The stock of Paycom Software Inc (NYSE: PAYC) has decreased by -0.71 when compared to last closing price of 187.91.Despite this, the company has seen a gain of 0.92% in its stock price over the last five trading days. InvestorPlace reported 2024-04-12 that You may have heard about GPT-4 Turbo, Gemini, Llama or X’s (formerly Twitter) Grok. However, there is a new contender outside of these Big Tech models in town.
Is It Worth Investing in Paycom Software Inc (NYSE: PAYC) Right Now?
Paycom Software Inc (NYSE: PAYC) has a higher price-to-earnings ratio of 31.65x compared to its average ratio. PAYC has 36-month beta value of 1.17. Analysts have mixed views on the stock, with 2 analysts rating it as a “buy,” 9 as “overweight,” 5 as “hold,” and 0 as “sell.”
The public float for PAYC is 50.15M, and currently, short sellers hold a 4.33% ratio of that float. The average trading volume of PAYC on April 26, 2024 was 854.41K shares.
PAYC’s Market Performance
PAYC stock saw a decrease of 0.92% in the past week, with a monthly decline of -2.11% and a quarterly a decrease of -3.22%. The volatility ratio for the week is 2.42%, and the volatility levels for the last 30 days are 2.49% for Paycom Software Inc (PAYC). The simple moving average for the last 20 days is -4.39% for PAYC’s stock, with a simple moving average of -19.01% for the last 200 days.
Analysts’ Opinion of PAYC
Jefferies, on the other hand, stated in their research note that they expect to see PAYC reach a price target of $195. The rating they have provided for PAYC stocks is “Hold” according to the report published on January 05th, 2024.
UBS gave a rating of “Buy” to PAYC, setting the target price at $235 in the report published on November 07th of the previous year.
PAYC Trading at -1.67% from the 50-Day Moving Average
After a stumble in the market that brought PAYC to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -50.12% of loss for the given period.
Volatility was left at 2.49%, however, over the last 30 days, the volatility rate increased by 2.42%, as shares sank -5.39% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -0.21% lower at present.
During the last 5 trading sessions, PAYC rose by +0.92%, which changed the moving average for the period of 200-days by -44.93% in comparison to the 20-day moving average, which settled at $194.62. In addition, Paycom Software Inc saw -9.74% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at PAYC starting from PETERS FREDERICK C II, who sale 1,500 shares at the price of $189.87 back on Feb 20 ’24. After this action, PETERS FREDERICK C II now owns 15,067 shares of Paycom Software Inc, valued at $284,805 using the latest closing price.
Richison Chad R., the President and CEO of Paycom Software Inc, purchase 1 shares at $201.86 during a trade that took place back on Dec 14 ’23, which means that Richison Chad R. is holding 4,703,908 shares at $202 based on the most recent closing price.
Stock Fundamentals for PAYC
Current profitability levels for the company are sitting at:
- 0.27 for the present operating margin
- 0.84 for the gross margin
The net margin for Paycom Software Inc stands at 0.2. The total capital return value is set at 0.27. Equity return is now at value 27.42, with 8.41 for asset returns.
Based on Paycom Software Inc (PAYC), the company’s capital structure generated 0.15 points at debt to capital in total, while cash flow to debt ratio is standing at 2.14. The debt to equity ratio resting at 0.17. The interest coverage ratio of the stock is 234.21.
Currently, EBITDA for the company is 588.27 million with net debt to EBITDA at -0.37. When we switch over and look at the enterprise to sales, we see a ratio of 6.21. The receivables turnover for the company is 48.62for trailing twelve months and the total asset turnover is 0.4. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.06.
Conclusion
To put it simply, Paycom Software Inc (PAYC) has had a bad performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
