Paymentus Stock Has Fallen 22%, Time to Enter?
Paymentus (PAY) stock has fallen by 21.9% in less than a month, from $29.56 on 23rd Jan, 2026 to $23.10 now. Should you buy this dip?
Dip buying is a viable strategy for quality stocks that have a history of recovering from dips. As it turns out, PAY stock passes basic quality checks. Historically, the median return for the 12-month period following sharp dips was 0.7% , with median peak return reaching 32%. We define sharp dip as stock going down 30% or more, in less than 30 day period.
Below, we get into details of historical dips and subsequent returns.
Historical Median Returns Post Dips
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| Period | Past Median Return |
|---|---|
| 1M | 4.7% |
| 3M | -9.2% |
| 6M | -15.6% |
| 12M | 0.7% |
Historical Dip-Wise Details
PAY had 9 events since 1/1/2010 where the dip threshold of -30% within 30 days was triggered
- 32% median peak return within 1 year of dip event
- 262 days is the median time to peak return after a dip event
- -23% median max drawdown within 1 year of dip event
| 30 Day Dip | PAY Subsequent Performance | |||||||
|---|---|---|---|---|---|---|---|---|
| Date | PAY | SPY | 1Y | Peak Return |
Max Drop |
# Days to Peak |
||
| Median | 1% | 32% | -23% | 262 | ||||
| 12232022 | -39% | -3% | 158% | 157% | -2% | 347 | ||
| 9152022 | -32% | -6% | 28% | 32% | -43% | 365 | ||
| 5062022 | -33% | -9% | -36% | 27% | -51% | 89 | ||
| 3162022 | -31% | -4% | -62% | 12% | -65% | 13 | ||
| 6102016 | -32% | 1% | -7% | 6% | -23% | 262 | ||
| 6242013 | -31% | -3% | 126% | 132% | 0% | 358 | ||
| 2212013 | -41% | 3% | 58% | 64% | -14% | 335 | ||
| 5252012 | -30% | -4% | -38% | 2% | -52% | 74 | ||
| 8192011 | -31% | -16% | 1% | 72% | -4% | 237 | ||
Paymentus Passes Basic Financial Quality Checks
Revenue growth, profitability, cash flow, and balance sheet strength need to be evaluated to reduce the risk of a dip being the sign of a deteriorating business situation.
| Quality Metrics | Value | Quality Check |
|---|---|---|
| Revenue Growth (LTM) | 44.3% | Pass |
| Revenue Growth (3-Yr Avg) | 33.7% | Pass |
| Operating Cash Flow Margin (LTM) | 12.9% | Pass |
Not sure if you can take a call on PAY stock? Consider portfolio approach
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