Polen Capital Management LLC Has $676.82 Million Position in Paycom Software, Inc. (NYSE:PAYC)

Key Points

• Polen Capital Management LLC has reduced its stake in Paycom Software by 2.3%, holding approximately $676.82 million worth of shares, which accounts for 2.1% of its investment portfolio.
• In recent analyst reports, price targets for Paycom Software have been raised, with Piper Sandler setting a new target of $246.00, while KeyCorp has raised it to $290.00; the average target is now $234.80.
• Paycom Software announced a quarterly dividend of $0.375 per share, representing an annualized dividend of $1.50 with a yield of 0.7%, reflecting a payout ratio of 20.30%.

Polen Capital Management LLC reduced its position in shares of Paycom Software, Inc. (NYSE:PAYC - Free Report) by 2.3% during the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 3,097,854 shares of the software maker's stock after selling 73,806 shares during the quarter. Paycom Software accounts for 2.1% of Polen Capital Management LLC's investment portfolio, making the stock its 20th biggest holding. Polen Capital Management LLC owned about 5.35% of Paycom Software worth $676,819,000 at the end of the most recent quarter.

Several other large investors also recently added to or reduced their stakes in the company. Invesco Ltd. grew its holdings in shares of Paycom Software by 5.0% during the 1st quarter. Invesco Ltd. now owns 1,233,057 shares of the software maker's stock valued at $269,398,000 after acquiring an additional 58,176 shares in the last quarter. Koss Olinger Consulting LLC purchased a new position in shares of Paycom Software during the 1st quarter valued at $2,125,000. National Bank of Canada FI grew its holdings in shares of Paycom Software by 1.9% during the 1st quarter. National Bank of Canada FI now owns 28,370 shares of the software maker's stock valued at $6,200,000 after acquiring an additional 536 shares in the last quarter. Swiss National Bank grew its holdings in shares of Paycom Software by 0.3% during the 1st quarter. Swiss National Bank now owns 146,400 shares of the software maker's stock valued at $31,985,000 after acquiring an additional 400 shares in the last quarter. Finally, Deutsche Bank AG grew its holdings in shares of Paycom Software by 11.2% during the 1st quarter. Deutsche Bank AG now owns 246,067 shares of the software maker's stock valued at $53,761,000 after acquiring an additional 24,838 shares in the last quarter. 87.77% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

PAYC has been the topic of several research analyst reports. Piper Sandler boosted their price target on shares of Paycom Software from $224.00 to $246.00 and gave the company a "neutral" rating in a report on Thursday, May 8th. Stifel Nicolaus upped their price objective 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. JPMorgan Chase & Co. upped their price objective on shares of Paycom Software from $215.00 to $235.00 and gave the stock a "neutral" rating in a report on Thursday. Barclays upped their price objective on shares of Paycom Software from $240.00 to $250.00 and gave the stock an "equal weight" rating in a report on Thursday. Finally, KeyCorp upped their price objective on shares of Paycom Software from $285.00 to $290.00 and gave the stock an "overweight" rating in a report on Thursday. Eleven investment analysts have rated the stock with a hold rating and one has issued a buy rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $234.80.

Paycom Software Stock Down 1.8%

NYSE:PAYC opened at $229.29 on Friday. Paycom Software, Inc. has a 12-month low of $152.46 and a 12-month high of $267.76. The firm has a market capitalization of $13.26 billion, a PE ratio of 31.03, a price-to-earnings-growth ratio of 2.53 and a beta of 0.81. The firm has a 50-day moving average price of $236.39 and a 200 day moving average price of $227.14.

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 (EPS) for the quarter, topping the consensus estimate of $1.78 by $0.28. The firm had revenue of $483.60 million during the quarter, compared to analyst estimates of $472.00 million. Paycom Software had a net margin of 21.22% and a return on equity of 25.40%. The company's quarterly revenue was up 10.5% compared to the same quarter last year. During the same quarter in the prior year, the business posted $1.62 earnings per share. On average, research analysts expect that Paycom Software, Inc. will post 7.15 EPS for the current year.

Paycom Software Dividend Announcement

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 issued a dividend of $0.375 per share. 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 (DPR) is presently 20.30%.

Insider Transactions at Paycom Software

In other news, COO Randall Peck sold 890 shares of the firm's 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 trade represents a 1.77% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Chad R. Richison sold 23,200 shares of the firm's stock in a transaction that occurred on Wednesday, June 4th. The stock was 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 approximately $855,017,794.80. The trade was a 0.71% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 52,016 shares of company stock valued at $13,514,208. Corporate insiders own 10.90% of the company's stock.

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.

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