Feb. 17 at 4:00 PM
$PAYX
Last week, Paychex earned a spot on Morningstar’s list of the best dividend stocks to buy. Morningstar director Eric Compton highlights Paychex as a leader in payroll and human‑capital‑management software with a wide economic moat.
Paychex is trading near pandemic‑era lows and approaching valuation levels last seen during the 2008 financial crisis, despite expectations for 10% EPS growth this year. A reversion to its historical P/E suggests the stock is roughly 40% undervalued. Meanwhile, investors are paid a 4.58% dividend yield while they wait for normalization.
https://lextrading.beehiiv.com/p/paychex-one-of-morningstar-s-top-dividend-ideas
