Reinhart Partners LLC. Has $95.35 Million Stock Position in Paycom Software, Inc. $PAYC

Key Points

• Reinhart Partners LLC sharply increased its Paycom Software stake by 887.4% in the fourth quarter, ending with 598,323 shares valued at about $95.35 million. The position now makes up roughly 2.9% of the fund’s portfolio.
• Paycom reported better-than-expected quarterly results, with EPS of $3.15 versus estimates of $2.99 and revenue of $571.8 million versus expectations of $564.37 million. Revenue rose 7.8% year over year.
• Analysts remain mixed on PAYC, with an average rating of “Hold” and a consensus price target of $159.67. The company also declared a quarterly dividend of $0.375 per share, or $1.50 annually, for a 1.0% yield.

Reinhart Partners LLC. boosted its holdings in shares of Paycom Software, Inc. (NYSE:PAYC - Free Report) by 887.4% in the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 598,323 shares of the software maker's stock after purchasing an additional 537,726 shares during the period. Paycom Software comprises approximately 2.9% of Reinhart Partners LLC.'s investment portfolio, making the stock its 13th biggest position. Reinhart Partners LLC. owned 1.06% of Paycom Software worth $95,351,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in PAYC. CIBC Asset Management Inc raised its holdings in shares of Paycom Software by 70.8% during the 4th quarter. CIBC Asset Management Inc now owns 11,775 shares of the software maker's stock worth $1,876,000 after buying an additional 4,879 shares in the last quarter. Goldman Sachs Group Inc. raised its holdings in shares of Paycom Software by 5.2% during the 4th quarter. Goldman Sachs Group Inc. now owns 552,470 shares of the software maker's stock worth $88,042,000 after buying an additional 27,069 shares in the last quarter. Dynasty Wealth Management LLC raised its holdings in shares of Paycom Software by 3.7% during the 4th quarter. Dynasty Wealth Management LLC now owns 3,381 shares of the software maker's stock worth $539,000 after buying an additional 121 shares in the last quarter. MUFG Securities EMEA plc raised its holdings in shares of Paycom Software by 109.1% during the 4th quarter. MUFG Securities EMEA plc now owns 2,003 shares of the software maker's stock worth $319,000 after buying an additional 1,045 shares in the last quarter. Finally, Sfmg LLC raised its holdings in shares of Paycom Software by 94.4% during the 4th quarter. Sfmg LLC now owns 1,983 shares of the software maker's stock worth $316,000 after buying an additional 963 shares in the last quarter. 87.77% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

PAYC has been the subject of a number of research analyst reports. Cantor Fitzgerald boosted their price target on Paycom Software from $115.00 to $135.00 and gave the stock a "neutral" rating in a report on Friday, March 6th. BMO Capital Markets boosted their price target on Paycom Software from $137.00 to $145.00 and gave the stock a "market perform" rating in a report on Thursday, May 7th. Mizuho boosted their price target on Paycom Software from $120.00 to $130.00 and gave the stock a "neutral" rating in a report on Thursday, May 7th. Citigroup boosted their target price on shares of Paycom Software from $120.00 to $136.00 and gave the stock a "neutral" rating in a research note on Thursday, May 7th. Finally, Zacks Research raised shares of Paycom Software from a "hold" rating to a "strong-buy" rating in a research note on Monday, May 18th. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Hold" and a consensus price target of $159.67.

Paycom Software Price Performance

Shares of NYSE:PAYC opened at $144.01 on Wednesday. The firm has a market cap of $6.86 billion, a PE ratio of 16.65, a price-to-earnings-growth ratio of 1.29 and a beta of 0.79. The firm's fifty day moving average is $128.55 and its 200-day moving average is $140.22. The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.08 and a current ratio of 1.08. Paycom Software, Inc. has a 52 week low of $104.90 and a 52 week high of $267.76.

Paycom Software (NYSE:PAYC - Get Free Report) last issued its quarterly earnings results on Wednesday, May 6th. The software maker reported $3.15 EPS for the quarter, topping analysts' consensus estimates of $2.99 by $0.16. The company had revenue of $571.80 million for the quarter, compared to analyst estimates of $564.37 million. Paycom Software had a net margin of 22.44% and a return on equity of 28.34%. Paycom Software's revenue was up 7.8% compared to the same quarter last year. During the same quarter in the previous year, the business earned $2.80 earnings per share. Sell-side analysts predict that Paycom Software, Inc. will post 9.16 earnings per share for the current year.

Paycom Software Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, June 8th. Stockholders of record on Tuesday, May 26th will be issued a dividend of $0.375 per share. This represents a $1.50 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date is Tuesday, May 26th. Paycom Software's payout ratio is 17.34%.

Paycom Software Profile

Paycom Software, Inc NYSE: PAYC is a cloud-based human capital management (HCM) software provider that delivers an end-to-end solution for human resources, payroll, talent acquisition, time and labor management, and talent management. Its single-database platform enables organizations to process payroll, track time, administer benefits, and manage recruiting and employee development through a unified system. Paycom's software is designed to streamline administrative tasks, improve data accuracy, and provide real-time reporting and analytics to support strategic HR decisions.

The company's core offerings include payroll processing with built-in tax compliance, employee self-service functionality, automated time tracking, and customizable talent acquisition tools that allow employers to create and post job requisitions, screen candidates, and conduct onboarding electronically.

Want to see what other hedge funds are holding PAYC? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Paycom Software, Inc. (NYSE:PAYC - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.