Paycom Software, Inc. $PAYC Shares Sold by HBW Advisory Services LLC

Key Points

• HBW Advisory Services LLC significantly reduced its stake in Paycom Software, selling 10,822 shares and retaining only 1,550 shares, reflecting an 87.5% decrease in their holdings.
• Paycom Software's quarterly earnings exceeded expectations, reporting $2.06 EPS against a consensus estimate of $1.78, along with a 10.5% year-over-year revenue growth.
• The firm recently announced a quarterly dividend of $0.375 per share, which contributes to an annualized dividend of $1.50 and a dividend yield of 0.7%.

HBW Advisory Services LLC reduced its position in shares of Paycom Software, Inc. (NYSE:PAYC - Free Report) by 87.5% during the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 1,550 shares of the software maker's stock after selling 10,822 shares during the period. HBW Advisory Services LLC's holdings in Paycom Software were worth $359,000 at the end of the most recent quarter.

A number of other hedge funds have also recently bought and sold shares of the company. Sylebra Capital LLC grew its holdings in Paycom Software by 63.8% during the fourth quarter. Sylebra Capital LLC now owns 3,215,085 shares of the software maker's stock worth $658,996,000 after acquiring an additional 1,252,617 shares during the period. Baillie Gifford & Co. grew its holdings in Paycom Software by 1,918.4% during 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. grew its holdings in Paycom Software by 5.0% during the first quarter. Invesco Ltd. now owns 1,233,057 shares of the software maker's stock worth $269,398,000 after acquiring an additional 58,176 shares during the period. Northern Trust Corp grew its holdings in Paycom Software by 2.3% during the first quarter. Northern Trust Corp now owns 740,385 shares of the software maker's stock worth $161,759,000 after acquiring an additional 16,369 shares during the period. Finally, Goldman Sachs Group Inc. grew its holdings in Paycom Software by 12.4% during the first quarter. Goldman Sachs Group Inc. now owns 633,626 shares of the software maker's stock worth $138,435,000 after acquiring an additional 69,884 shares during the period. 87.77% of the stock is owned by institutional investors and hedge funds.

Paycom Software Price Performance

NYSE:PAYC opened at $222.69 on Monday. Paycom Software, Inc. has a fifty-two week low of $158.03 and a fifty-two week high of $267.76. The stock's 50-day moving average is $227.07 and its two-hundred day moving average is $229.72. The stock has a market cap of $12.89 billion, a PE ratio of 30.13, a price-to-earnings-growth ratio of 2.45 and a beta of 0.81.

Paycom Software (NYSE:PAYC - Get Free Report) last released its earnings results on Wednesday, August 6th. The software maker reported $2.06 earnings per share for the quarter, beating the consensus estimate of $1.78 by $0.28. Paycom Software had a return on equity of 25.40% and a net margin of 21.22%.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 business posted $1.62 EPS. The business's revenue for the quarter was up 10.5% on a year-over-year basis. On average, equities research analysts anticipate that Paycom Software, Inc. will post 7.15 earnings per share for the current year.

Paycom Software Announces Dividend

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

Analyst Upgrades and Downgrades

Several analysts have issued reports on PAYC shares. Barclays boosted their price objective on Paycom Software from $240.00 to $250.00 and gave the stock an "equal weight" rating in a report on Thursday, August 7th. BMO Capital Markets boosted their price objective on Paycom Software from $244.00 to $258.00 and gave the stock a "market perform" rating in a report on Thursday, August 7th. JPMorgan Chase & Co. boosted their price objective on Paycom Software from $215.00 to $235.00 and gave the stock a "neutral" rating in a report on Thursday, August 7th. KeyCorp boosted their price objective on Paycom Software from $285.00 to $290.00 and gave the stock an "overweight" rating in a report on Thursday, August 7th. Finally, Cantor Fitzgerald upgraded Paycom Software to a "hold" rating in a report on Thursday. One research analyst has rated the stock with a Buy rating and eleven have assigned a Hold rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus target price of $234.36.

About Paycom Software

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.

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