Paycom Software stock holds firm after Q2 beat
Published on 08/21/2026 at 22:26 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS
Paycom Software (US70432V1026) stock opened at $225.72 after a second-quarter 2026 report that put revenue at $531.2 million and adjusted EPS at $2.78. The same update showed revenue up 9.8% year over year, while analysts now model $10.48 in full-year EPS.
Q2 numbers still matter
The latest reported quarter ended on August 5, 2026, and the numbers were strong enough to keep attention on valuation as well as growth. Revenue beat the $513.1 million estimate, EPS beat the $2.38 consensus, and adjusted EBITDA margin reached 44.2%, up 320 basis points from the prior year period.
That mix explains why the stock moved from $144.22 on July 21 to $226.72 on August 20, a gain of 57%. The 52-week range now runs from $104.90 to $234.60, so the shares are still trading close to the top of that band.
Guidance and valuation
Management lifted 2026 revenue guidance to $2.197 billion to $2.212 billion and projected adjusted EBITDA of $1.007 billion to $1.022 billion. At the midpoint, that implies a margin near 46%, which is the number investors are now using to test whether the post-earnings move can hold.
Analysts remain mixed, with 9 hold ratings, 5 buy ratings, and 1 strong-buy rating, while the average price target stands at $204.69. The market is already pricing Paycom Software above that consensus level, which makes execution in the next report more important than another round of headline optimism.
Product and platform
Paycom Software's cloud-based human capital management platform covers payroll, talent acquisition, time and labor management, talent management, and HR compliance. The company says its single-database model also supports employee-driven payroll tools and AI-assisted workflow features that are central to its automation pitch.
Shares near the high
As of August 20, 2026, the stock closed at $226.72, with a market capitalization of $10.17 billion. The next earnings date is September 8, 2026.
Company
Company: Paycom Software, Inc.
ISIN: US70432V1026
Ticker: PAYC
Exchange: NYSE
Price (as of August 20, 2026, 4:00 p.m. ET): $226.72 USD
Market cap: $10.17 billion (as of August 21, 2026)
Sector / Industry: Information Technology / Application Software
Index membership: Russell 2000
Next earnings date: September 8, 2026
