Jacobs Levy Equity Management Inc. Buys New Position in Paycom Software, Inc. $PAYC

Key Points

• Jacobs Levy Equity Management Inc. acquired 3,157 shares of Paycom Software, Inc., valued at approximately $690,000, during the first quarter.
• Paycom Software reported a quarterly earnings per share of $2.06, exceeding analyst expectations of $1.78, with a revenue of $483.60 million.
• The stock is currently trading at $222.69 with a market cap of $12.89 billion, while institutional investors hold 87.77% of the company's shares.

Jacobs Levy Equity Management Inc. acquired a new position in shares of Paycom Software, Inc. (NYSE:PAYC - Free Report) in the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 3,157 shares of the software maker's stock, valued at approximately $690,000.

Several other large investors also recently modified their holdings of PAYC. Sylebra Capital LLC lifted its stake in shares of Paycom Software by 63.8% in the fourth quarter. Sylebra Capital LLC now owns 3,215,085 shares of the software maker's stock valued at $658,996,000 after buying an additional 1,252,617 shares in the last quarter. Baillie Gifford & Co. raised its position in Paycom Software by 1,918.4% in the first quarter. Baillie Gifford & Co. now owns 1,584,493 shares of the software maker's stock worth $346,180,000 after acquiring an additional 1,505,990 shares during the period. Invesco Ltd. increased its stake in shares of Paycom Software by 5.0% in the first quarter. Invesco Ltd. now owns 1,233,057 shares of the software maker's stock worth $269,398,000 after purchasing an additional 58,176 shares in the last quarter. Northern Trust Corp increased its stake in shares of Paycom Software by 2.3% in the first quarter. Northern Trust Corp now owns 740,385 shares of the software maker's stock worth $161,759,000 after purchasing an additional 16,369 shares in the last quarter. Finally, Alyeska Investment Group L.P. purchased a new position in Paycom Software during the first quarter valued at approximately $114,440,000. 87.77% of the stock is currently owned by institutional investors and hedge funds.

Paycom Software Stock Up 0.9%

Shares of NYSE:PAYC traded up $1.91 during trading on Thursday, hitting $216.64. 626,554 shares of the stock traded hands, compared to its average volume of 553,018. The company has a market cap of $12.54 billion, a price-to-earnings ratio of 29.32, a P/E/G ratio of 2.36 and a beta of 0.81. The company has a fifty day moving average price of $225.76 and a two-hundred day moving average price of $229.48. Paycom Software, Inc. has a 52-week low of $158.03 and a 52-week high of $267.76.

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

Paycom Software Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, September 8th. Stockholders of record on Monday, August 25th were given a dividend of $0.375 per share. The ex-dividend date was Monday, August 25th. This represents a $1.50 dividend on an annualized basis and a dividend yield of 0.7%. Paycom Software's dividend payout ratio (DPR) is 20.30%.

Wall Street Analysts Forecast Growth

PAYC has been the subject of a number of research reports. UBS Group cut their price target on shares of Paycom Software from $310.00 to $285.00 and set a "buy" rating for the company in a research note on Wednesday. JPMorgan Chase & Co. upped their target price 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. BMO Capital Markets increased their price objective on shares of Paycom Software from $244.00 to $258.00 and gave the company a "market perform" rating in a research report on Thursday, August 7th. Barclays increased 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 report on Thursday, August 7th. Finally, Cantor Fitzgerald upgraded shares of Paycom Software to a "hold" rating in a research note on Thursday, September 11th. Two research analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the stock. According to data from MarketBeat, Paycom Software has an average rating of "Hold" and a consensus target price of $238.58.

Insider Buying and Selling at Paycom Software

In related news, insider Bradley Scott Smith sold 1,500 shares of the stock in a transaction on Friday, September 12th. The stock was sold at an average price of $223.27, for a total transaction of $334,905.00. Following the completion of the sale, the insider directly owned 24,533 shares of the company's stock, valued at $5,477,482.91. This trade represents a 5.76% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 10.90% of the stock is currently owned by corporate insiders.

Paycom Software 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.