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

Paycom's CEO, Chad Richison, executed sales of company stock on October 29, 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 October 29, 2024.
• The sales were executed under a joint Rule 10b5-1 trading plan adopted on February 16, 2024.
• The transactions involved multiple sales at weighted average prices ranging from $166.18 to $168.96.
• Richison sold shares directly and indirectly through Ernest Group, Inc., where he is the sole director and the entity is wholly owned by him and certain trusts for his children.
• He also has beneficial ownership through various irrevocable trusts for his grandchildren and children, and a revocable trust for his spouse.
• Following the reported transactions, Richison directly owns 2,752,860 shares and indirectly owns 3,448,699 shares through Ernest Group, Inc.

Sentiment

Score: 5

Explanation: The sentiment is neutral as the document simply reports stock sales under a pre-existing trading plan. It doesn't inherently indicate positive or negative sentiment about the company's performance.

Industry Context

Sales by insiders are a common occurrence, especially when executed under pre-arranged trading plans like Rule 10b5-1, which allows insiders to sell shares at predetermined times to avoid accusations of trading on non-public information. The market typically views these sales in the context of the overall health and prospects of the company.

Stakeholder Impact

• The stock sale could have a minor impact on shareholders, potentially causing a slight decrease in stock price due to increased supply.

Key Dates