Welcome to the HR Tech Stock Index (HRTA)! We introduce this new resource for HR professionals, designed to help you stay informed about the latest trends and developments in the world of HR technology.

The HR Tech Stock Index is a comprehensive tool for tracking the stock performance and financial health of the HR Tech industry and specifically the top HR technology companies. The HR Tech Stock Index only includes public companies that generate the majority of their revenue from HR, payroll, recruiting, and performance management solutions, giving you the information you need to make better decisions for your organization.

Why is it important to pay attention to the financial viability of HR technology vendors?

The answer is simple: these vendors play a critical role in helping you manage your organization's most important asset – your people. From recruiting and onboarding to performance management and employee engagement, HR technology solutions are key to driving business success.

By tracking the stock performance of your vendors, you can gain valuable insights into their financial health and potential risks or opportunities. For example, if a vendor's stock is plummeting compared to its peers or the overall market, this could be a sign of trouble ahead. Vendors under financial pressure can make decisions to reduce investment in research & development and make cuts to their support team impacting your satisfaction with their solutions.

Conversely, if a vendor's stock is performing well, this could be a good indication of their financial stability and long-term prospects.

In addition to tracking the stock performance of your vendors, it's also important to stay informed about broader market trends and developments that could impact your organization. The HR Technology Stock Index provides a comprehensive view of the top HR technology companies, giving you the information you need to stay on top of emerging trends and technologies in the industry.

It is important to note that not all HR tech vendors are public companies. Many leading solutions are from private companies such as BambooHR, Cornerstone OnDemand, HiBob, iCIMS, iSolved, UKG, etc. Conducting due diligence can be more challenging with private companies as not all information is publicly available.

To be clear, a lot of factors go into a vendor's stock performance and it should not be the only criteria you use when selecting a vendor. In addition, on a periodic basis, you will want to include vendor financial strength and viability as part of vendor ongoing fit reviews.

Ultimately, by staying informed about the financial viability of your vendors and the broader market, you can make better decisions for your organization and ensure that you are getting the most value from your HR technology investments.

Disclaimer: This information is not intended to be investment advice. Seek a duly licensed professional for investment advice.