Paychex (NASDAQ:PAYX) Announces Quarterly Earnings Results

Paychex (NASDAQ:PAYXGet Free Report) announced its earnings results on Wednesday. The business services provider reported $1.12 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.10 by $0.02, reports. The business had revenue of $1.30 billion for the quarter, compared to analysts’ expectations of $1.29 billion. Paychex had a return on equity of 46.63% and a net margin of 32.03%. The business’s revenue for the quarter was up 5.3% on a year-over-year basis. During the same quarter last year, the firm earned $0.97 EPS. Paychex updated its FY25 guidance to $4.96-5.05 EPS and its FY 2025 guidance to 4.960-5.050 EPS.

Paychex Stock Up 0.4 %

Shares of NASDAQ PAYX opened at $117.84 on Friday. Paychex has a 1 year low of $106.27 and a 1 year high of $129.70. The firm’s 50 day moving average price is $122.40 and its 200 day moving average price is $122.06. The firm has a market cap of $42.42 billion, a P/E ratio of 25.23, a price-to-earnings-growth ratio of 3.24 and a beta of 0.96. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.24 and a current ratio of 1.37.

Paychex Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, May 30th. Stockholders of record on Friday, May 10th were paid a dividend of $0.98 per share. This represents a $3.92 dividend on an annualized basis and a dividend yield of 3.33%. This is a boost from Paychex’s previous quarterly dividend of $0.89. The ex-dividend date of this dividend was Thursday, May 9th. Paychex’s dividend payout ratio (DPR) is 83.94%.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on PAYX shares. Morgan Stanley lowered their price objective on Paychex from $125.00 to $122.00 and set an “equal weight” rating for the company in a research report on Thursday. Evercore ISI reiterated an “in-line” rating and set a $118.00 target price on shares of Paychex in a research note on Tuesday, March 26th. Bank of America increased their target price on shares of Paychex from $111.00 to $113.00 and gave the stock an “underperform” rating in a research note on Thursday. Wedbush reiterated a “neutral” rating and set a $115.00 target price on shares of Paychex in a research note on Wednesday, April 3rd. Finally, Royal Bank of Canada reiterated a “sector perform” rating and set a $130.00 target price on shares of Paychex in a research note on Thursday. Two analysts have rated the stock with a sell rating and eleven have issued a hold rating to the company’s stock. According to, the company currently has an average rating of “Hold” and a consensus target price of $122.62.

Get Our Latest Stock Analysis on PAYX

Insider Buying and Selling

In related news, Director David J. S. Flaschen sold 19,709 shares of the firm’s stock in a transaction that occurred on Friday, May 24th. The shares were sold at an average price of $124.55, for a total transaction of $2,454,755.95. Following the sale, the director now owns 5,383 shares in the company, valued at $670,452.65. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 11.50% of the stock is owned by company insiders.

About Paychex

(Get Free Report)

Paychex, Inc provides integrated human capital management solutions for human resources (HR), payroll, benefits, and insurance services for small to medium-sized businesses in the United States, Europe, and India. It offers payroll processing services; payroll tax administration services; employee payment services; and regulatory compliance services, such as new-hire reporting and garnishment processing.

See Also

Earnings History for Paychex (NASDAQ:PAYX)

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