Usually it's a bad idea to love a stock. But, well, I love Taleo
Essentially, Taleo builds talent management software. It helps with the complexities of hiring and keeping employees, such as talent sourcing, performance management, workforce planning, and even succession planning (for key employees).
The results are certainly encouraging; the company has already snagged blue-chip clients like Citigroup
Then again, the software gets measurable results. For example, one of its top customers, Dow Chemical
Moreover, Taleo delivers its software via the Internet (called "on demand"), which has been a key growth driver for standout companies like Salesforce.com
So far, Taleo continues to grow at a nice pace. In the fiscal third quarter, revenues increased 25% year over year to $24.9 million. There were 110 new customers, of which 15 were large enterprises and the rest were small- to medium-size customers. In other words, the company has built a scalable system that can fit the needs of just about any organization.
Taleo's sophisticated online infrastructure is another valuable asset. It processes about 16 million transactions per day, with a 99.9% uptime.
And, interestingly enough, Taleo has another admirer: John de Mol, a Dutch media mogul (who created the "Big Brother" reality show), recently bought 5.15% of the company's stock. And he's definitely someone who loves a good story.
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Fool contributor Tom Taulli does not own shares mentioned in this article. The Fool has a delightful disclosure policy.
