration and communication tools.

Financial Insights: Paylocity Holding

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3 months period, Paylocity Holding showcased positive performance, achieving a revenue growth rate of 19.54% as of 31 December, 2023. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Industrials sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 11.68%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Paylocity Holding's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 4.06%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Paylocity Holding's ROA excels beyond industry benchmarks, reaching 0.94%. This signifies efficient management of assets and strong financial health.

Debt Management: Paylocity Holding's debt-to-equity ratio is below the industry average. With a ratio of 0.06, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

The Significance of Analyst Ratings Explained

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

This article was generated by Benzinga's automated content engine and reviewed by an editor.