Deluxe (NYSE:DLX) Shares Climb 16.2% on Strong Earnings

Shares of Deluxe Corporation (NYSE:DLX) shot up 16.2% on Thursday following a stronger than expected earnings report. The company traded as high as $27.45 and last traded at $27.2240. 145,261 shares were traded during mid-day trading, a decline of 68% from the average session volume of 451,348 shares. The stock had previously closed at $23.42.

The business services provider reported $1.06 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.95 by $0.11. Deluxe had a net margin of 4.91% and a return on equity of 23.51%. The company had revenue of $553.90 million during the quarter, compared to analyst estimates of $532.67 million. During the same period in the previous year, the business earned $1.09 earnings per share. The firm’s quarterly revenue was up 2.5% compared to the same quarter last year.

Deluxe Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, December 1st. Shareholders of record on Tuesday, November 17th will be paid a dividend of $0.30 per share. The ex-dividend date of this dividend is Tuesday, November 17th. This represents a $1.20 annualized dividend and a yield of 4.4%. Deluxe’s payout ratio is 53.33%.

Trending Headlines about Deluxe

Here are the key news stories impacting Deluxe this week:

• Positive Sentiment: Deluxe reported Q3 adjusted earnings of $1.06 per share, above estimates of $0.95–$0.98, and revenue of $553.9 million versus expectations of about $532.7 million. Revenue rose 2.5% year over year. Article: Deluxe Surpasses Q3 Earnings and Revenue Estimates
• Positive Sentiment: The company outlined 2026 revenue of $2.13 billion to $2.15 billion and is targeting $15 million in synergies from its Celero acquisition, providing investors with a revenue outlook and potential efficiency gains. Article: Deluxe Outlines 2026 Revenue Outlook and Celero Synergies
• Neutral Sentiment: Deluxe declared a quarterly dividend of $0.30 per share, equivalent to $1.20 annualized. The dividend may appeal to income-focused investors, though the announcement does not indicate a change to the payout.
• Negative Sentiment: Despite beating quarterly estimates, earnings were below the $1.09 per share reported in the year-earlier quarter.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on DLX shares. Barrington Research started coverage on Deluxe in a research report on Tuesday, September 29th. They set an “outperform” rating and a $31.00 price objective on the stock. Weiss Ratings upgraded Deluxe from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, October 8th. Finally, Wall Street Zen downgraded Deluxe from a “buy” rating to a “hold” rating in a research report on Saturday, October 31st. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and two have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $31.00.

Institutional Trading of Deluxe

Several institutional investors have recently added to or reduced their stakes in DLX. Illinois Municipal Retirement Fund grew its position in Deluxe by 3.3% during the 1st quarter. Illinois Municipal Retirement Fund now owns 23,291 shares of the business services provider’s stock worth $641,000 after acquiring an additional 752 shares during the last quarter. First Trust Advisors LP increased its stake in Deluxe by 0.8% in the 1st quarter. First Trust Advisors LP now owns 147,896 shares of the business services provider’s stock worth $4,073,000 after purchasing an additional 1,220 shares during the period. Public Employees Retirement System of Ohio bought a new stake in Deluxe in the second quarter valued at approximately $62,000. Quantinno Capital Management LP lifted its position in Deluxe by 8.3% in the first quarter. Quantinno Capital Management LP now owns 34,467 shares of the business services provider’s stock valued at $949,000 after purchasing an additional 2,649 shares during the last quarter. Finally, Strs Ohio boosted its stake in shares of Deluxe by 147.4% during the first quarter. Strs Ohio now owns 4,700 shares of the business services provider’s stock valued at $129,000 after purchasing an additional 2,800 shares during the period. 93.90% of the stock is currently owned by hedge funds and other institutional investors.

Deluxe Stock Performance

The stock has a market cap of $1.25 billion, a PE ratio of 12.12, a price-to-earnings-growth ratio of 0.66 and a beta of 1.29. The company has a debt-to-equity ratio of 2.02, a current ratio of 1.20 and a quick ratio of 1.08. The business has a 50 day moving average price of $23.32 and a two-hundred day moving average price of $25.31.

Deluxe Company Profile

Deluxe Corporation is a provider of payments, marketing and business technology solutions serving small businesses, financial institutions and consumers. The company’s offerings include checks and related forms, business supplies, promotional products, website and digital marketing services, customer relationship management tools, data-driven marketing solutions and payment processing services.

Deluxe also provides receivables management, fraud prevention and other financial technology services designed to help businesses and financial institutions manage transactions and customer relationships.