Why NIC Shares Jumped
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of NIC have jumped today by as much as 19% after the company reported earnings.
So what: Revenue in the second quarter added up to $65.9 million, which paved the way for $0.16 per share in profit. Both figures easily beat the Street, which was calling for $60.6 million in sales and a profit of just $0.11 per share.
Now what: The company said its non-DMV services segment performed well, with sales rising 40%. While the company acknowledged a previously disclosed challenge with the Pennsylvania Treasury, NIC continues to grow relationships with other governments. NIC added Wisconsin as its newest state partner in the quarter, while numerous other states renewed contracts.
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