OKLAHOMA CITY--(BUSINESS WIRE)--Federman & Sherwood announces that on November 10, 2023, a class action lawsuit was filed in the United States District Court for the Western District of Oklahoma against Paycom Software, Inc., Chad Richison and Craig Boelte (“Defendants”). The Complaint alleges that defendants throughout the Class Period, which is May 3, 2023 through November 1, 2023, made materially false and/or misleading statements and/or failed to disclose that: (1) Paycom’s Beit product led to cannibalization of the Paycom’s services and revenues; (2) Paycom knew but failed to disclose that Beti was leading to cannibalization of Paycom’s services and revenues, and failed to warn of cannibalization as a general risk; (3) as a result of cannibalization of revenue, Paycom missed its expected 3Q23 revenue and would have to revise its expected 2023 revenues; (4) the cannibalization issue resulted in projected 2024 year-over-year revenue growth to between 10% and 12%, well below expectations; and (5) as a result, defendants’ statements about its business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
Plaintiffs seek to recover damages on behalf of all Paycom Software, Inc., investors who purchased Paycom securities during the Class Period. You may move the Court no later than Tuesday, January 9, 2024, to serve as a lead plaintiff for the Class. However, to do so, you must meet certain legal requirements pursuant to the Private Securities Litigation Reform Act of 1995 (PSLRA).
If you want to discuss this action, obtain further information and participate in this or any other securities litigation, or should you have any questions or concerns regarding this notice or preservation of your rights, please contact: