Paycom (NYSE: PAYC), a developer of human capital management (HCM) software, has been serving up some impressive business results and laying the foundations for a global expansion initiative that could prove rewarding for shareholders. On the other hand, the stock got caught up in the market's pivot away from growth-dependent companies in 2022, and continued to lose ground this year. Its share price is down 51% from its high.
But in the wake of its fantastic first-quarter report, this looks like a great time to invest in the promising enterprise software company.
Paycom's Beti platform provides HCM services, including human-resources tools and payroll services, and has been making impressive gains in its corner of the software market. The company's revenue grew 28% year over year in the first quarter to $452 million, and net income came in at $119 million -- good for a 26% margin. Net income was up roughly 30% compared to the prior-year period, and diluted earnings per share were up 29.5%.
Source Fool.com