5 Stocks Drawing Attention After Topping Quarterly Expectations

3. Paycom Software, Inc. (NYSE:PAYC)

Number of Hedge Fund Holders: 40

Shares of Paycom Software, Inc. (NYSE:PAYC) rose to a nearly one-month high on Wednesday, February 9, 2022, after delivering solid profit and sales for the fourth quarter. The provider of online payroll services and HR software solutions posted adjusted earnings of $1.11 per share, beating expectations of $1.08 per share.

Revenue came in at $285.0 million, above analysts’ average estimate of $275.66 million. In the same quarter of 2020, Paycom Software, Inc. (NYSE:PAYC) posted adjusted earnings of 84 cents per share on revenue of $220.9 million for the fourth quarter of 2020.

Moving forward, Paycom Software, Inc. (NYSE:PAYC) expects revenue in the range of $342 – $344 million for the current quarter and between $1.314 – $1.316 billion for the full year.

CEO Chad Richison expressed his satisfaction with the latest performance. Richison said in a statement:

“We delivered very strong results in 2021, reflecting outstanding execution and robust demand for Paycom’s differentiated solution. Our employee usage strategy, where employees are now able to do their own payroll with Beti™, helped deliver record annual revenue retention. Combining this with the momentum we are seeing and the sales and marketing investments we’ve made, we believe we are set up to deliver strong, high-margin revenue growth for years to come.”