HBW Advisory Services LLC Sells 10,822 Shares of Paycom Software, Inc. $PAYC

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 cut its stake in shares of Paycom Software, Inc. (NYSE:PAYC - Free Report) by 87.5% in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 1,550 shares of the software maker's stock after selling 10,822 shares during the quarter. HBW Advisory Services LLC's holdings in Paycom Software were worth $359,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also recently modified their holdings of PAYC. Brighton Jones LLC purchased a new stake in shares of Paycom Software during the fourth quarter valued at $638,000. Focus Partners Wealth purchased a new stake in shares of Paycom Software during the fourth quarter valued at $252,000. Nuveen Asset Management LLC boosted its position in shares of Paycom Software by 5.4% during the fourth quarter. Nuveen Asset Management LLC now owns 125,919 shares of the software maker's stock valued at $25,810,000 after buying an additional 6,415 shares during the last quarter. Nissay Asset Management Corp Japan ADV boosted its position in shares of Paycom Software by 1.2% during the fourth quarter. Nissay Asset Management Corp Japan ADV now owns 6,357 shares of the software maker's stock valued at $1,314,000 after buying an additional 77 shares during the last quarter. Finally, Mufg Securities Americas Inc. purchased a new stake in shares of Paycom Software during the fourth quarter valued at $147,000. 87.77% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several research firms recently commented on PAYC. Barclays increased their price objective on Paycom Software from $240.00 to $250.00 and gave the company an "equal weight" rating in a research report on Thursday, August 7th. BMO Capital Markets increased their price objective on Paycom Software from $244.00 to $258.00 and gave the company a "market perform" rating in a research report on Thursday, August 7th. UBS Group dropped their target price on Paycom Software from $310.00 to $285.00 and set a "buy" rating on the stock in a research report on Wednesday. JPMorgan Chase & Co. raised their target price on Paycom Software from $215.00 to $235.00 and gave the stock a "neutral" rating in a research report on Thursday, August 7th. Finally, KeyCorp raised their target price on Paycom Software from $285.00 to $290.00 and gave the stock an "overweight" rating in a research report on Thursday, August 7th. Two equities 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.com, Paycom Software has an average rating of "Hold" and an average target price of $238.58.

Insider Transactions at Paycom Software

In related news, insider Bradley Scott Smith sold 1,500 shares of Paycom Software stock in a transaction that occurred 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 sale, the insider owned 24,533 shares of the company's stock, valued at approximately $5,477,482.91. This trade represents a 5.76% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Company insiders own 10.90% of the company's stock.

Paycom Software Stock Performance

Shares of NYSE PAYC traded up $0.68 during trading on Friday, hitting $217.23. The company had a trading volume of 216,595 shares, compared to its average volume of 621,837. The stock has a 50 day simple moving average of $225.76 and a 200 day simple moving average of $229.48. Paycom Software, Inc. has a 12 month low of $158.03 and a 12 month high of $267.76. The firm has a market capitalization of $12.57 billion, a P/E ratio of 29.37, a price-to-earnings-growth ratio of 2.36 and a beta of 0.81.

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

Paycom Software Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, September 8th. Investors 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 dividend payout ratio (DPR) is 20.30%.

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.