Ratings for Paycom Software PAYC were provided by 11 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 0 | 11 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 1 | 0 | 0 |
| 2M Ago | 0 | 0 | 3 | 0 | 0 |
| 3M Ago | 0 | 0 | 6 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for Paycom Software, presenting an average target of $208.18, a high estimate of $260.00, and a low estimate of $175.00. This upward trend is evident, with the current average reflecting a 10.63% increase from the previous average price target of $188.18.
Breaking Down Analyst Ratings: A Detailed Examination
The perception of Paycom Software by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Raimo Lenschow | Barclays | Lowers | Equal-Weight | $221.00 | $229.00 |
| Steven Enders | Citigroup | Lowers | Neutral | $221.00 | $234.00 |
| Siti Panigrahi | Mizuho | Raises | Neutral | $210.00 | $190.00 |
| Daniel Jester | BMO Capital | Raises | Market Perform | $260.00 | $197.00 |
| Jared Levine | TD Cowen | Raises | Hold | $248.00 | $193.00 |
| Siti Panigrahi | Mizuho | Raises | Neutral | $190.00 | $170.00 |
| Steven Enders | Citigroup | Raises | Neutral | $196.00 | $172.00 |
| Raimo Lenschow | Barclays | Raises | Equal-Weight | $181.00 | $172.00 |
| Samad Samana | Jefferies | Raises | Hold | $175.00 | $170.00 |
| Daniel Jester | BMO Capital | Raises | Market Perform | $197.00 | $183.00 |
| Arvind Ramnani | Piper Sandler | Raises | Neutral | $191.00 | $160.00 |
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 Paycom Software. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Paycom Software compared to the broader market.
- Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Paycom Software's stock. This comparison reveals trends in analysts' expectations over time.
For valuable insights into Paycom Software's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on Paycom Software analyst ratings.
Delving into Paycom Software's Background
Paycom is a fast-growing provider of payroll and human capital management software primarily targeting clients with 50-10,000 employees in the United States. Paycom was established in 1998 and services about 19,500 clients as of 2023, based on parent company grouping. Alongside its core payroll software, Paycom offers various HCM add-on modules, including time and attendance, talent management, and benefits administration.
Paycom Software's Economic Impact: An Analysis
Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.
Revenue Growth: Paycom Software's remarkable performance in 3 months is evident. As of 30 September, 2024, the company achieved an impressive revenue growth rate of 11.23%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Industrials sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 16.21%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 5.07%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): Paycom Software's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.88% ROA, the company effectively utilizes its assets for optimal returns.
Debt Management: Paycom Software's debt-to-equity ratio is below the industry average at 0.06, reflecting a lower dependency on debt financing and a more conservative financial approach.
The Core of Analyst Ratings: What Every Investor Should Know
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.
Which Stocks Are Analysts Recommending Now?
Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. Click here to stay ahead of the market.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
|---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
