Paycom Software (PAYC) has seen its stock down
72% from its all-time highs, raising questions whether it provides a buying opportunity amidst aggressive stock buybacks. The company's growth has slowed to 9% with buybacks supporting earnings, while a more pessimistic forecast has been issued for its stock price. While there are concerns about underperformance compared to the S&P 500, TD Cowen maintains a buy rating but reduces the target price. Its Q3 results have been mixed, with company's advancements in
AI-driven HR automation drawing attention. A revenue of $493M in Q3 with 94.6% recurring revenue is indicative of its financial strength. Despite the miss in Q3 earnings, the stock's potential in terms of a slow-burn recovery and long-term growth are being considered. There's optimism about
Paycom’s valuation after a considerable share price drop. However, the company has been cautioned about a potential overvaluation, with discussions being surrounded around Paycom's investment strategy following a third-quarter earnings miss. In spite of the recent challenges, there are expectations of growth acceleration ahead.
Paycom Software PAYC News Analytics from Wed, 19 Mar 2025 07:00:00 GMT to Fri, 09 Jan 2026 12:46:47 GMT -
Rating -6
- Innovation -2
- Information 7
- Rumor -4
