Jared Levine, an analyst from TD Cowen, maintained the Buy rating on Paylocity. The associated price target was lowered to $172.00.
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Jared Levine has given his Buy rating due to a combination of factors that highlight Paylocity’s strong performance and potential for growth. The company reported a solid first-quarter performance, exceeding expectations and raising its fiscal year 2026 targets, which indicates robust execution and promising future prospects. The updated guidance reflects an increase in growth and margin expectations, suggesting a positive outlook for the company’s financial health.
Furthermore, Paylocity’s ability to generate free cash flow is expected to improve, supported by the scaling of its anticipated benefits from the OBBA initiative. The company has also demonstrated stability in client hiring trends and the demand environment, which bodes well for its continued success. Additionally, Paylocity’s active share repurchase program and the positive impact of its GenAI offerings on client satisfaction and retention further strengthen its investment appeal. These factors, combined with its attractive valuation relative to projected revenue and free cash flow, make Paylocity a compelling buy for investors.
In another report released on October 23, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $176.00 price target.
Based on the recent corporate insider activity of 158 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of PCTY in relation to earlier this year.