Paycom Software, IncNYSE: PAYC
Industrials · Human Resource & Employment Services
$131.80
+3.98%
Vol: 612K
Research Digest
Friday, May 1, 2026
Paycom misses FY2026 guidance at 6-7% growth; S&P 500 exit pressure weighs on stock
Paycom reported FY2025 revenue of $2,052M (+9% YoY) and provided FY2026 guidance of $2.175-2.195B (6-7% growth), disappointing analysts expecting higher rates. Stock pressured by pending S&P 500 index exit in March 2026, sparking heavy passive fund selling. Q4 2025 EPS of $2.45 beat slightly. Company launches AI solution IWant. Q1 2026 results due May 6.
Previous Market Intelligence
4 daysApr 30Paycom 2026 guidance disappoints with 6-7% growth; stock near 52-week lows amid analyst cutsNegative▶
Paycom Software reported Q4 2025 revenue of $544.3 million (up 10.2% YoY) with EPS of $2.45 beating estimates. However, 2026 revenue guidance of $2.175-$2.195 billion (6-7% growth) disappointed analysts who expected higher growth. Stock gapped down sharply post-earnings trading near $116 at 52-week lows amid analyst price target cuts. Company expanded senior secured revolving credit facility to $2.13 billion on April 23. Authorized $2.558 billion share repurchase program. Launched award-winning IWant AI solution in 2025.
Mar 19Paycom down 0.40% pre-market after initial 4.99% post-earnings decline recovers 1.55% in after-hours trading.Neutral▶
Paycom initially fell 4.99% post-earnings but recovered 1.55% in after-hours, settling at $122.97 pre-market (-0.40%). The company reported strong free cash flow of $404M (up 20% YoY) and expanded credit line to $1.46B, signaling financial strength. Expanded HR tools and CEO Richison emphasis on 5% TAM penetration suggest growth runway. Shares at $124.49 with P/E of 15.58.
Mar 18Paycom expands credit line and launches HR tools; pre-market dips modestlyPositive▶
Paycom Software traded at $122.97 in pre-market (down -0.40%) from close of $123.47. 6-analyst consensus is Buy with $152.94 average price target (21% upside). Recent developments include expanded $1.46B credit line and HR tool launches enhancing client engagement.
Mar 172026 revenue guided $2.175B-$2.195B; stock up 2.17% today; Buy consensus with $170.71 targetPositive▶
Paycom Software declared a $0.375 quarterly dividend payable March 23, 2026, and reported FY2025 total revenues of $2,051.7M (+9% YoY) with recurring revenue growing 10.3%. For 2026, the company guides total revenue of $2.175-$2.195B (6-7% growth) and adjusted EBITDA of $950-$970M (~44% margin). Shane Hadlock was promoted to president and chief client officer in February 2026; 15 analysts rate Buy with an average $170.71 target, and the stock is up 2.17% today at $126.15.
Sector Peers
| Company | Price | Day | 1M | Fwd P/E | Beta | Mkt Cap |
|---|---|---|---|---|---|---|
| ADPAUTOMATIC | $214.21 | +1.07% | +3.7% | 17.5x | 0.86 | $84.9B |
| PAYXPAYCHEX | $93.10 | +0.51% | +0.8% | 15.7x | — | $33.2B |
| PAYCPAYCOM | $131.80 | +3.98% | +3.1% | 10.9x | 0.80 | $6.9B |
| CATCATERPILLAR | $890.93 | +0.09% | +23.4% | 31.8x | 1.52 | $414.2B |
| GEGENERAL | $287.56 | -0.82% | +0.4% | 33.4x | 1.43 | $302.9B |
| GEVGE | $1,064.74 | -1.73% | +20.7% | 44.2x | 1.20 | $291.1B |
Key Fundamentals
RSI (14-Day)
52-Week Range
Moving Averages
Price below 200d MA — bearish structure.