Paycom Expands Senior Secured Revolving Credit Facility Capacity

An update from Paycom ( (PAYC) ) is now available.

On April 23, 2026, Paycom Software, Inc. entered into an amended and restated credit agreement that replaces its July 29, 2022 facility and establishes a senior secured revolving credit line of up to $2.125 billion, maturing April 23, 2031, with an option to add $750 million in incremental capacity. The facility, secured by all personal property of the loan parties, carries interest tied to ABR or SOFR with margins that step up with higher leverage, and imposes commitment fees on undrawn amounts based on the company’s consolidated leverage ratio.

As of April 23, 2026, approximately $675 million was outstanding under the revolver, which will support working capital, general corporate purposes, acquisitions and share repurchases, underscoring Paycom’s focus on financial flexibility and potential capital deployment. The agreement tightens or updates certain negative covenants and preserves customary maintenance tests on leverage and interest coverage, while allowing additional secured or unsecured “ratio debt” within set thresholds, potentially affecting the company’s capital structure options and risk parameters for lenders and shareholders.

The most recent analyst rating on (PAYC) stock is a Buy with a $183.00 price target. To see the full list of analyst forecasts on Paycom stock, see the PAYC Stock Forecast page.

Spark’s Take on PAYC Stock

According to Spark, TipRanks’ AI Analyst, PAYC is a Outperform.

The score is primarily supported by strong underlying financial quality (high margins, cash generation, and historically conservative balance sheet) and a constructive earnings outlook that maintains strong profitability despite slower growth. Offsetting factors are weak technical trend/momentum and a guidance-driven growth deceleration, with corporate actions slightly mixed due to increased revolver usage despite continued capital returns.

To see Spark’s full report on PAYC stock, click here.

More about Paycom

Paycom Software, Inc. is a U.S.-based provider of cloud-based human capital management and payroll software, primarily serving businesses that require integrated solutions for payroll processing, HR management and related workforce administration. Through its Paycom Payroll, LLC subsidiary and other units, the company focuses on offering technology-driven services to streamline employers’ personnel and compensation functions.

Average Trading Volume: 1,940,299

Technical Sentiment Signal: Sell

Current Market Cap: $6.22B

Learn more about PAYC stock on TipRanks’ Stock Analysis page.