Going into 2011, many had expected business software to be a strong sector. With the global economy rebounding, it seemed likely that businesses would again be investing heavily in their workforces, but based on results reported last night, I'm inclined to think otherwise.
Also reporting figures after the bell last night was smaller rival Manhattan Associates
To add fuel to the fire, last week Amdocs
I wouldn't go so far as to say it's time to bury our heads in the sand, but this is a trend that bears watching. So where should your money be in the business software sector? I'm inclined to say on the sidelines, until we get a clearer picture from the rest of the sector.
But if you are looking for a company whose growth could overcome general sector weakness, Ebix
What's your take on the business software sector? Is this a trend worth worrying about or am I blowing smoke? Let's hear your take in the comments section below!
Fool contributor Sean Williams does not own shares in any companies mentioned in this article. You can follow him on CAPS under the screen name TMFUltraLong. Ebix is a Motley Fool Rule Breakers pick. The Fool owns shares of Ebix. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy which never misses expectations.