Truist Financial Issues Pessimistic Forecast for Paylocity (NASDAQ:PCTY) Stock Price

Paylocity (NASDAQ:PCTY) had its price objective cut by research analysts at Truist Financial from $240.00 to $180.00 in a research report issued on Friday,Benzinga reports. The brokerage presently has a “buy” rating on the software maker’s stock. Truist Financial’s target price would suggest a potential upside of 52.74% from the stock’s current price.

Other analysts have also recently issued reports about the stock. Jefferies Financial Group reduced their target price on shares of Paylocity from $180.00 to $150.00 and set a “buy” rating for the company in a report on Friday. BTIG Research cut their price objective on shares of Paylocity from $180.00 to $150.00 and set a “buy” rating for the company in a research report on Friday. BMO Capital Markets reduced their price objective on Paylocity from $185.00 to $150.00 and set an “outperform” rating for the company in a research note on Friday. Citizens Jmp decreased their target price on Paylocity from $245.00 to $170.00 and set a “market outperform” rating on the stock in a report on Friday. Finally, JMP Securities set a $245.00 price target on Paylocity in a report on Wednesday, November 5th. Sixteen equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $183.14.

Paylocity Stock Performance

PCTY stock opened at $117.85 on Friday. The company has a market cap of $6.41 billion, a price-to-earnings ratio of 27.73, a P/E/G ratio of 3.47 and a beta of 0.54. The business’s 50-day moving average is $145.27 and its two-hundred day moving average is $156.69. Paylocity has a fifty-two week low of $113.70 and a fifty-two week high of $223.80.

Paylocity (NASDAQ:PCTY) last released its quarterly earnings results on Thursday, February 5th. The software maker reported $1.85 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.57 by $0.28. Paylocity had a return on equity of 23.03% and a net margin of 14.19%.The business had revenue of $416.13 million during the quarter, compared to the consensus estimate of $408.37 million. During the same period in the previous year, the company posted $1.52 EPS. The business’s quarterly revenue was up 10.4% compared to the same quarter last year. Equities analysts predict that Paylocity will post 4.36 earnings per share for the current year.

Insiders Place Their Bets

In related news, CFO Ryan Glenn sold 1,737 shares of the company’s stock in a transaction on Wednesday, November 19th. The shares were sold at an average price of $143.65, for a total value of $249,520.05. Following the completion of the transaction, the chief financial officer owned 77,229 shares of the company’s stock, valued at approximately $11,093,945.85. This represents a 2.20% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Corporate insiders own 19.40% of the company’s stock.

Hedge Funds Weigh In On Paylocity

Several large investors have recently made changes to their positions in PCTY. Millennium Management LLC grew its position in shares of Paylocity by 97.7% during the third quarter. Millennium Management LLC now owns 748,803 shares of the software maker’s stock worth $119,262,000 after purchasing an additional 369,975 shares in the last quarter. Alyeska Investment Group L.P. purchased a new position in Paylocity in the 3rd quarter worth approximately $104,657,000. Dimensional Fund Advisors LP lifted its holdings in Paylocity by 14.2% in the 3rd quarter. Dimensional Fund Advisors LP now owns 616,747 shares of the software maker’s stock worth $98,237,000 after purchasing an additional 76,603 shares in the last quarter. JPMorgan Chase & Co. boosted its stake in Paylocity by 22.1% in the 3rd quarter. JPMorgan Chase & Co. now owns 555,393 shares of the software maker’s stock worth $88,459,000 after purchasing an additional 100,400 shares during the period. Finally, Qube Research & Technologies Ltd grew its holdings in Paylocity by 61.3% during the 3rd quarter. Qube Research & Technologies Ltd now owns 552,313 shares of the software maker’s stock valued at $87,967,000 after buying an additional 209,897 shares in the last quarter. 94.76% of the stock is currently owned by hedge funds and other institutional investors.

Key Paylocity News

Here are the key news stories impacting Paylocity this week:

• Positive Sentiment: Q2 beat — Paylocity reported EPS of $1.85 vs. $1.57 expected and total revenue of $416.1M (up 10.4% YoY), showing solid recurring-revenue growth that supports long-term profitability. GlobeNewswire Q2 Press Release
• Positive Sentiment: Strong cash flow and buybacks — trailing‑12‑month operating cash flow and free‑cash‑flow margins remain robust; company repurchased $100M (~690k shares) in Q2 and ~$600M (~3.7M shares) since May 2024, supporting EPS and shareholder returns. GlobeNewswire Q2 Press Release
• Positive Sentiment: Product and distribution drivers — management highlighted product expansion and growth through the broker channel as sources of upside to bookings and longer‑term revenue. MSN deep dive
• Neutral Sentiment: Earnings materials available — full slide deck and call transcript provide more detail on client metrics and product road map for investors who want to dig into assumptions. MarketBeat earnings packet Seeking Alpha transcript
• Negative Sentiment: Guidance disappointed — management’s FY26 and Q3 revenue guidance came in below consensus (Q3 guidance midpoint well under street estimates), which is the main near‑term catalyst behind the selloff as it suggests slower near‑term top‑line momentum. MarketBeat guidance summary
• Negative Sentiment: Analyst price‑target cuts — multiple firms (Citigroup, Truist, Citizens JMP, Mizuho, BTIG, BMO) reduced targets today (ratings largely remain buy/outperform), trimming upside and adding near‑term selling pressure despite retained positive views. Benzinga coverage

Paylocity Company Profile

Paylocity (NASDAQ: PCTY) is a leading provider of cloud-based payroll and human capital management (HCM) software designed to streamline workforce administration for mid-sized organizations. The company’s integrated platform automates core functions such as payroll processing, benefits administration, time and labor tracking, and compliance management, enabling employers to manage employee data more efficiently and reduce administrative burdens.

In addition to payroll and HR capabilities, Paylocity offers talent management solutions including recruiting, onboarding, performance tracking, and learning management.