Paycom Software Inc (PAYC) released its first quarter results on Wednesday, May 5, 2021. The company reported net earnings of $1.11 per share for the first quarter ending March 31, 2021. Earnings for this past quarter were up 3 percent compared to the same period a year ago.
Paycom Software, Inc. was founded in 1998 and is headquartered in Oklahoma City, Oklahoma. Paycom Software, Inc. provides cloud-based human capital management (HCM) solution delivered as software-as-a-service for small to mid-sized companies in the United States. It offers functionality and data analytics that businesses need to manage the employment life cycle from recruitment to retirement.
Paycom Software's revenue increased 12 percent over the past trailing twelve-month period versus the previous twelve-month period. Gross margins decreased to 89.32% for the first quarter compared to the same period in the previous year, and operating margins decreased to 34.73% over the same period. Net earnings for past trailing twelve months were $145.04 million, down 26% from the prior year.
Moving on to the balance sheet, Paycom Software's cash levels jumped 88% for the first quarter over the same period last year. Overall liquidity of the balance sheet, as measured by the current ratio, decreased 1.27% this past year. The current ratio for Paycom Software now stands at 1.06. The company increased shares outstanding by 0.21%.
Shares of PAYC are currently trading around $341.09. In terms of valuation, the stock is trading at a trailing twelve-month price to earnings ratio of 136.89 and price to book ratio of 26.72.
_____
This article was written by Value Investing News (https://www.valueinvestingnews.com) on Thursday, May 6, 2021.