Is Paychex, Inc. (PAYX) Destined for Greatness?

Paychex is fighting back through diversification, as it recently bought an HR staffing software-as-a-service company to improve its human resource options. That’s more likely to fend off ADP than Intuit Inc. (NASDAQ:INTU), which is targeted toward companies that have perhaps a half-dozen or fewer employees. That may not be enough to justify continued investor optimism in the company — Fool contributor Rich Smith, while analyzing ADP, discovered that Paychex has the slowest historical growth rate and the lowest anticipated forward growth rate of the pack.

Putting the pieces together

Today, Paychex has some of the qualities that make up a great stock, but no stock is truly perfect. Digging deeper can help you uncover the answers you need to make a great buy — or to stay away from a stock that’s going nowhere.

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The article Is Paychex Destined for Greatness? originally appeared on Fool.com and is written by Alex Planes.

Fool contributor Alex Planes has no position in any stocks mentioned. The Motley Fool recommends Automatic Data Processing, Intuit, and Paychex. The Motley Fool owns shares of Intuit.

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