Paycom Software is one of the leading companies when it comes to HR and payroll technology solutions. The company has clients in all 50 states of the US and its technology covers a wide range of human resource functions. A cloud-based approach makes it easier for Paycom to scale up and deploy updates. It also saves money for clients as they don’t have to spend large amounts of equipment and infrastructure. Greater use of technology in human capital management will be critical as the concept of remote working takes off. If you are looking to buy now technology stocks, then it may be worthwhile to consider niche areas like human resources. Most investors think of traditional software companies or a stock like Netflix when they think of tech stocks. But, lesser-obvious sectors could throw up enticing opportunities.
Paycom Reported Q12021 Results in May 2021
On 4th May 2021, Paycom Software reported its first-quarter 2021 earnings results. Total revenues were up from $242 million in Q12020 to $272 million. Net income, meanwhile, was up marginally from $63 million in Q12020 to $64 million. Earnings per share on a diluted basis came in at $1.11 as compared to $1.08 in Q12020. Company CEO Chad Richison pointed out how increased digital transformation had created a higher demand among employees to be able to access their HR data. He also said that Paycom had a 5% market share and that the runway for growth for Paycom was long. If investors are looking to buy tech stocks today, then Paycom could be an option worth exploring further.
Buy Now Technology Stocks
Paycom’s stock has performed very well since the company went public in 2014. The stock has grown from around $15 to $388 in July 2021. That is a growth of over 2000% or 20X. The price has seen a couple of significant retracements in 2020 and 2021. However, the longer term prospects of the business seem to be intact.