Hsbc Holdings PLC Acquires 15,968 Shares of Paycom Software, Inc. $PAYC

Key Points

• Hsbc Holdings PLC increased its stake in Paycom Software, Inc. by 24.6%, acquiring an additional 15,968 shares, bringing its total to 81,007 shares valued at approximately $17.7 million.
• Several analysts have raised their price targets on Paycom Software, with Barclays setting a new target of $250 and JPMorgan Chase & Co. increasing theirs to $235, indicating a consensus rating of "Hold".
• Paycom Software announced a quarterly dividend of $0.375 per share, set to be paid on September 8th, with a dividend yield of 0.6% and a payout ratio of 20.3%.

Hsbc Holdings PLC boosted its stake in shares of Paycom Software, Inc. (NYSE:PAYC - Free Report) by 24.6% during the 1st quarter, according to its most recent 13F filing with the SEC. The firm owned 81,007 shares of the software maker's stock after buying an additional 15,968 shares during the period. Hsbc Holdings PLC owned approximately 0.14% of Paycom Software worth $17,675,000 as of its most recent filing with the SEC.

Several other hedge funds have also recently bought and sold shares of the stock. Brooklyn Investment Group raised its holdings in Paycom Software by 19.4% during the 1st quarter. Brooklyn Investment Group now owns 240 shares of the software maker's stock worth $52,000 after buying an additional 39 shares during the period. Commerce Bank raised its holdings in Paycom Software by 2.2% during the 1st quarter. Commerce Bank now owns 2,351 shares of the software maker's stock worth $514,000 after buying an additional 50 shares during the period. Allworth Financial LP raised its holdings in Paycom Software by 12.9% during the 1st quarter. Allworth Financial LP now owns 464 shares of the software maker's stock worth $105,000 after buying an additional 53 shares during the period. US Bancorp DE raised its holdings in Paycom Software by 0.5% during the 1st quarter. US Bancorp DE now owns 10,421 shares of the software maker's stock worth $2,277,000 after buying an additional 57 shares during the period. Finally, Salvus Wealth Management LLC raised its holdings in Paycom Software by 4.9% during the 1st quarter. Salvus Wealth Management LLC now owns 1,238 shares of the software maker's stock worth $270,000 after buying an additional 58 shares during the period. 87.77% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several analysts have commented on PAYC shares. Barclays raised their target price on shares of Paycom Software from $240.00 to $250.00 and gave the stock an "equal weight" rating in a report on Thursday, August 7th. Needham & Company LLC reiterated a "hold" rating on shares of Paycom Software in a report on Thursday, May 8th. Stifel Nicolaus boosted their target price on shares of Paycom Software from $187.00 to $215.00 and gave the stock a "hold" rating in a report on Thursday, May 8th. Cantor Fitzgerald began coverage on shares of Paycom Software in a report on Thursday, August 14th. They set a "neutral" rating and a $230.00 target price on the stock. Finally, JPMorgan Chase & Co. lifted their price objective on shares of Paycom Software from $215.00 to $235.00 and gave the stock a "neutral" rating in a research report on Thursday, August 7th. One equities research analyst has rated the stock with a Buy rating and eleven have assigned a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of "Hold" and an average price target of $234.36.

Insider Buying and Selling at Paycom Software

In other Paycom Software news, COO Randall Peck sold 890 shares of the stock in a transaction that occurred on 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 owned 49,394 shares of the company's stock, valued at approximately $13,000,994.74. This represents a 1.77% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Chad R. Richison sold 23,200 shares of the stock in a transaction that occurred on Wednesday, June 4th. The shares were sold at an average price of $265.20, for a total transaction of $6,152,640.00. Following the sale, the chief executive officer directly owned 3,224,049 shares of the company's stock, valued at $855,017,794.80. This represents a 0.71% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 25,590 shares of company stock valued at $6,761,837. 10.90% of the stock is currently owned by company insiders.

Paycom Software Stock Down 0.5%

Shares of PAYC stock traded down $1.09 on Thursday, reaching $226.80. The company had a trading volume of 285,724 shares, compared to its average volume of 626,089. The stock has a market capitalization of $13.13 billion, a PE ratio of 30.70, a price-to-earnings-growth ratio of 2.47 and a beta of 0.81. Paycom Software, Inc. has a one year low of $153.08 and a one year high of $267.76. The business's 50-day moving average is $228.70 and its 200 day moving average is $228.57.

Paycom Software (NYSE:PAYC - Get Free Report) last posted its earnings results on Wednesday, August 6th. The software maker reported $2.06 EPS for the quarter, topping analysts' consensus estimates of $1.78 by $0.28. The firm had revenue of $483.60 million during 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% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.62 earnings per share. On average, sell-side analysts forecast that Paycom Software, Inc. will post 7.15 earnings per share for the current fiscal year.

Paycom Software Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, September 8th. Stockholders of record on Monday, August 25th will be paid a $0.375 dividend. The ex-dividend date of this dividend is Monday, August 25th. This represents a $1.50 annualized dividend and a dividend yield of 0.7%. Paycom Software's dividend payout ratio is currently 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.