Paycor (PYCR) Q2 Earnings Report Preview: What To Look For

Petr Huřťák /
2024/02/06 2:02 am EST

Online payroll and human resource software provider Paycor (NASDAQ:PYCR) will be reporting results tomorrow after the bell. Here's what investors should know.

Last quarter Paycor reported revenues of $143.6 million, up 21.4% year on year, beating analyst revenue expectations by 2.9%. It was a mixed quarter for the company, with a decent beat of analysts' revenue estimates but underwhelming revenue guidance for the next quarter.

Is Paycor buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Paycor's revenue to grow 17.2% year on year to $155.8 million, slowing down from the 28.9% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.09 per share.

Paycor Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 4.1%.

With Paycor being the first among its peers to report earnings this season, we don't have anywhere else to look at to get a hint at how this quarter will unravel for finance and HR software stocks, but there has been positive sentiment among investors in the segment, with the stocks up on average 3.2% over the last month. Paycor is down 2.7% during the same time, and is heading into the earnings with  analyst price target of $26.6, compared to share price of $19.7.

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The author has no position in any of the stocks mentioned.