Financial Advisors Network Inc. Makes New $331,000 Investment in Paycom Software, Inc. $PAYC

Key Points

• Financial Advisors Network Inc. purchased 1,517 shares of Paycom Software, valued at approximately $331,000, highlighting continued interest from institutional investors in the company.
• Analyst price targets for Paycom Software have been increased, with Barclays setting a target of $250 and various other firms rating the stock as "hold" while acknowledging a favorable outlook.
• Paycom Software recently announced a quarterly dividend of $0.375 per share, underscoring its solid financial position with a payout ratio of 20.30%.

Financial Advisors Network Inc. acquired a new position in shares of Paycom Software, Inc. (NYSE:PAYC - Free Report) in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The fund acquired 1,517 shares of the software maker's stock, valued at approximately $331,000.

Other institutional investors have also modified their holdings of the company. Kingsview Wealth Management LLC lifted its position in shares of Paycom Software by 8.4% during the 1st quarter. Kingsview Wealth Management LLC now owns 1,478 shares of the software maker's stock worth $323,000 after buying an additional 114 shares during the last quarter. SG Americas Securities LLC lifted its position in shares of Paycom Software by 57.1% during the 1st quarter. SG Americas Securities LLC now owns 2,685 shares of the software maker's stock worth $587,000 after buying an additional 976 shares during the last quarter. GAMMA Investing LLC increased its holdings in shares of Paycom Software by 54.5% in the 1st quarter. GAMMA Investing LLC now owns 904 shares of the software maker's stock valued at $198,000 after acquiring an additional 319 shares during the period. Rhumbline Advisers increased its holdings in shares of Paycom Software by 11.9% in the 1st quarter. Rhumbline Advisers now owns 102,936 shares of the software maker's stock valued at $22,489,000 after acquiring an additional 10,908 shares during the period. Finally, Exchange Traded Concepts LLC increased its holdings in shares of Paycom Software by 15.6% in the 1st quarter. Exchange Traded Concepts LLC now owns 1,007 shares of the software maker's stock valued at $220,000 after acquiring an additional 136 shares during the period. Hedge funds and other institutional investors own 87.77% of the company's stock.

Analysts Set New Price Targets

A number of equities analysts have recently commented on the stock. Cantor Fitzgerald began coverage on shares of Paycom Software in a report on Thursday, August 14th. They issued a "neutral" rating and a $230.00 target price on the stock. Barclays boosted their price objective on shares of Paycom Software from $240.00 to $250.00 and gave the company an "equal weight" rating in a research note on Thursday, August 7th. Piper Sandler boosted their price objective on shares of Paycom Software from $224.00 to $246.00 and gave the company a "neutral" rating in a research note on Thursday, May 8th. KeyCorp boosted their price objective on shares of Paycom Software from $285.00 to $290.00 and gave the company an "overweight" rating in a research note on Thursday, August 7th. Finally, Needham & Company LLC reissued a "hold" rating on shares of Paycom Software in a research note on Thursday, May 8th. One equities research analyst has rated the stock with a Buy rating and eleven have assigned a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $234.36.

Insider Activity at Paycom Software

In related news, insider Bradley Scott Smith sold 1,500 shares of the stock in a transaction dated Thursday, June 12th. The shares were sold at an average price of $249.96, for a total value of $374,940.00. Following the sale, the insider directly owned 27,233 shares of the company's stock, valued at approximately $6,807,160.68. This represents a 5.22% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, COO Randall Peck sold 890 shares of the stock in a transaction dated Wednesday, June 4th. The shares were sold at an average price of $263.21, for a total transaction of $234,256.90. Following the completion of the sale, the chief operating officer directly owned 49,394 shares in the company, valued at approximately $13,000,994.74. The trade was a 1.77% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 25,590 shares of company stock valued at $6,761,837. Insiders own 10.90% of the company's stock.

Paycom Software Trading Up 3.7%

Shares of NYSE:PAYC traded up $8.4190 on Friday, reaching $233.7390. 699,179 shares of the company were exchanged, compared to its average volume of 628,750. Paycom Software, Inc. has a 1-year low of $153.08 and a 1-year high of $267.76. The firm has a market cap of $13.53 billion, a price-to-earnings ratio of 31.63, a price-to-earnings-growth ratio of 2.48 and a beta of 0.81. The company has a 50-day moving average of $229.64 and a 200-day moving average of $227.86.

Paycom Software (NYSE:PAYC - Get Free Report) last posted its quarterly earnings results on Wednesday, August 6th. The software maker reported $2.06 earnings per share for the quarter, topping analysts' consensus estimates of $1.78 by $0.28. The business had revenue of $483.60 million for the quarter, compared to analysts' expectations of $472.00 million. Paycom Software had a net margin of 21.22% and a return on equity of 25.40%. The business's revenue for the quarter was up 10.5% on a year-over-year basis. During the same period in the prior year, the company posted $1.62 EPS. As a group, analysts forecast that Paycom Software, Inc. will post 7.15 earnings per share for the current year.

Paycom Software Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 8th. Investors of record on Monday, August 25th will be paid a $0.375 dividend. This represents a $1.50 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend is Monday, August 25th. Paycom Software's dividend payout ratio is presently 20.30%.

Paycom Software Company Profile

Paycom Software, Inc provides cloud-based human capital management (HCM) solution delivered as software-as-a-service for small to mid-sized companies in the United States. It offers functionality and data analytics that businesses need to manage the employment life cycle from recruitment to retirement.