Long Position on PAYC @ $42.15 on 11/13/2015 (Momentum)

Paycom Software, Inc. (PAYC) offers cloud-based human capital management (HCM) software solutions delivered as Software–as-a-Service in the United States.

It provides functionality and data analytics that businesses need to manage the complete employment life cycle from recruitment to retirement.

Its HCM solution offers a suite of applications in the areas of talent acquisition including applicant tracking, candidate tracker, background checks, on-boarding, E-Verify, and tax credit service applications; time and labor management, such as time and attendance, scheduling/schedule exchange, time-off requests, labor allocation, and labor management reports/push reporting, payroll and tax management, Paycom Pay, expense management, and garnishment management applications.

The company’s HCM solution also provides talent management applications comprising employee self-service, compensation budgeting, performance management, executive dashboard, and Paycom learning applications; and HR management applications, consisting of document and task management, government and compliance, benefits administration/benefits to carrier, COBRA administration, personnel action forms, surveys, and affordable care act dashboard applications. It primarily serves small to mid-sized companies.

Shares have formed a bullish "flag" following the company's recent earnings report. Higher share prices are expected for this stock.

NOTE: The company is selling 4.5M share Spot Secondary today priced at $42.15. We will use the weakness to establish a position.

52-Weeks Trading Range: $22.31 - $46.35

Entry Point: $42.15

Stop Loss: $40.00

Target Price: $46.40  

Updates

1/27/2016 12:04:13 PM

PAYC closed at $30.00

Position closed on 1/27/2016 at price of $30.00 with a -28.83% loss in 75 days.

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