Paycom/$PAYC

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About Paycom

Paycom is a cloud-based human capital management provider offering payroll, compliance, and human resources management solutions. The firm's solutions are available on a unified, modular platform, and customers are billed for access on a subscription basis. Paycom's customer base skews toward the midmarket and is primarily based in North America. As of 2025, the firm manages records for 7.4 million employees across more than 20,000 clients on a parent-company-group basis.
Ticker
$PAYC
Sector
Business services
Primary listing
NYSE
Employees
5,770

Paycom Metrics

BasicAdvanced
$9.8B
23.64
$9.35
0.72
$1.50
0.68%

What the Analysts think about Paycom

Analyst ratings (Buy, Hold, Sell) for Paycom stock.
Analyst projections of the future price of Paycom stock.

Bulls say / Bears say

Paycom beat expectations in Q2, with revenue up 9.8% and recurring revenue up 11%, then raised 2026 revenue guidance to $2.197bn-$2.212bn and adjusted EBITDA guidance to $1.007bn-$1.022bn. That gives the recovery case current operating evidence rather than relying only on future AI hopes. (Paycom)
Automation is improving both the product proposition and unit economics: management said IWant usage rose 33% from year-end in Q1, while in-house AI infrastructure is reducing token costs and new modules are broadening the platform. Paycom also says it serves only about 5% of its addressable market, leaving room for cross-sell and new-client growth. (Exa, Motley Fool)
Profit and cash conversion are strengthening: Q2 adjusted EBITDA margin rose to 44.2%, up 320 basis points year on year, while first-half free cash flow reached $372.7m, or 33.8% of revenue. Paycom combined that cash generation with a buyback that reduced its share count by about 20% in the first half, which can lift per-share earnings even if revenue growth stays moderate. (StockTitan, Exa)
Revenue growth is still high single digit rather than a clear re-acceleration: the raised full-year guide calls for only 8%-9% recurring and other revenue growth, while Q2 billings rose 9.4%. If new products do not move that rate higher, the shares may be valued more like an efficiency story than a growth story. (Paycom, StockStory)
The buyback has increased financial risk: Paycom ended Q2 with $198m of cash but had drawn $900m on its $2.1bn revolving facility to fund repurchases. That leverage could limit flexibility or amplify downside if operating performance weakens. (Exa, StockTitan)
Billings rose 9.4% in Q2, a modest pace that leaves Paycom exposed if rivals win deals through broader integrations or cheaper AI features. Recent analysis specifically flags AI commoditisation and industry consolidation as threats to pricing and retention. (StockStory, Simply Wall St)
Data summarised monthly by Lightyear AI. Last updated on 29 Sept 2026.

Paycom Financial Performance

Revenues and expenses
Income statement
QuarterlyAnnual
Q3 24
QoQ growth
Revenue
Net income
Profit margin

Paycom Earnings Performance

Company profitability
Earnings per share
QuarterlyAnnual
Q4 23
Q1 24
Q2 24
Q3 24
Q4 24
Actual
Expected
Surprise
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