Raymond James Financial Inc. Trims Stock Holdings in Paycom Software, Inc. $PAYC

Key Points

• Raymond James Financial Inc. has reduced its stake in Paycom Software, Inc. by 14.3%, owning approximately 0.46% of the company valued at $58.39 million after selling over 44,600 shares.
• Paycom Software's quarterly earnings exceeded expectations, with reported earnings per share of $2.06 compared to the analysts' consensus estimate of $1.78, and revenue of $483.60 million.
• The company announced a quarterly dividend of $0.375 per share, equating to an annualized yield of 0.7%, with the ex-dividend date set for August 25th.

Raymond James Financial Inc. trimmed its holdings in shares of Paycom Software, Inc. (NYSE:PAYC - Free Report) by 14.3% in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 267,240 shares of the software maker's stock after selling 44,626 shares during the quarter. Raymond James Financial Inc. owned 0.46% of Paycom Software worth $58,386,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. SouthState Corp acquired a new stake in shares of Paycom Software during the 1st quarter worth about $27,000. von Borstel & Associates Inc. acquired a new stake in shares of Paycom Software during the 1st quarter worth about $27,000. Golden State Wealth Management LLC increased its position in shares of Paycom Software by 112.3% during the 1st quarter. Golden State Wealth Management LLC now owns 138 shares of the software maker's stock worth $30,000 after purchasing an additional 73 shares during the last quarter. MassMutual Private Wealth & Trust FSB increased its position in shares of Paycom Software by 135.9% during the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 151 shares of the software maker's stock worth $33,000 after purchasing an additional 87 shares during the last quarter. Finally, Opal Wealth Advisors LLC acquired a new stake in shares of Paycom Software during the 1st quarter worth about $35,000. 87.77% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several equities analysts have weighed in on the company. BMO Capital Markets lifted their target price 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. JPMorgan Chase & Co. lifted their target price on Paycom Software from $215.00 to $235.00 and gave the company a "neutral" rating in a research report on Thursday, August 7th. Cantor Fitzgerald assumed coverage on Paycom Software in a research report on Thursday, August 14th. They issued a "neutral" rating and a $230.00 target price for the company. Barclays lifted their target price 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. Finally, Piper Sandler lifted their target price on Paycom Software from $224.00 to $246.00 and gave the company a "neutral" rating in a research report on Thursday, May 8th. One equities research analyst has rated the stock with a Buy rating and eleven have given a Hold rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $234.36.

Insider Buying and Selling

In related news, insider Bradley Scott Smith sold 1,500 shares of the business's stock in a transaction that occurred on Thursday, June 12th. The stock was sold at an average price of $249.96, for a total transaction of $374,940.00. Following the completion of the sale, the insider owned 27,233 shares in the company, valued at $6,807,160.68. The trade was a 5.22% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, COO Randall Peck sold 890 shares of the business's stock in a transaction that occurred on Wednesday, June 4th. The stock was sold at an average price of $263.21, for a total value of $234,256.90. Following the sale, the chief operating officer owned 49,394 shares of the company's stock, valued at approximately $13,000,994.74. The trade was a 1.77% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 25,590 shares of company stock worth $6,761,837 over the last 90 days. 10.90% of the stock is owned by insiders.

Paycom Software Price Performance

Shares of Paycom Software stock traded down $4.74 on Tuesday, reaching $226.04. 679,238 shares of the company were exchanged, compared to its average volume of 705,676. Paycom Software, Inc. has a 1-year low of $153.08 and a 1-year high of $267.76. The company has a market cap of $13.08 billion, a P/E ratio of 30.59, a price-to-earnings-growth ratio of 2.52 and a beta of 0.81. The stock's 50 day moving average price is $228.80 and its 200-day moving average price 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 earnings per share 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 analysts' expectations of $472.00 million. Paycom Software had a return on equity of 25.40% and a net margin of 21.22%.The firm's revenue was up 10.5% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.62 earnings per share. On average, research analysts predict that Paycom Software, Inc. will post 7.15 earnings per share for the current fiscal year.

Paycom Software Announces Dividend

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

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.