Baird analyst Mark Marcon raised his price target on Paylocity to $155 from $120 following strong Q2 results. The analyst said the results more than offset the headwind from the three rate cuts reducing float income. The company's add-on sales momentum was strong across all market segments while the company continued to gain market share as its sales presence and growing recognition for outstanding user satisfaction continued to grow. Marcon reiterated his Outperform rating on Paylocity shares.

Paylocity announces new innovative features aimed at transforming talent acquisition, employee engagement, and retention for the next generation of workers. As Gen Z surpasses Boomers in the workforce this year, swelling to more than 17.1M employees, companies are recognizing the need for customized solutions that address this generation's distinct needs and preferences. Job seekers can now easily apply for jobs by simply scanning QR codes or texting with the new text-scan feature, making the application process fast and intuitive even while on the go. For recruiters, this new feature provides key metrics on engagement, visits, applications, rates, and hire data. Another new feature gives applicants the ability to have real-time conversations with potential employers through two-way texting, providing quick and direct communication for instant interactions with recruiters. Paylocity also empowers candidates to share their preferred name, ask optional identity questions, or mask information that may promote bias in the hiring process, promoting inclusivity while reducing bias for candidates. Paylocity's seamless integration with LinkedIn, ZipRecruiter, and Indeed, allows candidates to directly apply for multiple jobs without leaving the job boards. New integrations with Gmail and Outlook calendars provide candidates hassle-free interview scheduling. Recruiters can easily send calendar invites with meeting links and documents such as resumes and interview guides. Two-way synchronization makes it simple to update or cancel an event.