DLX - Deluxe Corporation Is Too Cheap To Ignore
- Deluxe Corporation is facing a secular headwind in its check printing business, which by now, should already be reflected in its share price.
- Realizing the business was running out of steam, the company began an acquisition spree to diversify the business out of its declining core operating segment.
- In Q2 of 2019, management announced a strategic initiative called “One Deluxe."
- The market is pricing the company at just 5.5x forward earnings and 5.2x forward EV/EBITDA.
- The company targets low to mid-single-digit organic revenue growth and EBITDA margins in the low-to-mid-20s.
For further details see:
Deluxe Corporation Is Too Cheap To Ignore