Form 4: Paylocity Director Steven I. Sarowitz Sells Shares Under 10b5-1 Plan

Director Steven I. Sarowitz of Paylocity Holding Corp sold a total of 24,723 shares of common stock across multiple transactions on November 18th and 19th, 2024, under a pre-arranged 10b5-1 trading plan.

Summary

• Steven I. Sarowitz, a director and 10% owner of Paylocity Holding Corp, sold shares of the company's common stock.
• The sales occurred on November 18th and 19th, 2024.
• The transactions were executed under a pre-arranged 10b5-1 trading plan adopted on September 15, 2023.
• On November 18th, 2024, a total of 12,226 shares were sold at weighted average prices ranging from $195.43 to $198.33.
• On November 19th, 2024, a total of 12,497 shares were sold at weighted average prices ranging from $193.29 to $196.08.
• The total number of shares sold was 24,723.
• Following these transactions, Sarowitz directly owns 9,288,350 shares and indirectly owns 20,000 shares through a trust.

Sentiment

Score: 5

Explanation: The document is a routine disclosure of insider trading under a pre-arranged plan, which is neither positive nor negative in itself. The sentiment is neutral.

Risks

• Large sales by insiders can sometimes be perceived negatively by the market, potentially impacting the stock price.

Industry Context

Insider sales are a common occurrence in publicly traded companies, and the use of 10b5-1 plans allows insiders to sell shares while avoiding accusations of trading on non-public information. This filing is a routine disclosure of such activity.

Comparison to Industry Standards

• The use of 10b5-1 trading plans is a standard practice among corporate insiders to manage their stock sales.
• The volume of shares sold by Sarowitz is not unusual for a director and 10% owner of a company of Paylocity's size.
• Comparable companies often see similar filings from their directors and officers.

Stakeholder Impact

• The sales may have a minor impact on the stock price, but the pre-arranged nature of the sales should mitigate any significant negative reaction.

Key Dates

Keywords

Paylocity, PCTY, Steven I. Sarowitz, insider trading, 10b5-1 plan, stock sale, director, shareholder