Investment Manager Doubles Down on Paycom, Acquires $95 Million Worth of Shares

On February 10, 2026, Reinhart Partners disclosed a important bargain of Paycom (NYSE:PAYC), adding 537,726 shares successful a transaction estimated astatine $95.28 cardinal based connected quarterly mean pricing.

According to an SEC filing dated February 10, 2026, Reinhart Partners accrued its holding successful Paycom by 537,726 shares. The estimated transaction worth was $95.28 million, based connected the mean closing terms during the quarter. At quarter-end, the worth of the involvement roseate by $82.74 cardinal compared to the anterior period, a fig that includes some the interaction of stock purchases and marketplace terms changes.

The determination was a buy, resulting successful Paycom accounting for 2.9% of the fund’s reportable assets arsenic of December 31, 2025.

Top holdings aft the filing:

• NASDAQ: FCNCA: $167.04 cardinal (5.0% of AUM)

• NASDAQ: SIMO: $145.85 cardinal (4.4% of AUM)

• NYSE: YETI: $134.08 cardinal (4.0% of AUM)

• NASDAQ: IDCC: $132.97 cardinal (4.0% of AUM)

• NASDAQ: ACLS: $127.73 cardinal (3.8% of AUM)

As of February 10, 2026, shares were priced astatine $124.94, down 38.5% implicit the past twelvemonth and trailing the S&P 500 by 53.0 percent points.

• Provides cloud-based quality superior absorption (HCM) solutions, including payroll, endowment acquisition, clip and labour management, and analytics applications.

• Operates a software-as-a-service (SaaS) concern model, generating recurring gross from subscription fees for its suite of integrated HCM tools.

• Serves tiny to mid-sized businesses successful the United States seeking broad workforce absorption and compliance solutions.

Paycom provides cloud-based HCM bundle delivered done a SaaS model, offering end-to-end workforce absorption solutions for tiny to mid-sized businesses successful the United States.

Reinhart Partners, a Wisconsin-based concern absorption firm, acquired astir $95 cardinal worthy of Paycom shares during the 4th fourth (the 3 months ending connected Dec. 31, 2025). Here’s what investors should instrumentality distant from this transaction.

First off, it’s important to contextualize this purchase. Paycom shares person been successful dependable diminution for respective years. Indeed, since 2021, Paycom banal has fallen by astir 70%. While determination are galore reasons for this slide, the biggest has to beryllium the emergence of artificial quality (AI).

Many analysts are acrophobic that AI volition service arsenic a replacement to galore ‘off-the-shelf’ bundle products — peculiarly successful the tract of payroll and quality resources. That would beryllium a large occupation for Paycom, whose concern exemplary revolves astir the merchantability of specified products. What’s more, the interest isn’t simply theoretical. Paycom’s gross maturation has slowed from 30% successful 2021 to nether 10% successful 2025.