Form 4: Paycom CEO Chad Richison Sells Shares Under 10b5-1 Trading Plan

Paycom's CEO, Chad Richison, executed sales of company stock on August 14, 2024, under a pre-arranged 10b5-1 trading plan.

Summary

• Chad Richison, CEO, President, and Chairman of Paycom Software, Inc., sold shares of common stock on August 14, 2024.
• The sales were executed under a pre-arranged Rule 10b5-1 trading plan adopted on February 16, 2024.
• A total of 1,950 shares were sold directly by Richison at prices ranging from $153.84 to $156.40.
• Additionally, 1,950 shares held by Ernest Group, Inc., where Richison is the sole director and which he wholly owns with certain trusts, were also sold.
• Richison also reported beneficial ownership of shares held in various irrevocable trusts for his children and grandchildren, as well as a trust for his spouse.
• Following the transactions, Richison directly owns 2,974,958 shares of Paycom common stock.
• Richison indirectly owns 3,552,049 shares through Ernest Group, Inc.
• He also has indirect ownership through various trusts.

Sentiment

Score: 5

Explanation: The document is a standard SEC filing reporting stock sales by an insider. It doesn't inherently convey positive or negative sentiment, but rather provides factual information about transactions.

Industry Context

Sales by insiders are a common occurrence and are often pre-planned to avoid accusations of trading on inside information. The use of a 10b5-1 plan provides a structured approach to these transactions.

Stakeholder Impact

• The stock sales could have a minor impact on shareholder sentiment, depending on how the market interprets the insider activity.
• The sales do not appear to directly impact employees, customers, suppliers, or creditors.

Key Dates