
Paycom Software (PAYC) Stock Forecast & Price Target
Paycom Software (PAYC) Analyst Ratings
Bulls say
Paycom Software is a human capital management software-as-a-service provider with solid fundamentals and strong growth potential. Despite its lower-than-expected 2026 revenue guidance, the company has shown positive signals in terms of customer retention, new customer acquisition, and traction in the upmarket segment. With a fixed cost advantage and potential for normalized free cash flow, Paycom's current valuation at just 3x recurring revenue appears undervalued, making it an attractive investment opportunity for patient investors.
Bears say
Paycom Software is facing challenges in generating revenue in 2026, as their guidance range of 7-8% for Recurring and Other Revenue is expected to be at the lower end due to a calendar anomaly. While their total revenue saw a slight beat in 4Q25, with bonus payroll runs exceeding expectations, interest on funds held for clients was down and PAYC repurchased over $100 million in common stock, indicating a lack of investment opportunities. Additionally, while the company has seen success with upmarket clients and increased customer retention, this growth may not be sustainable in the long term.
This aggregate rating is based on analysts' research of Paycom Software and is not a guaranteed prediction by Public.com or investment advice.
Paycom Software (PAYC) Analyst Forecast & Price Prediction
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