Demystifying Paylocity Holding: Insights From 6 Analyst Reviews

Paylocity Holding Corp. +0.91%

Paylocity Holding Corp.

PCTY

106.14

+0.91%

During the last three months, 6 analysts shared their evaluations of Paylocity Holding (NASDAQ:PCTY), revealing diverse outlooks from bullish to bearish.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 5 0 1 0 0
Last 30D 1 0 0 0 0
1M Ago 1 0 1 0 0
2M Ago 2 0 0 0 0
3M Ago 1 0 0 0 0

Analysts have set 12-month price targets for Paylocity Holding, revealing an average target of $173.5, a high estimate of $188.00, and a low estimate of $150.00. This current average has decreased by 2.8% from the previous average price target of $178.50.

price target chart

Investigating Analyst Ratings: An Elaborate Study

In examining recent analyst actions, we gain insights into how financial experts perceive Paylocity Holding. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Allan Verkhovski BTIG Lowers Buy $150.00 $180.00
Raimo Lenschow Barclays Lowers Equal-Weight $164.00 $175.00
Jared Levine TD Cowen Raises Buy $188.00 $184.00
Steven Enders Citigroup Raises Buy $179.00 $175.00
Allan Verkhovski BTIG Announces Buy $180.00 -
Jacob Smith Guggenheim Announces Buy $180.00 -

Key Insights:

  • Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Paylocity Holding. This offers insight into analysts' perspectives on the current state of the company.
  • Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Paylocity Holding compared to the broader market.
  • Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Paylocity Holding's stock. This comparison reveals trends in analysts' expectations over time.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Paylocity Holding's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Paylocity Holding analyst ratings.

All You Need to Know About Paylocity Holding

Founded in 1997, Paylocity is a cloud-based human capital management and payroll platform servicing midmarket customers. The company's average client size is around 150 employees. Its products help with recruiting and onboarding, payroll, time and labor, human resources, benefits, learning, and performance and compensation workflows. In fiscal 2025, the company generated over $1.5 billion in revenue across more than 41,000 customers.

Paylocity Holding's Economic Impact: An Analysis

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Positive Revenue Trend: Examining Paylocity Holding's financials over 3M reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 12.46% as of 30 September, 2025, showcasing a substantial increase in top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Industrials sector.

Net Margin: Paylocity Holding's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 11.76%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Paylocity Holding's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 4.11% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Paylocity Holding's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 1.11%, the company showcases efficient use of assets and strong financial health.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.12.

The Significance of Analyst Ratings Explained

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

This article was generated by Benzinga's automated content engine and reviewed by an editor.