Paychex (PAYX) is one of those businesses one can call a "compounder". Before the Coronavirus pandemic, the company was firing on all cylinders, posting very solid growth rates, increasing operating margins and returns on invested capital.
With cities in "lock-down" mode, small- to mid-sized business owners are in trouble. This will affect Paychex because it offers its services to those kinds of businesses. On a short time horizon, Paychex is going to be affected. However, its solid balance sheet and plenty of liquidity provide a huge safety net.
We are waiting for an entry point