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Paycom Software (PAYC) Stock Sinks As Market Gains: What You Should Know
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Paycom Software (PAYC - Free Report) closed the most recent trading day at $153.40, moving -0.07% from the previous trading session. This change lagged the S&P 500's 0.78% gain on the day. Elsewhere, the Dow gained 0.95%, while the tech-heavy Nasdaq added 0.98%.
Heading into today, shares of the maker of human-resources and payroll software had gained 5.7% over the past month, outpacing the Computer and Technology sector's gain of 1.26% and the S&P 500's gain of 2.17% in that time.
Investors will be hoping for strength from PAYC as it approaches its next earnings release, which is expected to be October 30, 2018. In that report, analysts expect PAYC to post earnings of $0.52 per share. This would mark year-over-year growth of 79.31%. Meanwhile, our latest consensus estimate is calling for revenue of $130.48 million, up 28.82% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.64 per share and revenue of $555.49 million. These totals would mark changes of +103.08% and +28.27%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for PAYC. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.33% higher within the past month. PAYC is currently sporting a Zacks Rank of #1 (Strong Buy).
Digging into valuation, PAYC currently has a Forward P/E ratio of 58.27. For comparison, its industry has an average Forward P/E of 69.81, which means PAYC is trading at a discount to the group.
Meanwhile, PAYC's PEG ratio is currently 2.28. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. PAYC's industry had an average PEG ratio of 4.06 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 94, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Paycom Software (PAYC) Stock Sinks As Market Gains: What You Should Know
Paycom Software (PAYC - Free Report) closed the most recent trading day at $153.40, moving -0.07% from the previous trading session. This change lagged the S&P 500's 0.78% gain on the day. Elsewhere, the Dow gained 0.95%, while the tech-heavy Nasdaq added 0.98%.
Heading into today, shares of the maker of human-resources and payroll software had gained 5.7% over the past month, outpacing the Computer and Technology sector's gain of 1.26% and the S&P 500's gain of 2.17% in that time.
Investors will be hoping for strength from PAYC as it approaches its next earnings release, which is expected to be October 30, 2018. In that report, analysts expect PAYC to post earnings of $0.52 per share. This would mark year-over-year growth of 79.31%. Meanwhile, our latest consensus estimate is calling for revenue of $130.48 million, up 28.82% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.64 per share and revenue of $555.49 million. These totals would mark changes of +103.08% and +28.27%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for PAYC. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.33% higher within the past month. PAYC is currently sporting a Zacks Rank of #1 (Strong Buy).
Digging into valuation, PAYC currently has a Forward P/E ratio of 58.27. For comparison, its industry has an average Forward P/E of 69.81, which means PAYC is trading at a discount to the group.
Meanwhile, PAYC's PEG ratio is currently 2.28. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. PAYC's industry had an average PEG ratio of 4.06 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 94, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.