Shares of Dayforce Inc. (NYSE:DAY) jumped more than 27% in premarket trading Monday, reaching $67.41, after reports surfaced that private equity firm Thoma Bravo (NYSE:TBA) is exploring a potential purchase of the human resources software company. The stock had closed at $52.88 previously.
Sources indicate that talks are at an advanced stage, with a possible deal announcement in the coming weeks. The acquisition plan would involve taking Dayforce private and delisting its shares. However, negotiations could still stall or fail, and other suitors may emerge.
Formerly known as Ceridian until its rebranding in 2024, Dayforce has a market capitalization around $8.4 billion and an enterprise value exceeding $9 billion, factoring in roughly $1.2 billion in debt. Its client base spans industries including healthcare, retail, hospitality, and financial services.
Dayforce’s stock performance has been volatile. The company saw gains of 96% in 2019 and 56% in 2020, fueled by digital adoption during the pandemic. Shares peaked in 2021 but have since declined about 60% amid softer enterprise software investment, with a projected 27% drop in 2025.
Recent quarterly results show signs of improvement. The company reported net income of $21.3 million (13 cents per share) in Q2, reversing a loss of $1.8 million a year earlier, while revenue rose 9.8% to $464.7 million, surpassing analyst expectations of $457.9 million.
Analysts at Jefferies note that Dayforce continues to lag in the HR and payroll software sector. The firm highlights that a sale could be logical, citing the stock’s “lack of appreciation” despite revenue growth between 2021 and 2024.
Thoma Bravo, led by Orlando Bravo, has been active in 2025, completing Boeing’s digital unit acquisition for $10.6 billion, buying Olo Inc. for $2 billion, and negotiating deals involving Verint Systems.
Thoma Bravo Advantage stock price
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