- Paychex’s acquisition of Paycor HCM for $22.50 per share led to a 3% drop in Paycor’s stock, reflecting market disappointment.
- Despite the drop, Paychex’s management expects $80 million in annual run-rate synergies and additional revenue synergies from the deal.
- PAYX shares have underperformed the S&P 500, but the company’s fundamentals are strong, though its stock remains expensive.
- I maintain a ‘hold’ rating for Paychex and recommend a ‘sell’ for PYCR due to limited additional upside.
- My name is Dan Jones. I have degrees in accounting and economics, and ran a registered investment advisor for nine years. I lead the investing group Crude Value Insights.
Almost every time that one company purchases another, shares of the business that’s being acquired experience some decent or very nice upside as a result. But every so often, that upside does not materialize. In fact, sometimes, downside even occurs. Crude Value Insights offers you an investing service and community focused on oil and natural gas. We focus on cash flow and the companies that generate it, leading to value and growth prospects with real potential.
Dan Jones has degrees in accounting and economics, and ran a registered investment advisor for nine years. I runs investment group Crude Value Insights, which offers unique actionable insights on O&G companies. It focuses on what matters most, cash flow. Learn more. Crude Value Insights. provides a regular deep dive into 36 publicly traded oil and gas exploration and production companies. This slice of the market is volatile, but very rewarding when approached in the right way. It most certainly is not, however, for the faint of heart. Learn more >> After graduating from Case Western Reserve University in 2013, I ran my own RIA for approximately 9 years before moving to manage my own assets. I have accumulated extensive experience researching various industries ranging from industrials, to banking, to oil, and more. I found myself particularly interested in the dynamics of the oil industry early on, turning that into my specialization for Crude Value Insights.
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