KeyBanc analyst Brent Bracelin maintained a Buy rating on Paycom (PAYC) yesterday and set a price target of $182. The company’s shares closed yesterday at $156.96, close to its 52-week high of $164.08.
Bracelin commented:
“We remain impressed by solid execution and see a clear path for revenue to approach $1B within three years. Growth accelerated for the third straight quarter, rising to 31.8% on improving retention rates (92%), which drove a $6M revenue beat. We are raising estimates assuming HR and payroll share gains remain at elevated levels and are also raising our PT to $182 from $133 based on the assumption that strong execution, high margins, and 25%+ growth outlook can sustain a premium multiple of 47x EV/FCF.”
According to TipRanks.com, Bracelin is a top 25 analyst with an average return of 24.9% and a 75.4% success rate. Bracelin covers the Technology sector, focusing on stocks such as Salesforce.com, Everbridge Inc, and Veeva Systems.
Paycom has an analyst consensus of Moderate Buy, with a price target consensus of $157, implying a 0.0% upside from current levels. In a report issued on January 23, Northland Securities also maintained a Buy rating on the stock with a $150 price target.
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The company has a one-year high of $164.08 and a one-year low of $80.39. Currently, Paycom has an average volume of 594.9K.
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Paycom Software, Inc. provides cloud-based human capital management software solutions delivered as Software-as-a-Service. The company provides functionality and data analytics that businesses need to manage the complete employment life cycle from recruitment to retirement.
