Here are a few points of interest that I took away from Paychex's Q4/2012 conference call:
1. Paychex does not have any significant business in Europe, so if you're looking for a company to insulate you from European exposure, it might be worth looking at.
2. Paychex may be a possible beneficiary of ObamaCare because small businesses will need help with all the new regulations. However, it did note that the regulations would also slow new business formation, and Paychex needs new business formation to grow its client base.
3. Paychex is hiring more sales representatives in fiscal year 2013, so it must have some degree of confidence in the economy and its prospects.
4. Paychex has a lot of cash and no debt. There were several references by analysts to Paychex getting close to the $1 billion mark in cash. Yet, Paychex increased its dividend only by 3 percent last year. What's up with that, Paychex?
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