Fred Alger Management, an investment management company, released its “Alger Mid Cap Growth Fund” fourth quarter 2023 investor letter. A copy of the same can be downloaded here. U.S. equities had a robust run in the fourth quarter, with the S&P Index finishing up 11.69%. The fund underperformed the Russell Midcap Growth Index in the quarter. The real estate and materials sector were the leading contributors while Industrials and information technology detracted. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Alger Mid Cap Growth Fund featured stocks like Paycom Software, Inc. (NYSE:PAYC) in the Q4 2023 investor letter. Headquartered in Oklahoma City, Oklahoma, Paycom Software, Inc. (NYSE:PAYC) is a cloud-based human capital management solution provider. On March 20, 2024, Paycom Software, Inc. (NYSE:PAYC) stock closed at $191.34 per share. One-month return of Paycom Software, Inc. (NYSE:PAYC) was 5.30%, and its shares lost 29.74% of their value over the last 52 weeks. Paycom Software, Inc. (NYSE:PAYC) has a market capitalization of $10.822 billion.
Alger Mid Cap Growth Fund stated the following regarding Paycom Software, Inc. (NYSE:PAYC) in its fourth quarter 2023 investor letter:
“Paycom Software, Inc. (NYSE:PAYC) is a human capital management software company that offers cloud-based platform for online payroll services, talent acquisition, talent management, time & labor and other human resource functions. Their recent launch of Beti (Better Employee Transaction Interface) helps streamline payroll processes by allowing employees to do their own payroll. During the quarter, the company reported weaker-than-expected fiscal third quarter results, where revenues fell below analyst estimates, leading management to lower their fiscal fourth quarter and fiscal 2024 revenue outlook. The company attributed the slowdown to their Beti self-help platform cannibalizing revenue from payroll re-runs due to fewer payroll errors. We believe Beti has the potential to prove to be a competitive advantage for Paycom.”
A close-up of two software engineers typing away at laptops in a modern, well-lit office.
Paycom Software, Inc. (NYSE:PAYC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. At the end of the fourth quarter, Paycom Software, Inc. (NYSE:PAYC) was held by 40 hedge fund portfolios, down from 43 in the previous quarter, according to our database.
We discussed Paycom Software, Inc. (NYSE:PAYC) in another article and shared The Brown Capital Management Small Company Fund’s views on the company. In addition, please check out our hedge fund investor letters Q4 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
