Latest news with #Dayforce
Yahoo
3 days ago
- Business
- Yahoo
HR Software Stocks Q1 Teardown: Paychex (NASDAQ:PAYX) Vs The Rest
The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let's take a look at how hr software stocks fared in Q1, starting with Paychex (NASDAQ:PAYX). Modern HR software has two powerful benefits: cost savings and ease of use. For cost savings, businesses large and small much prefer the flexibility of cloud-based, web-browser-delivered software paid for on a subscription basis rather than the hassle and complexity of purchasing and managing on-premise enterprise software. On the usability side, the consumerization of business software creates seamless experiences whereby multiple standalone processes like payroll processing and compliance are aggregated into a single, easy-to-use platform. The 5 HR software stocks we track reported a satisfactory Q1. As a group, revenues beat analysts' consensus estimates by 1.3% while next quarter's revenue guidance was 3.6% below. Thankfully, share prices of the companies have been resilient as they are up 5.2% on average since the latest earnings results. One of the oldest service providers in the industry, Paychex (NASDAQ:PAYX) offers its customers payroll and HR software solutions. Paychex reported revenues of $1.51 billion, up 4.8% year on year. This print was in line with analysts' expectations, but overall, it was a mixed quarter for the company with EBITDA in line with analysts' estimates. Paychex delivered the weakest performance against analyst estimates and slowest revenue growth of the whole group. Interestingly, the stock is up 11% since reporting and currently trades at $159.96. Is now the time to buy Paychex? Access our full analysis of the earnings results here, it's free. Founded by payroll software veteran Steve Sarowitz in 1997, Paylocity (NASDAQ:PCTY) is a provider of payroll and HR software for small and medium-sized enterprises. Paylocity reported revenues of $454.5 million, up 13.3% year on year, outperforming analysts' expectations by 2.9%. The business had a very strong quarter with a solid beat of analysts' EBITDA estimates. Paylocity delivered the biggest analyst estimates beat, fastest revenue growth, and highest full-year guidance raise among its peers. However, the results were likely priced into the stock as it's traded sideways since reporting. Shares currently sit at $193.72. Is now the time to buy Paylocity? Access our full analysis of the earnings results here, it's free. Founded in 1992 as Ceridian, an outsourced payroll processor and transformed after the 2012 acquisition of Dayforce, Dayforce (NYSE:DAY) is a provider of cloud based payroll and HR software targeted at mid-sized businesses. Dayforce reported revenues of $481.8 million, up 11.7% year on year, exceeding analysts' expectations by 1.1%. Still, it was a slower quarter as it posted revenue guidance for next quarter missing analysts' expectations. Dayforce delivered the weakest full-year guidance update in the group. Interestingly, the stock is up 1.7% since the results and currently trades at $59.20. Read our full analysis of Dayforce's results here. Created from the merger of two small workforce management companies in 2007, Asure (NASDAQ:ASUR) provides cloud based payroll and HR software for small and medium-sized businesses (SMBs). Asure reported revenues of $34.85 million, up 10.1% year on year. This number topped analysts' expectations by 1.7%. Zooming out, it was a satisfactory quarter as it also produced an impressive beat of analysts' EBITDA estimates. The stock is down 1.8% since reporting and currently trades at $9.59. Read our full, actionable report on Asure here, it's free. Founded in 1998 as one of the first online payroll companies, Paycom (NYSE:PAYC) provides software for small and medium-sized businesses (SMBs) to manage their payroll and HR needs in one place. Paycom reported revenues of $530.5 million, up 6.1% year on year. This print surpassed analysts' expectations by 0.9%. Overall, it was a very strong quarter as it also produced a solid beat of analysts' EBITDA estimates and full-year EBITDA guidance exceeding analysts' expectations. The stock is up 15.3% since reporting and currently trades at $263.57. Read our full, actionable report on Paycom here, it's free. In response to the Fed's rate hikes in 2022 and 2023, inflation has been gradually trending down from its post-pandemic peak, trending closer to the Fed's 2% target. Despite higher borrowing costs, the economy has avoided flashing recessionary signals. This is the much-desired soft landing that many investors hoped for. The recent rate cuts (0.5% in September and 0.25% in November 2024) have bolstered the stock market, making 2024 a strong year for equities. Donald Trump's presidential win in November sparked additional market gains, sending indices to record highs in the days following his victory. However, debates continue over possible tariffs and corporate tax adjustments, raising questions about economic stability in 2025. Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
02-06-2025
- Business
- Yahoo
1 Cash-Producing Stock with Exciting Potential and 2 to Question
A company that generates cash isn't automatically a winner. Some businesses stockpile cash but fail to reinvest wisely, limiting their ability to expand. Cash flow is valuable, but it's not everything - StockStory helps you identify the companies that truly put it to work. Keeping that in mind, here is one cash-producing company that reinvests wisely to drive long-term success and two that may face some trouble. Trailing 12-Month Free Cash Flow Margin: 11.6% Founded in 1992 as Ceridian, an outsourced payroll processor and transformed after the 2012 acquisition of Dayforce, Dayforce (NYSE:DAY) is a provider of cloud based payroll and HR software targeted at mid-sized businesses. Why Does DAY Worry Us? Sales trends were unexciting over the last three years as its 18.7% annual growth was below the typical software company Gross margin of 50.3% is way below its competitors, leaving less money to invest in areas like marketing and R&D Expenses have increased as a percentage of revenue over the last year as its operating margin fell by 3.4 percentage points At $59.08 per share, Dayforce trades at 4.8x forward price-to-sales. Dive into our free research report to see why there are better opportunities than DAY. Trailing 12-Month Free Cash Flow Margin: 20.6% Born from a real estate investment trust that transformed into a manufacturing powerhouse, Danaher (NYSE:DHR) is a global science and technology company that provides specialized equipment, software, and services for biotechnology, life sciences, and diagnostics. Why Do We Think Twice About DHR? Core business is underperforming as its organic revenue has disappointed over the past two years, suggesting it might need acquisitions to stimulate growth Adjusted operating margin declined by 4.3 percentage points over the last two years as its sales cratered Free cash flow margin dropped by 6.2 percentage points over the last five years, implying the company became more capital intensive as competition picked up Danaher's stock price of $190.50 implies a valuation ratio of 24x forward P/E. Check out our free in-depth research report to learn more about why DHR doesn't pass our bar. Trailing 12-Month Free Cash Flow Margin: 5.1% Known for projects like the construction of Guantanamo Bay, KBR provides professional services and technologies, specializing in engineering, construction, and government services sectors. Why Does KBR Stand Out? 10.3% annual revenue growth over the last two years surpassed the sector average as its offerings resonated with customers Operating margin expanded by 4.9 percentage points over the last five years as it scaled and became more efficient Share buybacks catapulted its annual earnings per share growth to 15.8%, which outperformed its revenue gains over the last five years KBR is trading at $52.19 per share, or 13.5x forward P/E. Is now a good time to buy? Find out in our full research report, it's free. Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
30-05-2025
- Business
- Yahoo
Spotting Winners: Dayforce (NYSE:DAY) And HR Software Stocks In Q1
The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let's take a look at how HR software stocks fared in Q1, starting with Dayforce (NYSE:DAY). Modern HR software has two powerful benefits: cost savings and ease of use. For cost savings, businesses large and small much prefer the flexibility of cloud-based, web-browser-delivered software paid for on a subscription basis rather than the hassle and complexity of purchasing and managing on-premise enterprise software. On the usability side, the consumerization of business software creates seamless experiences whereby multiple standalone processes like payroll processing and compliance are aggregated into a single, easy-to-use platform. The 5 HR software stocks we track reported a satisfactory Q1. As a group, revenues beat analysts' consensus estimates by 1.3% while next quarter's revenue guidance was 3.6% below. In light of this news, share prices of the companies have held steady as they are up 4.3% on average since the latest earnings results. Founded in 1992 as Ceridian, an outsourced payroll processor and transformed after the 2012 acquisition of Dayforce, Dayforce (NYSE:DAY) is a provider of cloud based payroll and HR software targeted at mid-sized businesses. Dayforce reported revenues of $481.8 million, up 11.7% year on year. This print exceeded analysts' expectations by 1.1%. Despite the top-line beat, it was still a slower quarter for the company with revenue guidance for next quarter missing analysts' expectations and billings in line with analysts' estimates. "We kicked off the year with strong first quarter results and excellent sales momentum,' said David Ossip, Chair and CEO of Dayforce. Dayforce delivered the weakest full-year guidance update of the whole group. The market was likely pricing in the results, and the stock is flat since reporting. It currently trades at $57.70. Read our full report on Dayforce here, it's free. Founded by payroll software veteran Steve Sarowitz in 1997, Paylocity (NASDAQ:PCTY) is a provider of payroll and HR software for small and medium-sized enterprises. Paylocity reported revenues of $454.5 million, up 13.3% year on year, outperforming analysts' expectations by 2.9%. The business had a very strong quarter with an impressive beat of analysts' EBITDA estimates. Paylocity scored the biggest analyst estimates beat, fastest revenue growth, and highest full-year guidance raise among its peers. The market seems content with the results as the stock is up 2.9% since reporting. It currently trades at $200. Is now the time to buy Paylocity? Access our full analysis of the earnings results here, it's free. One of the oldest service providers in the industry, Paychex (NASDAQ:PAYX) offers its customers payroll and HR software solutions. Paychex reported revenues of $1.51 billion, up 4.8% year on year, in line with analysts' expectations. It was a mixed quarter as it posted EBITDA in line with analysts' estimates. Paychex delivered the weakest performance against analyst estimates and slowest revenue growth in the group. Interestingly, the stock is up 9.1% since the results and currently trades at $157.14. Read our full analysis of Paychex's results here. Founded in 1998 as one of the first online payroll companies, Paycom (NYSE:PAYC) provides software for small and medium-sized businesses (SMBs) to manage their payroll and HR needs in one place. Paycom reported revenues of $530.5 million, up 6.1% year on year. This result topped analysts' expectations by 0.9%. It was a very strong quarter as it also produced a solid beat of analysts' EBITDA estimates. The stock is up 11.9% since reporting and currently trades at $255.68. Read our full, actionable report on Paycom here, it's free. Created from the merger of two small workforce management companies in 2007, Asure (NASDAQ:ASUR) provides cloud based payroll and HR software for small and medium-sized businesses (SMBs). Asure reported revenues of $34.85 million, up 10.1% year on year. This number beat analysts' expectations by 1.7%. More broadly, it was a satisfactory quarter as it also recorded an impressive beat of analysts' EBITDA estimates. The stock is down 1.3% since reporting and currently trades at $9.64. Read our full, actionable report on Asure here, it's free. The Fed's interest rate hikes throughout 2022 and 2023 have successfully cooled post-pandemic inflation, bringing it closer to the 2% target. Inflationary pressures have eased without tipping the economy into a recession, suggesting a soft landing. This stability, paired with recent rate cuts (0.5% in September 2024 and 0.25% in November 2024), fueled a strong year for the stock market in 2024. The markets surged further after Donald Trump's presidential victory in November, with major indices reaching record highs in the days following the election. Still, questions remain about the direction of economic policy, as potential tariffs and corporate tax changes add uncertainty for 2025. Want to invest in winners with rock-solid fundamentals? Check out our Top 5 Quality Compounder Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
24-05-2025
- Business
- Business Insider
Dayforce price target lowered to $65 from $75 at Jefferies
Jefferies analyst Samad Samana lowered the firm's price target on Dayforce (DAY) to $65 from $75 and keeps a Hold rating on the shares. The firm updated models in the software sector. Confident Investing Starts Here:
Business Upturn
21-05-2025
- Business
- Business Upturn
Rimini Street Launches Rimini Manage™ for Dayforce
Las Vegas, United States: Rimini Street, Inc. (Nasdaq: RMNI), a global provider of end-to-end enterprise software support, management and innovation solutions, and the leading third-party support provider for Oracle, SAP and VMware software, today announced it has been appointed as a Dayforce (NYSE: DAY) Community Partner and has launched Rimini Manage™ for Dayforce with immediate availability. This press release features multimedia. View the full release here: Rimini Street Launches Rimini Manage™ for Dayforce Manage and Extend Dayforce with One Trusted Partner Rimini Manage for Dayforce includes services for the Dayforce™ Human Capital Management (HCM) cloud-based platform (HR, Payroll, Benefits, Workforce Management and Talent Management), to help organizations run, maintain, and enhance their systems at a lower total operating cost. With an unlimited ticketing model and industry-leading SLAs, Rimini Manage clients benefit from a robust, unique offering that staffs each engagement with Dayforce-knowledgeable professionals and keeps systems running smoothly day-to-day at a predictable operating cost. Rimini Street has also launched Rimini Consult™ for Dayforce with immediate availability. Services include roadmap and strategic planning; advisory services around Dayforce selection, deployment, ecosystem and operations; major feature deployment; and technical and functional health checks, diagnostics, configuration and performance tuning for Dayforce. 'Rimini Street currently supports client HCM software and operations in over 160 countries, territories and administrative regions,' said Frank Reneke, group vice president of Rimini Custom™. 'With Dayforce's global payroll processing capabilities and the highly customizable, flexible nature of the Dayforce platform, it can be integrated with SAP, Oracle, Infor, Microsoft and other ERP systems to further extend and maximize the potential of a client's Dayforce system while helping to streamline processes and realize substantial annual operating savings. We look forward to being a trusted partner to our Rimini Manage for Dayforce clients.' 'Rimini Street is one of the most experienced and trusted support providers of global HR, time management, and payroll,' said Beata Reimer, group vice president, Global Partner Ecosystem, Dayforce, Inc. 'We already have strong momentum with more than 200 Dayforce customers choosing Rimini Street as their trusted enterprise software service provider. We see tremendous opportunity working alongside Rimini Street and welcome them as a Dayforce Community Partner.' In addition to its services for Dayforce, Rimini Street also offers a full set of services to support, optimize and transform organizations within existing budgets, using its unique and proven Rimini Smart Path™ methodology. Learn more about Rimini Street's Dayforce services here and connect to schedule a Rimini Smart Path™ workshop led by Rimini Street's expert Regional CTOs in your time zone. About Rimini Street, Inc. Rimini Street, Inc. (Nasdaq: RMNI), a Russell 2000® Company, is a global provider of end-to-end enterprise software support and innovation solutions, and the leading third-party support provider for Oracle, SAP and VMware software. The Company offers a comprehensive portfolio of unified solutions to run, manage, support, customize, configure, connect, protect, monitor, and optimize enterprise application, database, and technology software. The Company has signed thousands of contracts with Fortune Global 100, Fortune 500, midmarket, public sector and government organizations who selected Rimini Street as their trusted, proven mission-critical enterprise software solutions provider and achieved better operational outcomes, realized billions of US dollars in savings and funded AI and other innovation investments. To learn more, please visit and connect with Rimini Street on X, Facebook, Instagram, and LinkedIn. Forward-Looking Statements Certain statements included in this communication are not historical facts but are forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. 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These risks and uncertainties include, but are not limited to, adverse developments in and costs associated with defending pending litigation or any new litigation, including the disposition of pending motions to appeal and any new claims; any expenses to be incurred to comply with any injunction ordered by the courts relating to the Rimini II litigation matter and the impact on future period revenue and costs incurred related to these efforts; changes in the business environment in which Rimini Street operates, including the impact of any recessionary macro-economic trends, heightened geopolitical tensions and changes in foreign exchange rates, as well as general financial, economic, regulatory and political conditions affecting the industry in which we operate and the industries in which our clients operate; the evolution of the enterprise software management and support landscape and our ability to educate the market to attract and retain clients and further penetrate our client base; significant competition in the software support services industry and our intentions with respect to our pricing model; customer adoption of our expanded portfolio of products and services and products and services we expect to introduce; our expectations regarding new product offerings, partnerships and alliance programs, including but not limited to our partnership with ServiceNow; our ability to grow our revenue and accurately forecast revenue, along with the results of any efforts to manage costs in light of current revenue expectations and expansion of our offerings; the expected impact of reductions in our workforce during the last and current fiscal year and associated reorganization costs; estimates of our total addressable market and expectations of client savings relative to use of other providers; variability of timing in our sales cycle; risks relating to retention rates, including our ability to accurately predict retention rates; the loss of one or more members of our management team; our ability to attract and retain additional qualified personnel; our business plan, our ability to grow in the future and our ability to achieve and maintain profitability; our plans to wind-down the offering of services for Oracle PeopleSoft products; the volatility of our stock price and related compliance with stock exchange requirements; our need and ability to raise equity or debt financing on favorable terms and our ability to generate cash flows from operations to help fund increased investment in our growth initiatives; risks associated with global operations; our ability to prevent unauthorized access to our information technology systems and other cybersecurity threats; any deficiencies associated with generative artificial intelligence (AI) technologies potentially used by us or used by our third-party vendors and service providers; our ability to protect the confidential information of our employees and clients and to comply with privacy regulations; our ability to maintain an effective system of internal control over financial reporting; our ability to maintain, protect and enhance our brand and intellectual property; changes in laws and regulations, including changes in tax laws or unfavorable outcomes of tax positions we take; tariff costs (including tariff relief or the ability to mitigate tariffs, in light of new or increased tariffs imposed by the United States government and the potential for retaliatory trade measures by affected countries); a failure by us to establish adequate tax reserves; our ability to realize benefits from our net operating losses; any negative impact of environmental, social and governance matters on our reputation or business and the exposure of our business to additional costs or risks from our reporting on such matters; our ability to maintain our good standing with the United States government and international governments and capture new contracts with governmental entities; our credit facility's ongoing debt service obligations and financial and operational covenants on our business and related interest rate risk; the sufficiency of our cash and cash equivalents to meet our liquidity requirements; the amount and timing of repurchases, if any, under our stock repurchase program and our ability to enhance stockholder value through such program; uncertainty as to the long-term value of Rimini Street's equity securities; catastrophic events that disrupt our business or that of our clients; and those discussed under the heading 'Risk Factors' in Rimini Street's Quarterly Report on Form 10-Q filed on May 1, 2025, and as updated from time to time by Rimini Street's future Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and other filings by Rimini Street with the Securities and Exchange Commission. In addition, forward-looking statements provide Rimini Street's expectations, plans or forecasts of future events and views as of the date of this communication. Rimini Street anticipates that subsequent events and developments will cause Rimini Street's assessments to change. However, while Rimini Street may elect to update these forward-looking statements at some point in the future, Rimini Street specifically disclaims any obligation to do so, except as required by law. These forward-looking statements should not be relied upon as representing Rimini Street's assessments as of any date subsequent to the date of this communication. © 2025 Rimini Street, Inc. All rights reserved. 'Rimini Street' is a registered trademark of Rimini Street, Inc. in the United States and other countries, and Rimini Street, the Rimini Street logo, and combinations thereof, and other marks marked by TM are trademarks of Rimini Street, Inc. All other trademarks remain the property of their respective owners, and unless otherwise specified, Rimini Street claims no affiliation, endorsement, or association with any such trademark holder or other companies referenced herein. View source version on Disclaimer: The above press release comes to you under an arrangement with Business Wire. Business Upturn takes no editorial responsibility for the same.
