DELUXE CORP (DLX) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DLX - US2480191012 - Common Stock
22.26 USD
-0.17 (-0.76%)
Overall DLX gets a fundamental rating of 5 out of 10. We evaluated DLX against 80 industry peers in the Commercial Services & Supplies industry. While DLX is still in line with the averages on profitability rating, there are concerns on its financial health. DLX has a bad growth rate and is valued cheaply. Finally DLX also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year DLX was profitable.
In the past year DLX had a positive cash flow from operations.
DLX had positive earnings in each of the past 5 years.
DLX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DLX has a better Return On Assets (3.20%) than 66.25% of its industry peers.
With a decent Return On Equity value of 12.46%, DLX is doing good in the industry, outperforming 71.25% of the companies in the same industry.
With a decent Return On Invested Capital value of 7.98%, DLX is doing good in the industry, outperforming 71.25% of the companies in the same industry.
DLX had an Average Return On Invested Capital over the past 3 years of 6.34%. This is below the industry average of 10.33%.
The 3 year average ROIC (6.34%) for DLX is below the current ROIC(7.98%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.2% | ||
| ROE | 12.46% | ||
| ROIC | 7.98% |
ROA(3y)1.61%
ROA(5y)1.47%
ROE(3y)7.88%
ROE(5y)7.23%
ROIC(3y)6.34%
ROIC(5y)7.11%
1.3 Margins
Looking at the Profit Margin, with a value of 3.91%, DLX is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
DLX's Profit Margin has declined in the last couple of years.
The Operating Margin of DLX (12.18%) is better than 78.75% of its industry peers.
In the last couple of years the Operating Margin of DLX has declined.
The Gross Margin of DLX (53.04%) is better than 92.50% of its industry peers.
DLX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.18% | ||
| PM (TTM) | 3.91% | ||
| GM | 53.04% |
OM growth 3Y-1.37%
OM growth 5Y-8.08%
PM growth 3Y-7.02%
PM growth 5YN/A
GM growth 3Y-1.92%
GM growth 5Y-2.26%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DLX is still creating some value.
The number of shares outstanding for DLX has been increased compared to 1 year ago.
The number of shares outstanding for DLX has been increased compared to 5 years ago.
The debt/assets ratio for DLX is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.74, we must say that DLX is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of DLX (1.74) is comparable to the rest of the industry.
The Debt to FCF ratio of DLX is 12.14, which is on the high side as it means it would take DLX, 12.14 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of DLX (12.14) is comparable to the rest of the industry.
A Debt/Equity ratio of 2.13 is on the high side and indicates that DLX has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.13, DLX is doing worse than 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.13 | ||
| Debt/FCF | 12.14 | ||
| Altman-Z | 1.74 |
ROIC/WACC1.01
WACC7.93%
2.3 Liquidity
DLX has a Current Ratio of 0.99. This is a bad value and indicates that DLX is not financially healthy enough and could expect problems in meeting its short term obligations.
DLX has a worse Current ratio (0.99) than 72.50% of its industry peers.
A Quick Ratio of 0.91 indicates that DLX may have some problems paying its short term obligations.
DLX has a Quick ratio of 0.91. This is in the lower half of the industry: DLX underperforms 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
DLX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.20%, which is quite good.
DLX shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -13.54% yearly.
DLX shows a decrease in Revenue. In the last year, the revenue decreased by -0.94%.
DLX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.10% yearly.
EPS 1Y (TTM)9.2%
EPS 3Y-12.17%
EPS 5Y-13.54%
EPS Q2Q%29.76%
Revenue 1Y (TTM)-0.94%
Revenue growth 3Y1.61%
Revenue growth 5Y1.1%
Sales Q2Q%2.24%
3.2 Future
DLX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.07% yearly.
Based on estimates for the next years, DLX will show a small growth in Revenue. The Revenue will grow by 0.42% on average per year.
EPS Next Y7.04%
EPS Next 2Y7.42%
EPS Next 3Y7.07%
EPS Next 5YN/A
Revenue Next Year-0.97%
Revenue Next 2Y0.05%
Revenue Next 3Y0.42%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 6.25, the valuation of DLX can be described as very cheap.
Based on the Price/Earnings ratio, DLX is valued cheaply inside the industry as 92.50% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.39. DLX is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 5.85 indicates a rather cheap valuation of DLX.
96.25% of the companies in the same industry are more expensive than DLX, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of DLX to the average of the S&P500 Index (23.84), we can say DLX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.25 | ||
| Fwd PE | 5.85 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DLX is valued cheaply inside the industry as 91.25% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, DLX is valued cheaper than 92.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.39 | ||
| EV/EBITDA | 6.13 |
4.3 Compensation for Growth
DLX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of DLX may justify a higher PE ratio.
PEG (NY)0.89
PEG (5Y)N/A
EPS Next 2Y7.42%
EPS Next 3Y7.07%
5. Dividend
5.1 Amount
DLX has a Yearly Dividend Yield of 5.22%, which is a nice return.
Compared to an average industry Dividend Yield of 0.89, DLX pays a better dividend. On top of this DLX pays more dividend than 96.25% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, DLX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.22% |
5.2 History
The dividend of DLX has a limited annual growth rate of 0.62%.
DLX has been paying a dividend for at least 10 years, so it has a reliable track record.
DLX has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.62%
Div Incr Years0
Div Non Decr Years17
5.3 Sustainability
DLX pays out 66.44% of its income as dividend. This is not a sustainable payout ratio.
The dividend of DLX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP66.44%
EPS Next 2Y7.42%
EPS Next 3Y7.07%
NYSE:DLX (12/22/2025, 2:50:47 PM)
22.26
-0.17 (-0.76%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners89.06%
Inst Owner Change-0.46%
Ins Owners1.7%
Ins Owner Change1.83%
Market Cap1.00B
Revenue(TTM)2.12B
Net Income(TTM)82.73M
Analysts80
Price Target28.05 (26.01%)
Short Float %6.23%
Short Ratio9.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.22% |
Yearly Dividend1.23
Dividend Growth(5Y)0.62%
DP66.44%
Div Incr Years0
Div Non Decr Years17
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.68%
Min EPS beat(2)14.81%
Max EPS beat(2)16.56%
EPS beat(4)3
Avg EPS beat(4)8.96%
Min EPS beat(4)-0.1%
Max EPS beat(4)16.56%
EPS beat(8)7
Avg EPS beat(8)9.57%
EPS beat(12)10
Avg EPS beat(12)11.24%
EPS beat(16)13
Avg EPS beat(16)8.73%
Revenue beat(2)1
Avg Revenue beat(2)-0.8%
Min Revenue beat(2)-2.05%
Max Revenue beat(2)0.44%
Revenue beat(4)2
Avg Revenue beat(4)-0.91%
Min Revenue beat(4)-3.14%
Max Revenue beat(4)1.1%
Revenue beat(8)3
Avg Revenue beat(8)-0.7%
Revenue beat(12)6
Avg Revenue beat(12)-0.1%
Revenue beat(16)10
Avg Revenue beat(16)0.84%
PT rev (1m)2.8%
PT rev (3m)2.8%
EPS NQ rev (1m)-0.2%
EPS NQ rev (3m)-7.15%
EPS NY rev (1m)2.12%
EPS NY rev (3m)2.12%
Revenue NQ rev (1m)-0.25%
Revenue NQ rev (3m)-0.67%
Revenue NY rev (1m)0.38%
Revenue NY rev (3m)0.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.25 | ||
| Fwd PE | 5.85 | ||
| P/S | 0.47 | ||
| P/FCF | 8.39 | ||
| P/OCF | 4.38 | ||
| P/B | 1.51 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.13 |
EPS(TTM)3.56
EY15.99%
EPS(NY)3.81
Fwd EY17.11%
FCF(TTM)2.65
FCFY11.92%
OCF(TTM)5.08
OCFY22.82%
SpS47.07
BVpS14.75
TBVpS-24.26
PEG (NY)0.89
PEG (5Y)N/A
Graham Number34.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.2% | ||
| ROE | 12.46% | ||
| ROCE | 11.81% | ||
| ROIC | 7.98% | ||
| ROICexc | 8.07% | ||
| ROICexgc | 43.22% | ||
| OM | 12.18% | ||
| PM (TTM) | 3.91% | ||
| GM | 53.04% | ||
| FCFM | 5.64% |
ROA(3y)1.61%
ROA(5y)1.47%
ROE(3y)7.88%
ROE(5y)7.23%
ROIC(3y)6.34%
ROIC(5y)7.11%
ROICexc(3y)6.48%
ROICexc(5y)7.41%
ROICexgc(3y)36.57%
ROICexgc(5y)37.66%
ROCE(3y)9.38%
ROCE(5y)10.53%
ROICexgc growth 3Y-0.45%
ROICexgc growth 5Y-8.74%
ROICexc growth 3Y2.9%
ROICexc growth 5Y-14.14%
OM growth 3Y-1.37%
OM growth 5Y-8.08%
PM growth 3Y-7.02%
PM growth 5YN/A
GM growth 3Y-1.92%
GM growth 5Y-2.26%
F-Score7
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.13 | ||
| Debt/FCF | 12.14 | ||
| Debt/EBITDA | 3.56 | ||
| Cap/Depr | 78.7% | ||
| Cap/Sales | 5.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 57.61% | ||
| Profit Quality | 144.34% | ||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 1.74 |
F-Score7
WACC7.93%
ROIC/WACC1.01
Cap/Depr(3y)59.84%
Cap/Depr(5y)64.25%
Cap/Sales(3y)4.64%
Cap/Sales(5y)4.71%
Profit Quality(3y)229.97%
Profit Quality(5y)496.64%
High Growth Momentum
Growth
EPS 1Y (TTM)9.2%
EPS 3Y-12.17%
EPS 5Y-13.54%
EPS Q2Q%29.76%
EPS Next Y7.04%
EPS Next 2Y7.42%
EPS Next 3Y7.07%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.94%
Revenue growth 3Y1.61%
Revenue growth 5Y1.1%
Sales Q2Q%2.24%
Revenue Next Year-0.97%
Revenue Next 2Y0.05%
Revenue Next 3Y0.42%
Revenue Next 5YN/A
EBIT growth 1Y21.25%
EBIT growth 3Y0.23%
EBIT growth 5Y-7.07%
EBIT Next Year124.94%
EBIT Next 3Y33.65%
EBIT Next 5YN/A
FCF growth 1Y78.98%
FCF growth 3Y0.33%
FCF growth 5Y-14.61%
OCF growth 1Y24.95%
OCF growth 3Y-2.69%
OCF growth 5Y-7.49%
DELUXE CORP / DLX FAQ
What is the fundamental rating for DLX stock?
ChartMill assigns a fundamental rating of 5 / 10 to DLX.
What is the valuation status for DLX stock?
ChartMill assigns a valuation rating of 9 / 10 to DELUXE CORP (DLX). This can be considered as Undervalued.
Can you provide the profitability details for DELUXE CORP?
DELUXE CORP (DLX) has a profitability rating of 6 / 10.
Can you provide the financial health for DLX stock?
The financial health rating of DELUXE CORP (DLX) is 1 / 10.
Is the dividend of DELUXE CORP sustainable?
The dividend rating of DELUXE CORP (DLX) is 8 / 10 and the dividend payout ratio is 66.44%.