Back to top

Image: Bigstock

Top Stocks From the Staffing Services Industry to Buy Now

Read MoreHide Full Article

An updated edition of the Sep. 17, 2026, article.

Staffing extends well beyond filling vacancies; it is a critical lever for improving productivity, controlling costs and supporting business scalability. In today's dynamic and competitive environment, organizations must remain agile and responsive to shifting demand patterns. This elevates staffing from an operational necessity to a strategic function that can influence revenue growth, margin efficiency and overall business performance. From managing cyclical hiring requirements to building leadership and specialized talent pipelines, effective staffing solutions support both near-term execution and long-term value creation.

The staffing industry is undergoing a structural transformation, driven by digital innovation, changing workforce demographics and the growing adoption of flexible employment models. Economic uncertainty and cost pressures are prompting employers to hire more selectively, optimize workforce expenses and invest in automation. Enterprises are increasingly turning to staffing and workforce-management providers not only for talent acquisition but also for insights into labor-market trends, workforce planning and skill availability. AI-powered recruitment platforms, automated payroll processing, virtual assessments and advanced analytics are reshaping workforce operations by improving productivity, reducing administrative burdens and enhancing decision-making. However, persistent hiring uncertainty, pricing pressure, implementation costs and evolving regulatory requirements remain challenges.

As competition for specialized talent intensifies, companies with scalable technology platforms, diversified client relationships, recurring revenue streams and advanced digital capabilities should be better positioned to capitalize on evolving workforce requirements. The integration of AI into human capital management, recruitment and business-process outsourcing is also creating opportunities for providers to expand their services and strengthen customer relationships. Nevertheless, the industry remains sensitive to economic cycles, corporate spending trends and technological disruption. Companies capable of balancing innovation with operational efficiency and disciplined execution are likely to remain important partners in enterprise workforce transformation.

For investors, the staffing sector offers attractive opportunities. Companies like Concentrix Corporation (CNXC - Free Report) , Paycom Software, Inc. (PAYC - Free Report) and Paylocity Holding Corporation (PCTY - Free Report) are positioning themselves to benefit from AI-led innovation, workforce automation and increasing demand for technology-enabled business solutions.

Our Staffing Screen will help you identify stocks positioned to capitalize on evolving workforce-management requirements. Leveraging advanced tools, our thematic screens highlight companies shaping the future of work, making it easier to identify potential investment opportunities in this transforming industry.

Ready to uncover more transformative thematic investment ideas? Explore 40 cutting-edge investment themes with Zacks Thematic Investing Screens and discover your next big opportunity.

Concentrix is advancing its AI-driven transformation strategy, supported by growing adoption of integrated human and AI solutions, operational improvements and strong cash generation. In the third quarter of fiscal 2026, revenues reached $2.45 billion, declining 1.2% year over year, while non-GAAP earnings per share increased to $2.92 from $2.78. Non-GAAP operating margin expanded 30 basis points to 12.6%, reflecting improved operational efficiency. Adjusted free cash flow climbed to $218.3 million from $178.8 million a year ago. Notably, half of the company's revenues now come from business won and deployed over the past three years, reflecting an evolving service portfolio. Concentrix expects adjusted free cash flow of $630-$650 million in fiscal 2026, providing financial flexibility to support its transformation initiatives despite near-term revenue pressure.

CNXC currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Paycom continues to benefit from growing demand for automated human capital management solutions, product innovation and disciplined execution. Third-quarter 2026 revenues increased 10.2% year over year to $543.8 million, while recurring and other revenues climbed 11.3% to $519.3 million, accounting for 95.5% of total revenues. The substantial recurring-revenue contribution supports business visibility and stability. Non-GAAP earnings per share surged to $3.37 from $1.94 a year ago, while adjusted EBITDA rose to $268.1 million from $194.3 million. Paycom's automated decision-making capabilities and AI-powered solutions continue to strengthen its value proposition by helping organizations simplify payroll and workforce-management processes. Supported by strong execution, management raised its full-year 2026 revenue outlook to $2.213-$2.218 billion, indicating approximately 8% annual growth.

PAYC currently carries a Zacks Rank #2.

Paylocity is gaining momentum through expanding adoption of its cloud-based human capital management platform, AI-driven product innovation and growing demand for integrated workforce solutions. In the first quarter of fiscal 2027, total revenues increased 10.7% year over year to $451.7 million, while recurring and other revenues advanced 12% to $424.5 million. Non-GAAP operating income rose to $133.9 million from $121.2 million in the prior-year period, reflecting solid execution and operating leverage. Paylocity's Ignite AI platform, recently introduced Recruiting Optimizer and expanded offerings are strengthening its competitive position and creating opportunities for higher revenue per customer. The acquisition of Aidora further enhances its AI-powered leave-management capabilities. Encouraged by operating momentum, management raised its fiscal 2027 revenue guidance to $1.91-$1.925 billion, implying approximately 8% growth year over year.

PCTY currently carries a Zacks Rank #2.

Published in