Paycom Software (NYSE:PAYC) Reaches New 1-Year High – Here’s What Happened

Shares of Paycom Software, Inc. (NYSE:PAYC) hit a new 52-week high during mid-day trading on Thursday. The company traded as high as $247.78 and last traded at $246.3170, with a volume of 90,511 shares. The stock had previously closed at $239.00.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the stock. KeyCorp increased their price target on shares of Paycom Software from $270.00 to $280.00 and gave the company an “overweight” rating in a report on Monday, September 21st. Citigroup increased their target price on shares of Paycom Software from $136.00 to $194.00 and gave the company a “neutral” rating in a research note on Friday, August 7th. BMO Capital Markets raised their target price on Paycom Software from $145.00 to $208.00 and gave the stock a “market perform” rating in a research report on Thursday, August 6th. Wall Street Zen cut Paycom Software from a “buy” rating to a “hold” rating in a research report on Sunday, September 6th. Finally, JPMorgan Chase & Co. lifted their price target on shares of Paycom Software from $140.00 to $264.00 and gave the stock a “neutral” rating in a research note on Tuesday, August 25th. Five analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $219.79.

Paycom Software Stock Performance

The company has a market capitalization of $11.16 billion, a P/E ratio of 26.31, a price-to-earnings-growth ratio of 1.28 and a beta of 0.82. The firm has a 50 day moving average price of $225.33 and a two-hundred day moving average price of $167.09. The company has a debt-to-equity ratio of 1.57, a quick ratio of 1.07 and a current ratio of 1.07.

Paycom Software (NYSE:PAYC) last posted its earnings results on Wednesday, August 5th. The software maker reported $2.78 EPS for the quarter, topping the consensus estimate of $2.38 by $0.40. The business had revenue of $531.20 million during the quarter, compared to the consensus estimate of $513.12 million. Paycom Software had a return on equity of 37.06% and a net margin of 22.78%. Paycom Software’s revenue was up 9.8% on a year-over-year basis. During the same quarter last year, the company earned $2.06 EPS. On average, research analysts expect that Paycom Software, Inc. will post 10.64 earnings per share for the current fiscal year.

Paycom Software Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, September 8th. Shareholders of record on Monday, August 24th were issued a dividend of $0.3750 per share. The ex-dividend date of this dividend was Monday, August 24th. This represents a $1.50 dividend on an annualized basis and a dividend yield of 0.6%. Paycom Software’s dividend payout ratio (DPR) is presently 15.94%.

Insider Activity

In other news, insider Shane Hadlock sold 2,577 shares of the business’s stock in a transaction on Thursday, August 27th. The shares were sold at an average price of $237.60, for a total value of $612,295.20. Following the sale, the insider owned 70,152 shares in the company, valued at approximately $16,668,115.20. The trade was a 3.54% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 13.20% of the company’s stock.

Hedge Funds Weigh In On Paycom Software

Several institutional investors have recently added to or reduced their stakes in the company. Archford Capital Strategies LLC raised its stake in shares of Paycom Software by 1.1% in the second quarter. Archford Capital Strategies LLC now owns 4,684 shares of the software maker’s stock valued at $589,000 after acquiring an additional 49 shares during the last quarter. CX Institutional boosted its holdings in shares of Paycom Software by 4.7% in the 3rd quarter. CX Institutional now owns 1,399 shares of the software maker’s stock worth $304,000 after acquiring an additional 63 shares in the last quarter. Versant Capital Management Inc grew its position in Paycom Software by 2.6% during the 3rd quarter. Versant Capital Management Inc now owns 2,689 shares of the software maker’s stock worth $585,000 after acquiring an additional 69 shares during the last quarter. Elevation Wealth Partners LLC grew its position in Paycom Software by 76.5% during the 3rd quarter. Elevation Wealth Partners LLC now owns 233 shares of the software maker’s stock worth $51,000 after acquiring an additional 101 shares during the last quarter. Finally, EverSource Wealth Advisors LLC increased its holdings in Paycom Software by 32.1% during the 1st quarter. EverSource Wealth Advisors LLC now owns 424 shares of the software maker’s stock valued at $52,000 after purchasing an additional 103 shares in the last quarter. 87.77% of the stock is owned by institutional investors.

About Paycom Software

Paycom Software, Inc develops and provides cloud-based human capital management (HCM) software for businesses. Its platform is designed to help employers manage payroll and other workforce processes through a unified system, reducing the need for separate applications and manual data entry.

The company’s products and services include payroll processing, tax management, time and labor management, talent acquisition, onboarding, talent management, employee benefits administration, expense management, and workforce analytics.