Top Stock to Buy #3 – Pitney Bowes (PBI)
Pitney Bowes (PBI), once known solely for its postage machines, now provides hardware, software and services to integrate physical and digital communications channels. For example, it recently helped turn one of North Florida’s largest commercial print and mail operations into a “White Paper Factory,” which no longer uses pre-printed forms and envelopes, saving the company $1 million a year.
Earnings are expected to improve from an estimated $1.70 this year to $1.75 next year. The stock has a dividend yield of 4.1%.
PBI is trading at the top of a well-developed bull channel but could pull back to its 50-day moving average, now at $16.50. Buy PBI on a drop to its 50-day moving average or on a high-volume breakout through the resistance line at $18.50.