BMO Capital Markets Cuts Paycom Software (NYSE:PAYC) Price Target to $137.00

Paycom Software (NYSE:PAYC) had its price objective cut by BMO Capital Markets from $175.00 to $137.00 in a report published on Thursday, MarketBeat.com reports. They currently have a market perform rating on the software maker’s stock.

Several other equities analysts have also recently weighed in on PAYC. Cantor Fitzgerald lowered their target price on Paycom Software from $170.00 to $135.00 and set a “neutral” rating on the stock in a research note on Thursday, January 29th. Weiss Ratings downgraded shares of Paycom Software from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Tuesday, February 3rd. TD Cowen dropped their price objective on shares of Paycom Software from $200.00 to $184.00 and set a “buy” rating on the stock in a research note on Thursday, January 8th. KeyCorp decreased their target price on shares of Paycom Software from $290.00 to $250.00 and set an “overweight” rating for the company in a research note on Thursday, November 6th. Finally, Barclays lowered their price target on shares of Paycom Software from $210.00 to $185.00 and set an “equal weight” rating on the stock in a report on Monday, January 12th. Five analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $168.57.

Paycom Software Stock Performance

NYSE PAYC opened at $125.56 on Thursday. The firm’s 50 day moving average price is $150.22 and its two-hundred day moving average price is $183.72. Paycom Software has a twelve month low of $104.90 and a twelve month high of $267.76. The stock has a market cap of $7.07 billion, a price-to-earnings ratio of 15.52, a PEG ratio of 1.31 and a beta of 0.79.

Paycom Software (NYSE:PAYC) last released its earnings results on Wednesday, February 11th. The software maker reported $2.45 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.44 by $0.01. Paycom Software had a return on equity of 24.25% and a net margin of 22.10%.The company had revenue of $544.30 million during the quarter, compared to analyst estimates of $542.79 million. During the same quarter in the prior year, the company earned $2.32 earnings per share. The company’s revenue for the quarter was up 10.2% on a year-over-year basis. On average, research analysts forecast that Paycom Software will post 7.15 EPS for the current fiscal year.

Paycom Software Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, March 23rd. Investors of record on Monday, March 9th will be paid a dividend of $0.375 per share. This represents a $1.50 annualized dividend and a yield of 1.2%. The ex-dividend date is Monday, March 9th. Paycom Software’s payout ratio is currently 18.54%.

Insider Buying and Selling

In other Paycom Software news, CFO Robert D. Foster sold 1,300 shares of the business’s stock in a transaction on Wednesday, December 10th. The shares were sold at an average price of $162.66, for a total value of $211,458.00. Following the sale, the chief financial officer owned 14,747 shares of the company’s stock, valued at $2,398,747.02. The trade was a 8.10% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. 10.90% of the stock is currently owned by company insiders.

Institutional Trading of Paycom Software

Several large investors have recently added to or reduced their stakes in PAYC. Ethic Inc. acquired a new position in Paycom Software in the second quarter valued at about $566,000. Aviva PLC lifted its holdings in shares of Paycom Software by 65.2% during the 2nd quarter. Aviva PLC now owns 34,129 shares of the software maker’s stock valued at $7,897,000 after purchasing an additional 13,473 shares in the last quarter. United Asset Strategies Inc. acquired a new position in shares of Paycom Software in the 2nd quarter valued at approximately $877,000. Dillon & Associates Inc. grew its position in shares of Paycom Software by 10.9% in the 3rd quarter. Dillon & Associates Inc. now owns 68,153 shares of the software maker’s stock valued at $14,176,000 after purchasing an additional 6,696 shares during the period. Finally, Allianz Asset Management GmbH increased its stake in Paycom Software by 10,106.6% during the 3rd quarter. Allianz Asset Management GmbH now owns 486,957 shares of the software maker’s stock worth $101,355,000 after purchasing an additional 482,186 shares in the last quarter. 87.77% of the stock is owned by institutional investors.

Key Paycom Software News

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

• Positive Sentiment: Q4 results topped estimates: PAYC reported $2.45 EPS and revenue up ~10% y/y, beating consensus and showing margin expansion — supportive near‑term fundamentals. Article Title
• Positive Sentiment: Independent study highlights product ROI: A Forrester‑commissioned study found Paycom’s IWant AI delivers significant three‑year ROI for clients — a credibility boost for growth/product story. Article Title
• Positive Sentiment: Some analysts remain bullish: Guggenheim, KeyCorp and BTIG maintained buy/overweight views (despite trimming targets), signaling pockets of conviction that upside remains for longer‑term investors. Article Title
• Neutral Sentiment: Market commentary and idea pieces: Several outlets (Zacks, Seeking Alpha, Barchart) frame PAYC as a potential value/recovery play after the selloff — useful for investors assessing risk/reward but not immediate catalysts. Article Title
• Negative Sentiment: Weak 2026 revenue guidance spooked investors: Paycom’s FY‑2026 revenue outlook was perceived as conservative/short of consensus, which triggered the initial selloff and remains the primary negative catalyst. Article Title
• Negative Sentiment: Multiple analyst price‑target cuts and neutral/hold moves: Several firms (Citigroup, Jefferies, Cantor Fitzgerald, Mizuho, BMO and others) lowered targets and moved to neutral/hold — increasing selling pressure and signaling reduced near‑term expectations. Article Title
• Negative Sentiment: Shares reached a fresh near‑term low after guidance and analyst reactions, amplifying momentum selling and headline sensitivity. Article Title

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.