Zscaler and Paycom Software are seen as buying opportunities by analysts after recent declines.

From Nasdaq: 2024-07-16 05:12:00

The S&P 500 had a strong first half, with gains driven by four stocks. Despite this, Zscaler and Paycom Software have seen declines. Zscaler focuses on network security while Paycom specializes in human capital management software. Both companies have favorable growth prospects and are seen as buying opportunities by Wall Street analysts.

Zscaler reported solid financial results and is positioned as a leader in the network edge security market. The company is experiencing growth in new products and has a high valuation based on future growth expectations. Investors are advised to consider volatility and potential drawdowns before investing in Zscaler.

Paycom Software’s platform offers integrated tools for various HR functions. The company recently launched its Global HCM product and is making progress internationally. Paycom holds a small market share in the U.S., leaving room for further growth. Patient investors are encouraged to consider buying shares in Paycom, which is trading at a reasonable valuation.

Investors should analyze their options before investing in Zscaler, as it was not among the 10 best stocks recently identified by analysts. The Motley Fool Stock Advisor service provides guidance on building a successful portfolio and has outperformed the S&P 500 significantly since 2002. Consider the long-term potential before making investment decisions.



Read more at Nasdaq: 2 Growth Stocks Down 45% and 73% to Buy on the Dip, According to Wall Street