Core Insights - There is a significant disparity in retirement savings among Americans, with most struggling to save adequately for retirement, particularly those earning less than $150,000 annually [1][2][3] Group 1: Retirement Savings Trends - Since 2022, participation rates in retirement plans, total contributions, and overall savings rates have declined for individuals earning less than $150,000 [2] - Workers earning less than $50,000 experienced the most significant declines, with retirement plan participation dropping from 58% in 2022 to 52.9% in 2024, and their overall savings rate decreasing from 4.9% to 4.6% [3] Group 2: Income Disparities - Individuals earning between $150,000 and $250,000 contributed nearly 13 times more to retirement savings annually compared to those earning under $50,000 [4] - Approximately 90% of U.S. individuals aged 15 and older earned less than $150,000 in 2022, highlighting the financial challenges faced by the majority [1][3] Group 3: Economic Pressures - Rising costs of housing, healthcare, transportation, and childcare are pushing immediate needs to the forefront, causing many to deprioritize retirement savings [4] - Delaying retirement savings reduces the time available for accumulation and the benefits of compound growth, increasing the risk of outliving savings as life expectancy rises [4]

Core Insights - The report titled "The Retirement Divide" highlights significant disparities in retirement savings among American workers, emphasizing that those earning between $150,000 to $250,000 contribute nearly 13 times more towards retirement annually compared to those earning under $50,000 [1][2]. Summary by Categories Retirement Savings Trends - The research covers retirement savings rates, contributions from employees and employers, participation in retirement plans, and loan usage among full-time U.S. workers from 2021 to 2024 [2]. - High earners have seen increases in participation rates, total contributions, and overall savings rates since 2022, while lower-income workers have experienced declines, particularly those earning less than $50,000 [6]. Gender Disparities - The gap in retirement plan participation between men and women has widened to 3.9 percentage points, with participation rates at 79.9% for men and 76% for women since 2021 [6]. Racial and Ethnic Disparities - In 2024, 84.6% of white workers participated in retirement plans, compared to 61.1% of Latino workers and 68.2% of Black workers. Additionally, 26.4% of Black and Latino participants had active loans from their accounts, versus 14.9% of white participants [6]. Generational Insights - Gen Z workers have made notable progress in retirement savings, with participation rates increasing from 64% to 68.7%, savings rates improving from 6.6% to 7.2%, and total contributions rising by 24% since 2022 [6].

Core Viewpoint - Dayforce Inc. (DAY) has underperformed the market significantly over the past year, with a decline of 12.6% compared to the S&P 500's increase of 14.5% [2]. Company Overview - Dayforce Inc. is a human capital management (HCM) software company based in Minneapolis, Minnesota, with a market capitalization of $11 billion. The company offers cloud-based solutions that integrate various HR functions, covering the entire employee lifecycle from recruitment to payroll processing [1]. Stock Performance - DAY shares have seen a decline of 5% year-to-date in 2025, while the S&P 500 has risen by 16.5% during the same period [2]. - Compared to the Industrial Select Sector SPDR Fund (XLI), which gained about 8.8% over the past year, DAY's performance has been notably weaker [3]. Financial Results - In Q3, DAY reported an adjusted EPS of $0.37, which fell short of Wall Street expectations of $0.56. The company's revenue for the quarter was $481.6 million, aligning with Wall Street forecasts [4]. Earnings Expectations - For the current fiscal year ending in December, analysts project DAY's EPS to grow by 47.5% to $1.46 on a diluted basis. However, the company's earnings surprise history has been disappointing, missing consensus estimates in three of the last four quarters [5]. Analyst Ratings - Among the 16 analysts covering DAY stock, the consensus rating is a "Hold," consisting of two "Strong Buy" ratings, 13 "Holds," and one "Strong Sell" [5]. - The overall rating has shifted to "Moderate Buy" from two months ago, with four analysts suggesting a "Strong Buy" [6]. - On November 4, Michael Turrin from Wells Fargo maintained a "Hold" rating on DAY with a price target of $70, indicating a potential upside of 1.5% from current levels [6].

Core Insights - Dayforce has received a strong stockholder vote in favor of a proposed $12.3 billion buyout by Thoma Bravo, indicating significant shareholder support for the acquisition [1] Company Summary - The buyout proposal involves Dayforce, a provider of HR software, which is set to be acquired for $12.3 billion [1] - This acquisition comes a month after Dayforce's largest shareholder expressed support for the buyout, highlighting a positive sentiment among major investors [1]

Core Points - Dayforce's stockholders approved the acquisition by Thoma Bravo, marking a significant milestone in the transaction [2][3] - Approximately 88.4% of votes cast, representing 78.8% of the voting power, were in favor of the acquisition [2] - The acquisition will provide Dayforce with the opportunity to accelerate its business and drive innovation [2] Company Overview - Dayforce is a global leader in human capital management (HCM) technology, focused on improving work life for customers and employees [4] - The company offers a single AI-powered platform for HR, Pay, Time, Talent, and Analytics, benefiting organizations of all sizes [4] Acquisition Details - Under the merger agreement, Dayforce stockholders will receive US$70.00 per share in cash for each share owned [3] - The transaction is expected to close in late 2025 or early 2026, pending customary closing conditions [3] Thoma Bravo Overview - Thoma Bravo is a leading software-focused investor with approximately $181 billion in assets under management as of June 30, 2025 [5] - The firm has invested in around 535 companies over the past 20+ years, representing approximately $275 billion in enterprise value [5]

Core Viewpoint - Kaskela Law LLC is investigating the fairness of the buyout price for Dayforce Inc. shareholders, suggesting that the buyout may undervalue the company's shares [1] Company Summary - The buyout of Dayforce Inc. (NYSE: DAY) has raised concerns regarding the valuation of the company's shares [1] - Shareholders of Dayforce are encouraged to contact Kaskela Law LLC to discuss their legal rights and options related to the buyout proposal [1]

Core Insights - Dayforce (DAY) reported Q3 2025 earnings of $0.37 per share, missing the Zacks Consensus Estimate by 33.93% and decreasing 21.3% year over year [1][6] - Revenues reached $481.6 million, aligning with the Zacks Consensus Estimate, and increased 9.5% year over year, with a 9.6% increase on a constant currency basis [1][6] - Excluding float, total revenues were $439.4 million, reflecting an 11.4% year-over-year increase [1] Revenue Breakdown - Recurring revenues, which constitute 83.7% of total revenues, increased 7.2% year over year to $403.1 million [2] - Excluding float revenues, recurring revenues totaled $333.0 million, showing robust growth of 14% year over year [2] - Powerpay's recurring revenues reached $19.7 million, reflecting a decrease of 2.5% year over year [3] - Professional Services and Other, making up 16.3% of total revenues, increased 22.5% year over year to $78.5 million [3] Operating Performance - Selling and marketing expenses were $86.8 million, up 1.2% year over year [4] - General and Administrative expenses totaled $81.2 million, up 28.1% year over year [4] - Adjusted EBITDA was $147.3 million, up 16.8% year over year, with an adjusted EBITDA margin of 30.6%, an increase of 190 basis points [4] - Adjusted operating profit amounted to $119.1 million, up 15.4% year over year, with an operating margin expansion of 130 basis points to 24.7% [4] Balance Sheet & Cash Flow - As of September 30, 2025, cash and cash equivalents were $627.6 million, slightly up from $625.2 million as of June 30, 2025 [5] - Cash provided by operating activities in Q3 2025 was $31.2 million, down from $112.7 million in the prior quarter [5] - Free cash flow was $5 million compared to $87.1 million in the previous quarter [5]

分组1 - Dayforce reported quarterly earnings of $0.37 per share, missing the Zacks Consensus Estimate of $0.56 per share, and down from $0.47 per share a year ago, representing an earnings surprise of -33.93% [1] - The company posted revenues of $481.6 million for the quarter ended September 2025, in line with the Zacks Consensus Estimate, and up from $440 million year-over-year [2] - Dayforce has surpassed consensus revenue estimates four times over the last four quarters [2] 分组2 - The stock has underperformed, losing about 5.8% since the beginning of the year compared to the S&P 500's gain of 17.2% [3] - The current consensus EPS estimate for the coming quarter is $0.69 on revenues of $518.49 million, and for the current fiscal year, it is $2.44 on revenues of $1.95 billion [7] - The Zacks Industry Rank for Internet - Software is currently in the top 30% of over 250 Zacks industries, indicating a favorable outlook for the sector [8]

Revenue and Profitability - Revenue for Q3 2025 was $481.6 million, an increase of 9.5% from $440.0 million in Q3 2024[43]. - Operating profit for Q3 2025 reached $30.5 million, up 46.6% from $20.8 million in Q3 2024[43]. - Total revenue for the three months ended September 30, 2025, was $481.6 million, a 9.1% increase from $440.0 million in the same period of 2024[94]. - Recurring services revenue reached $403.1 million for the three months ended September 30, 2025, compared to $375.9 million in the prior year, reflecting a growth of 7.9%[94]. Expenses and Costs - Labor and benefits expenses decreased slightly to $178.4 million in Q3 2025 from $181.4 million in Q3 2024[43]. - Other expenses increased to $272.7 million in Q3 2025 compared to $237.8 million in Q3 2024[43]. - Net periodic pension and postretirement costs for Q3 2025 were $177.1 million, significantly higher than $2.5 million in Q3 2024[44]. - Total share-based compensation expense was $44.8 million for the three months ended September 30, 2025, compared to $39.6 million for the same period in 2024[87]. - Income tax expense for the three months ended September 30, 2025, was $43.9 million, which included $40.6 million attributable to non-deductible items[105]. Financial Position and Assets - Total customer funds as of September 30, 2025, amounted to $4,433.8 million, reflecting the company's management of customer assets[53]. - The fair value of available-for-sale customer funds assets was $2,616.7 million as of September 30, 2025, compared to $2,327.3 million at the end of 2024[47]. - Goodwill increased to $2,384.9 million as of September 30, 2025, up from $2,336.7 million as of December 31, 2024, due to an acquisition and foreign currency fluctuations[62]. - The company's total debt as of September 30, 2025, was $1,222.9 million, slightly down from $1,228.3 million as of December 31, 2024[65]. - The fair value of investments due in one year or less was $2,306.7 million as of September 30, 2025[57]. Debt and Financing - The Term Debt bears interest rates of 6.3% and 7.1% as of September 30, 2025, with a total of $641.9 million outstanding[65]. - The company capitalized $7.5 million in additional financing costs and recognized a loss on debt extinguishment of $4.3 million for the nine months ended September 30, 2024[70]. - The carrying amount of the Convertible Senior Notes was $573.5 million, with principal of $575.0 million net of issuance costs of $1.5 million[76]. - Future principal payments and maturities of the company's indebtedness total $1.2169 billion, with $581.5 million due in 2026[79]. - The fair value of the company's debt was estimated to be $1.20 billion as of September 30, 2025[80]. Shareholder Actions - The company announced a share repurchase program on July 31, 2024, with authorization to purchase up to $500 million of its common stock, although no additional repurchases will occur during the pendency of the Merger Agreement[118]. - In Q3 2025, the total number of shares purchased was 152,425 at an average price of $56.91, resulting in a total cost of approximately $8.67 million[120]. Future Expectations and Risks - The company expects to recognize approximately $1.52 billion in revenue from remaining performance obligations over the next three years[101]. - The company is exposed to foreign currency exchange rate risks, particularly with the Canadian Dollar, but believes a hypothetical 10% change would not materially affect operations[205]. - A 100 basis point decrease in market investment rates could lead to an estimated $27 million decrease in float revenue over the next twelve months[208]. - The company expects a 100 basis point decrease in applicable reference rates to result in approximately $6 million decrease in interest expense over the next twelve months[209]. Acquisitions and Corporate Actions - The company completed the acquisition of Agentnoon on October 1, 2025, a startup focused on workforce planning and organization design software[119]. Tax and Valuation - The company recorded a valuation allowance of $39.5 million against certain deferred tax assets as of September 30, 2025[104]. - The total amount of unrecognized tax benefits as of September 30, 2025, was $3.8 million, which could impact the effective income tax rate if recognized[107].

Financial Performance - Dayforce's total revenue for Q3 2025 was $481.6 million, an increase of 9.5% year-over-year, and 9.6% on a constant currency basis[7] - Recurring revenue, excluding float, reached $333 million, up 14% year-over-year, and 14.1% on a constant currency basis[7] - Operating profit was $30.5 million, compared to $20.8 million in the previous year, while adjusted operating profit increased to $119.1 million from $103.2 million[7] - The net loss for the quarter was $196.8 million, compared to a net income of $2 million, resulting in a net profit margin of (40.9)%[7] - Adjusted EBITDA was $147.3 million, with an adjusted EBITDA margin of 30.6%, up from 28.7% year-over-year[7] - Total revenue for Q3 2025 was $481.6 million, an increase of 9.1% from $440.0 million in Q3 2024[23] - Recurring services revenue reached $403.1 million, up 7.3% from $375.9 million year-over-year[23] - Net loss for Q3 2025 was $196.8 million, compared to a net income of $2.0 million in Q3 2024[23] - Operating profit for the nine months ended September 30, 2025, was $103.8 million, a significant increase from $75.6 million in the same period of 2024[23] - Total revenue for the nine months ended September 30, 2025, was $1,428.1 million, a 10.3% increase from $1,294.8 million in the same period last year[27] - Total recurring revenue for the nine months was $1,206.7 million, reflecting a 7.4% increase from $1,123.6 million in the prior year[27] - Operating profit for Q3 2025 was $30.5 million, with an operating margin of 6.3%[32] - The company reported an EBITDA of $(101.9) million for Q3 2025, with an adjusted EBITDA of $147.3 million[32] - For the nine months ended September 30, 2025, the operating profit was $103.8 million, representing a margin of 7.3%, compared to $75.6 million and a margin of 5.8% for the same period in 2024[33] - The net loss for the nine months ended September 30, 2025, was $160.6 million, a decrease from a net income of $7.3 million in the prior year, reflecting a margin change from 0.6% to (11.2)%[33] - EBITDA for the nine months ended September 30, 2025, was $234.3 million, with an adjusted EBITDA margin of 31.6%, compared to $221.4 million and a margin of 28.8% in 2024[33] - Free cash flow for the nine months ended September 30, 2025, was $111.6 million, down from $117.3 million in 2024, with a free cash flow margin of 7.8% compared to 9.1%[34] - The net cash provided by operating activities for the nine months ended September 30, 2025, was $193.5 million, slightly lower than $200.1 million in 2024, resulting in a margin of 13.5% versus 15.5%[34] - Adjusted diluted net income per share for the nine months ended September 30, 2025, was $1.56, compared to $1.37 in the prior year[33] Customer Metrics - As of September 30, 2025, Dayforce had 7,025 customers live on its platform, representing a 4.4% increase year-over-year[7] - The average float balance for customer funds was $4.54 billion, with a yield of 3.7%, generating float revenue of $42.2 million for the quarter[7] Mergers and Acquisitions - Dayforce entered into a merger agreement with Thoma Bravo, with an enterprise value of approximately $12.3 billion, expected to close in late 2025 or early 2026[9] - Restructuring expenses of $27.6 million related to the Thoma Bravo transaction negatively impacted free cash flow in Q3[13] - The company incurred $57.3 million in restructuring expenses related to the Thoma Bravo Transaction for the nine months ended September 30, 2025[33] Recognition and Awards - Dayforce was recognized as a Leader in the 2025 Gartner Magic Quadrant for Cloud HCM Suites for the sixth consecutive year[13] Balance Sheet - Total assets decreased to $8,676.2 million as of September 30, 2025, down from $9,117.0 million at the end of 2024[21] - Cash and equivalents increased to $627.6 million from $579.7 million at the end of 2024[21] - Total liabilities decreased to $5,981.5 million from $6,570.7 million at the end of 2024[21] - Customer funds obligations decreased to $4,413.3 million from $5,024.2 million at the end of 2024[21] Cash Flow - Cash flows from operating activities for the nine months ended September 30, 2025, were $193.5 million, compared to $200.1 million in 2024[25] - Net cash used in investing activities was $292.6 million for the nine months ended September 30, 2025, down from $458.1 million in 2024[25]