Bottom Line:
📊 HOLD - EXTENDED: DLX is 7.4% above fair value ($24.58). Fundamentals are solid but entry is stretched. Hold existing positions; wait for pullback to add new shares.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)50% (Hyper Growth)
EST. PRICE IN 2031
$41.16
Based on 9.3% avg growth
INTRINSIC VALUE TODAY
$25.55
Trading above fair value
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 6.0x Exit PE.
Valuation Analysis: DLX is currently trading at $26.40, which is considered extended relative to its 30-day fair value range of $22.23 to $24.58. The stock's valuation (Forward PE: 6.0) is in line with its historical norms (6.0). Remarkably, the market is currently pricing in an annual earnings decline of 0.4% over the next few years. This pessimistic expectation contrasts with the company's recent 17.2% earnings growth, suggesting potential undervaluation if the company simply maintains stability.
Technical Outlook: Technically, DLX is in a strong uptrend. Immediate support is located at $23.39, while resistance sits at $27.26.
Market Sentiment: DLX has a strong technical setup (75/100), with favorable trendlines, momentum, and price action for short-term traders. Wall Street analysts see significant upside, with an average price target of $29.67 (+12.4%). The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.
Quick Decision Summary
Current Position
EXTENDED
Fair Price Range
$22.23 -
$24.58
Company Quality Score
67/100
(BUY)
Volume Confirmation
HIGH
Confidence Score
54.8%
Protect Your Profits
Holding DLX? Use our AI-powered strategies to protect your downside while keeping your long-term position.
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About
Deluxe Corporation is principally a payments and data company. Its reportable segments are; Merchant Services, B2B Payments, Data Solutions, and Print. Maximum revenue is derived from its Print segment which provides printed personal and business checks, business essentials, as well as branded promotional, print, apparel, and digital storefront solutions. The Merchant Services segment provides electronic credit and debit card authorization, payment systems, and processing services. The B2B segment offers treasury management solutions, integrated accounts payable disbursements, and fraud and security services, and the Data Solutions segment offers data, analytics, and marketing services as well as financial institution profitability reporting and business incorporation services.