PCTY

Recognition in Gartner Magic Quadrant: Paylocity's Airbase solution has been recognized as a Visionary in the 2025 Gartner Magic Quadrant for Accounts Payable Applications, highlighting its innovative approach to finance automation and market understanding.

Key Features of Airbase by Paylocity: The platform offers a comprehensive spend management system that includes procure-to-pay automation, accounts payable streamlining, guided procurement, expense management, and seamless integrations with other business systems.

Paylocity Holding Corp Analysis: Paylocity (PCTY) is rated highly by Validea's P/B Growth Investor model, achieving a score of 66%, indicating potential for sustained growth in the Software & Programming industry.

Partha Mohanram's Contribution: Partha Mohanram, an academic and expert in value investing, developed a growth model that challenges traditional views on growth investing, focusing on identifying stocks with strong future performance based on financial statement analysis.

Paylocity's Recognition: Paylocity has been ranked as the #1 Expense Management Solution for SMEs by Spend Matters in their Spring 2025 SolutionMap, highlighting its commitment to providing effective expense management for small and medium-sized businesses.

Innovative Technology: Airbase by Paylocity utilizes advanced technology, including machine learning and generative AI, to automate expense reporting, significantly reducing administrative burdens and enhancing efficiency for users.

Analyst Upgrade: KeyBanc analyst Jason Celino increased Paylocity's price target from $220 to $250, maintaining an Overweight rating due to strong Q2 results and positive FY25 guidance.

Market Insights: The article highlights the importance of data-driven tools like TipRanks' Smart Score for investors to make informed decisions and track stock performance against Wall Street analysts' recommendations.

Analyst Upgrade: JMP Securities has increased Paylocity's price target from $250 to $270 while maintaining an Outperform rating, citing strong Q2 results and stable macro conditions.

Positive Financial Outlook: Paylocity anticipates FY25 revenue between $1.56B-$1.57B, exceeding consensus estimates, with Q2 EPS reported at $1.52 against a consensus of $1.43.

Analyst Ratings: William Blair analyst Jake Roberge maintains a Buy rating on Paylocity (PCTY), while JMP Securities also issued a Buy, contrasting with Barclays' Hold rating.

Insider Activity and Market Performance: Despite a market cap of $11.82B and positive financial forecasts, insider sentiment is negative as 184 insiders have sold shares recently, indicating potential concerns about the stock's future performance.

Analyst Rating on Paylocity: Raimo Lenschow from Barclays has maintained a Hold rating on Paylocity (PCTY) with a price target of $231.00, while the analyst consensus is a Strong Buy with an average price target of $239.90.

Insider Activity and Stock Performance: Recent insider activity shows negative sentiment towards Paylocity, as 184 insiders have sold shares, including a significant sale by Director Jeffrey Diehl; the stock has fluctuated between a one-year high of $215.68 and a low of $129.94.

Analyst Ratings: Patrick Walravens from JMP Securities maintains a Buy rating on Paylocity (PCTY) with a price target of $270.00, while TD Cowen also supports a Buy rating with a target of $242.00, indicating strong analyst consensus for the stock.

Insider Activity: Recent insider activity shows negative sentiment towards PCTY, with an increase in share sales by insiders, including a notable sale by Director Jeffrey Diehl of over 10,000 shares.

Analyst Ratings: Jefferies analyst Samad Samana maintains a Buy rating on Paylocity with a price target of $255, while TD Cowen also issued a Buy rating; however, Barclays has a Hold rating on the stock.

Financial Performance and Insider Activity: Paylocity reported strong quarterly earnings with revenue of $362.96 million and a net profit of $49.57 million, but insider sentiment is negative as more insiders have been selling shares recently.

Stock Performance Overview: Doximity, Pinterest, and Cloudflare saw significant gains after earnings reports, with Doximity rising by 23.7%, while BILL Holdings and e.l.f. Beauty experienced major declines, dropping by 30.9% and 23.6% respectively.

Investment Insights: TipRanks' Smart Score tool is highlighted as a resource for investors to track stock performance and compare their picks against Wall Street analysts' recommendations.

Q2 2025 Performance: Paylocity reported a 16% increase in total revenue for Q2 2025, driven by strong sales execution and new product launches, including an AI assistant chatbot. The company raised its fiscal 2025 guidance, projecting continued growth in recurring revenue and adjusted EBITDA.

Analyst Sentiment and Outlook: Analysts expressed optimism regarding Paylocity's performance and integration of Airbase, while also raising concerns about market competition and sales cycles. Management maintained confidence in their differentiated product offerings and broker relationships as key factors for sustained growth.

Analyst Upgrades: Several Wall Street analysts have upgraded their ratings on various companies, including C.H. Robinson Worldwide (from Hold to Buy), Avery Dennison Corporation (from Neutral to Overweight), and Paylocity Holding Corporation (from Neutral to Outperform).

Price Target Adjustments: Along with upgrades, some analysts adjusted price targets; for instance, Avery Dennison's target was lowered from $210 to $205, while Paylocity's was raised from $200 to $235.

Analyst Ratings Overview: Recent insights from 10 analysts on Paylocity Holding show a mix of bullish and somewhat bullish sentiments, with an average 12-month price target increase to $222.9, reflecting a positive outlook despite a recent decline in revenue growth.

Financial Performance Insights: Paylocity demonstrates strong profitability with a net margin of 10.87% and effective asset utilization (ROA of 0.83%), but faces challenges with a low return on equity (ROE of 3.23%) and a negative revenue trend compared to industry peers.

Analyst Upgrade: KeyBanc analyst Jason Celino raised Paylocity's price target to $220 from $210, maintaining an Overweight rating, citing conservative guidance and stabilizing trends in workforce levels and business execution.

Positive Earnings Outlook: KeyBanc anticipates that Paylocity will exceed its Q2 revenue estimate of $367M and EBITDA estimate of $118.7M due to favorable market conditions.

Real Estate Market Outlook: Analysts predict a transition in the real estate market towards recovery in 2025, with expectations of increased transactions and inventory despite current affordability challenges affecting both demand and supply.

Advertising Trends: Companies like Amazon and Disney are adapting their advertising strategies, with Amazon expanding its retail ad services and Disney shifting to ad-supported subscription models, indicating a growing focus on monetizing through advertisements amidst changing consumer behaviors.

Real-time Intelligence for Traders: Benzinga Pro offers the fastest news alerts and exclusive stories to help traders make informed decisions in the stock market.

Community of Serious Traders: Over 10,000 traders are part of the Benzinga Pro community, benefiting from accurate market intelligence and timely updates.

Investment Analysis of Paylocity Holding Corp: Paylocity Holding Corp (PCTY) has received a high rating of 66% from Validea's P/B Growth Investor model, indicating strong potential for future growth based on its fundamentals and valuation within the Software & Programming industry.

Partha Mohanram's Contribution: Partha Mohanram, an academic and investment strategist, developed a growth model that challenges traditional views on growth investing, focusing on criteria to identify sustainable growth stocks, and is currently a prominent figure in value investing education.

Insider Trading Activity: Steven I Sarowitz, a director at $PCTY, sold 1,200 shares on December 26, 2024, which is approximately 0.0% of his holdings, leaving him with 8,335,347 shares. In the past six months, there have been 744 insider trades of $PCTY stock, all being sales with no purchases.

Institutional Investor Movements: In the most recent quarter, 196 institutional investors increased their positions in $PCTY, while 300 reduced theirs, indicating mixed sentiment among large investors regarding the stock.

Paylocity Holding Corp Analysis: Paylocity (PCTY) has received a 69% rating from Validea's Growth Investor model, indicating strong fundamentals and reasonable valuations in the Software & Programming industry, although it falls short of the 80% threshold that typically signals significant interest.

Martin Zweig's Investment Legacy: Martin Zweig, known for his successful stock recommendation newsletter with an average annual return of 15.9%, has made notable investments and collected unique memorabilia throughout his career, reflecting his diverse interests beyond finance.

Analyst Ratings: Terry Tillman from Truist Financial has maintained a Buy rating on Paylocity (PCTY) with a price target of $210, while the analyst consensus is a Strong Buy with an average target of $203.86, indicating a potential upside.

Company Performance and Insider Activity: Paylocity reported a quarterly revenue increase to $362.96 million and a net profit of $49.57 million, but insider sentiment is negative as more insiders have been selling shares recently.