Form 4: Paycom Software CIO Sells Shares Under Pre-Arranged Trading Plan

Paycom Software, Inc.'s Chief Information Officer, Bradley Scott Smith, sold 1,500 shares of common stock on June 12, 2025, through a pre-arranged Rule 10b5-1 trading plan.

Summary

• Bradley Scott Smith, the Chief Information Officer of Paycom Software, Inc. (PAYC), reported the sale of common stock.
• A total of 1,500 shares of common stock were sold on June 12, 2025.
• The sales were executed at weighted average prices ranging from $246.92 to $253.61 per share.
• These transactions were conducted pursuant to a Rule 10b5-1 trading plan, which was adopted by the Bradley Scott Smith Revocable Trust on December 12, 2024.
• Following these transactions, Bradley Scott Smith beneficially owns 27,233 shares indirectly through the Bradley Scott Smith Revocable Trust and 39,896 shares directly, totaling 67,129 shares.
• The direct ownership includes 13,294 unvested restricted stock units and 26,000 unvested shares of restricted stock.

Sentiment

Score: 5

Explanation: The sentiment is neutral. While insider selling can sometimes be viewed negatively, the fact that these sales were conducted under a pre-arranged Rule 10b5-1 trading plan mitigates concerns, as it suggests a planned diversification or liquidity event rather than a reaction to adverse company-specific news.

Positives

• The sales were conducted under a Rule 10b5-1 trading plan, indicating a pre-scheduled transaction for diversification or liquidity rather than a reaction to immediate market conditions or company performance.

Negatives

• An insider, the Chief Information Officer, sold a total of 1,500 shares of the company's common stock.

Risks

• While the sales were pre-planned, significant insider selling, even under a 10b5-1 plan, can sometimes be perceived negatively by investors, potentially signaling a lack of confidence or a desire to diversify holdings.

Future Outlook

This Form 4 filing is a disclosure of insider trading activity and does not contain any forward-looking statements or guidance regarding the company's future outlook.

Industry Context

This document is a routine insider transaction report (Form 4) specific to Paycom Software, Inc. and its Chief Information Officer. It does not provide information relevant to broader industry trends or competitive analysis.

Related Party Transactions

• The reported sales were made by Bradley Scott Smith, with beneficial ownership held indirectly through the Bradley Scott Smith Revocable Trust, of which he is the trustor and co-trustee. This constitutes a related party transaction.

Stakeholder Impact

• Shareholders: May view the insider selling with slight caution, although the pre-arranged nature of the 10b5-1 plan typically lessens the negative perception compared to ad-hoc sales.

Key Dates

Recommendation

Keywords

Paycom Software, PAYC, Insider Trading, Form 4, Stock Sale, Bradley Scott Smith, Chief Information Officer, 10b5-1 Plan, SEC Filing, Corporate Governance