This Stock Few Analysts Like Rising on Small Business, Rate Bet
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Paychex Inc.’s stock is leading the broader market on optimism that higher interest rates and more small-business creation will buoy the payroll-service provider’s profitability.
The Federal Reserve is more likely to begin a modest tightening cycle this year amid the backdrop of a gradually strengthening U.S. economy, said Chris Bertelsen, chief investment officer of Global Financial Private Capital LLC, a Sarasota, Florida-based wealth manager with $4.5 billion in assets. That’s poised to benefit Paychex in two ways: