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

Paycom's CEO, Chad Richison, executed multiple sales of company stock on July 24, 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 July 24, 2024.
• The sales were executed under a Rule 10b5-1 trading plan adopted on February 16, 2024.
• The transactions involved multiple sales at varying prices, ranging from $158.73 to $165.39 per share.
• 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.
• After the reported transactions, Richison directly owns 3,004,208 shares and indirectly owns 3,581,299 shares through Ernest Group, Inc.

Sentiment

Score: 5

Explanation: The document is a standard SEC filing related to stock sales by an executive. It doesn't inherently convey positive or negative sentiment, as it's a factual report of transactions under a pre-existing trading plan.

Industry Context

Executive stock sales are a common occurrence, but are closely watched by investors for signals about a company's prospects. Sales under a 10b5-1 plan are generally viewed as less indicative of management's view of the company's future, as the plans are pre-arranged.

Stakeholder Impact

• The stock sales could have a minor impact on shareholder sentiment, although the existence of a 10b5-1 plan mitigates concerns about insider information.

Key Dates