Jeffrey T. Diehl, a director at Paylocity (NASDAQ:PCTY) Holding Corp (NASDAQ:PCTY), recently executed a series of stock sales totaling $5.82 million. The transactions occurred on November 5, 2024, involving the sale of common stock at prices ranging from $195.42 to $197.12 per share.
Diehl's sales were conducted through various funds managed by Adams Street Partners, LLC, where he holds a partnership position. The shares sold were held by funds including Adams Street 2006 Direct Fund L.P., Adams Street 2007 Direct Fund L.P., and others, with Diehl's reported holdings now reflecting the changes post-transaction.
These transactions were part of a broader series of sales executed by Diehl, who is not only a director at Paylocity but also a partner at Adams Street Partners, LLC. The sales were conducted indirectly through the aforementioned funds, with Diehl disclaiming beneficial ownership except for any pecuniary interest.
In other recent news, Paylocity Holding has seen significant developments in the financial sector. The company reported a robust first-quarter performance with a 14% revenue growth and higher-than-anticipated EBITDA margins. In response to these results, Paylocity has revised its top-line forecast for the fiscal year 2025 upwards by $22 million.
This positive performance has led to several analyst upgrades. Needham reaffirmed its Buy rating on Paylocity, maintaining a $220.00 price target. BMO Capital and Piper Sandler raised their price targets for Paylocity to $203 and $212 respectively, while Jefferies upgraded Paylocity stock from Hold to Buy, setting a new price target of $200.00.
Additionally, the company has recently acquired Airbase, a spend management platform. This strategic move is expected to enhance Paylocity's product offerings and potentially drive further growth. These are among the recent developments for Paylocity.
InvestingPro Insights
In light of Jeffrey T. Diehl's recent stock sales at Paylocity Holding Corp (NASDAQ:PCTY), it's worth examining some key financial metrics and insights provided by InvestingPro.
Paylocity's market capitalization stands at $11.76 billion, reflecting its significant presence in the payroll and human capital management software sector. The company's impressive gross profit margin of 68.67% for the last twelve months as of Q1 2025 underscores its ability to maintain profitability in a competitive market. This aligns with one of the InvestingPro Tips, which highlights Paylocity's "impressive gross profit margins."
Despite the recent insider sales, Paylocity's stock has shown strong performance, with a 28.8% price return over the past month and a 40.37% return over the last three months. This robust performance is reflected in another InvestingPro Tip, which notes a "significant return over the last week."
However, investors should be aware that the stock is trading at a P/E ratio of 53.32, which could be considered high by some standards. This is consistent with an InvestingPro Tip indicating that Paylocity is "trading at a high earnings multiple."
For those interested in a more comprehensive analysis, InvestingPro offers 20 additional tips for Paylocity, providing a deeper understanding of the company's financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.