Should I buy or sell Paychex stock right now?

10 Wall Street analysts have issued "buy," "hold," and "sell" ratings for Paychex in the last year. There are currently 2 sell ratings and 8 hold ratings for the stock. The consensus among Wall Street analysts is that investors should "reduce" PAYX shares. View PAYX analyst ratings or view top-rated stocks .

What is Paychex's stock price target for 2024?

10 Wall Street research analysts have issued 1-year target prices for Paychex's shares. Their PAYX share price targets range from $106.00 to $130.00. On average, they predict the company's share price to reach $123.17 in the next twelve months. This suggests a possible upside of 0.1% from the stock's current price. View analysts price targets for PAYX or view top-rated stocks among Wall Street analysts .

How have PAYX shares performed in 2024?

Paychex's stock was trading at $119.11 at the beginning of 2024. Since then, PAYX stock has increased by 3.3% and is now trading at $123.03. View the best growth stocks for 2024 here .

When is Paychex's next earnings date?

The company is scheduled to release its next quarterly earnings announcement on Wednesday, April 3rd 2024. View our PAYX earnings forecast .

How were Paychex's earnings last quarter?

Paychex, Inc. (NASDAQ:PAYX) released its earnings results on Thursday, December, 21st. The business services provider reported $1.08 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.07 by $0.01. The business services provider had revenue of $1.26 billion for the quarter, compared to the consensus estimate of $1.27 billion. Paychex had a trailing twelve-month return on equity of 46.37% and a net margin of 31.62%. Paychex's revenue was up 5.7% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.99 earnings per share. Read the conference call transcript .

How often does Paychex pay dividends? What is the dividend yield for Paychex?

Paychex declared a quarterly dividend on Thursday, January 18th. Stockholders of record on Tuesday, February 13th will be given a dividend of $0.89 per share on Tuesday, February 27th. This represents a $3.56 dividend on an annualized basis and a yield of 2.89%. The ex-dividend date is Monday, February 12th. Read our dividend analysis for PAYX .

Is Paychex a good dividend stock?

Paychex (NASDAQ:PAYX) pays an annual dividend of $3.56 per share and currently has a dividend yield of 2.89%. The company has been increasing its dividend for 13 consecutive years, indicating the company has a strong committment to maintain and grow its dividend. The dividend payout ratio is 79.11%. Payout ratios above 75% are not desirable because they may not be sustainable. Based on earnings estimates, PAYX will have a dividend payout ratio of 70.92% next year. This indicates that the company will be able to sustain or increase its dividend. Read our dividend analysis for PAYX .

What ETFs hold Paychex's stock?

ETFs with the largest weight of Paychex (NASDAQ:PAYX) stock in their portfolio include WBI BullBear Value 3000 ETF (WBIF) , SmartETFs Dividend Builder ETF (DIVS) , Democratic Large Cap Core ETF (DEMZ) , First Trust Capital Strength ETF (FTCS) , Dividend Performers ETF (IPDP) , First Trust NASDAQ 100 Ex-Technology Sector Index Fund (QQXT) , KraneShares Value Line Dynamic Dividend Equity Index ETF (KVLE) and Inspire 100 ETF (BIBL) .

How will Paychex's stock buyback program work?

Paychex announced that its board has approved a share buyback program on Friday, January 19th 2024, which permits the company to repurchase $400,000,000.00 in shares, according to EventVestor. This repurchase authorization permits the company to repurchase up to 0.9% of its shares through open market purchases. Shares repurchase programs are often a sign that the company's board of directors believes its stock is undervalued.

What guidance has Paychex issued on next quarter's earnings?

Paychex issued an update on its FY 2024 earnings guidance on Thursday, December, 21st. The company provided earnings per share guidance of 4.700-4.740 for the period, compared to the consensus EPS estimate of 4.700. The company issued revenue guidance of -.

What is Martin Mucci's approval rating as Paychex's CEO?

975 employees have rated Paychex Chief Executive Officer Martin Mucci on Glassdoor.com . Martin Mucci has an approval rating of 90% among the company's employees.

What other stocks do shareholders of Paychex own?

Based on aggregate information from My MarketBeat watchlists, some companies that other Paychex investors own include Intel (INTC) , Cisco Systems (CSCO) , AT&T (T) , General Electric (GE) , Johnson & Johnson (JNJ) , Pfizer (PFE) , Verizon Communications (VZ) , NVIDIA (NVDA) , Procter & Gamble (PG) and AbbVie (ABBV) .

Who are Paychex's major shareholders?

Paychex's stock is owned by many different institutional and retail investors. Top institutional shareholders include Charles Schwab Investment Management Inc. (1.89%), California Public Employees Retirement System (0.54%), Dimensional Fund Advisors LP (0.47%), Bahl & Gaynor Inc. (0.44%), Federated Hermes Inc. (0.41%) and Troy Asset Management Ltd (0.35%). Insiders that own company stock include David J S Flaschen, David J S Flaschen , Efrain Rivera , John B Gibson , Joseph Doody , Joseph M Tucci , Joseph M Velli , Karen E Saunders-Mcclendon , Mark Anthony Bottini , Martin Mucci , Michael E Gioja , Robert L Schrader, Robert L Schrader , Stephanie L Schaeffer and Stephanie L Schaeffer . View institutional ownership trends .

How do I buy shares of Paychex?

Shares of PAYX stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services. Compare Top Brokerages Here .

Does Paychex have any subsidiaries?

The following companies are subsidiares of Paychex: Advance Partners, Advantage Payroll Services, DHR Services Holdings LLC, ESG Consulting II LLC, ESG Entities II LLC, ESG PEO LLC, ExpenseWire, Flock, Fortune Industries LLC, Gordian Capital Holdings LLC, HR Outsourcing, Icon Time Systems, InterPay, Lessor Group, Oasis AHR II LLC, Oasis AHR PL LLC, Oasis DHR LLC, Oasis Outsourcing, Oasis Outsourcing Acquisition Corporation, Oasis Outsourcing Contract III Inc., Oasis Outsourcing Holdings Inc., Oasis Outsourcing LLC, Oasis Outsourcing TX LLC, Oasis Outsourcing V LLC, Oasis Payroll Services Inc., Olsen Computer Systems, PXC Inc., Paychex Benefit Technologies, Paychex Holdings LLC, Paychex Insurance Agency Inc., Paychex Investment LLC, Paychex Management LLC, Paychex North America Inc., Paychex of New York LLC, Professional Staff Management Inc., SurePayroll, The Payroll Company, ePlan Services, myStaffingPro by HR Services, and nettime Solutions. Read More

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NASDAQ:PAYX

Paychex (PAYX) Stock Price, News & Analysis

$123.03

+0.28 (+0.23%)

(As of 02/9/2024 08:56 PM ET)

Compare

Today's Range: $121.84
▼
$123.25
50-Day Range: $116.84
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$128.79
52-Week Range: $104.09
▼
$129.70

Volume: 1.71 million shs
Average Volume: 1.67 million shs
Market Capitalization: $44.27 billion

P/E Ratio: 27.34
Dividend Yield: 2.89%
Price Target: $123.17

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Paychex MarketRank™ Stock Analysis

Analyst Rating: Reduce
1.80 Rating Score
Upside/Downside: 0.1% Upside
$123.17 Price Target
Short Interest: Bearish
3.35% of Float Sold Short
Dividend Strength: Strong
Based on Four Factors
Sustainability: -0.14
Upright™ Environmental Score
News Sentiment: 1.25
Based on 9 Articles This Week
Insider Trading: Selling Shares
$3.79 M Sold Last Quarter
Proj. Earnings Growth: 6.36%
From $4.72 to $5.02 Per Share

Overall MarketRank^™

New Rank-Based ScoringMarketRank^™ is calculated by averaging available category scores (with extra weight given to analysis and valuation), then ranking the company's weighted average against that of other companies.

4.43 out of 5 stars

Business Services Sector

41st out of 303 stocks

Engineering, Accounting, Research, Management & Related Services Industry

2nd out of 2 stocks

1.9

Analyst's Opinion

Consensus Rating
Paychex has received a consensus rating of Reduce. The company's average rating score is 1.80, and is based on no buy ratings, 8 hold ratings, and 2 sell ratings.
Price Target Upside/Downside
According to analysts' consensus price target of $123.17, Paychex has a forecasted upside of 0.1% from its current price of $123.03.
Amount of Analyst Coverage
Paychex has been the subject of 6 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

2.0

Short Interest

Percentage of Shares Shorted
3.35% of the float of Paychex has been sold short.
Short Interest Ratio / Days to Cover
Paychex has a short interest ratio ("days to cover") of 5.5.
Change versus previous month
Short interest in Paychex has recently increased by 7.29%, indicating that investor sentiment is decreasing significantly.

3.3

Dividend Strength

Dividend Yield
Paychex pays a meaningful dividend of 2.89%, higher than the bottom 25% of all stocks that pay dividends.
Dividend Growth
Paychex has been increasing its dividend for 13 years.
Dividend Coverage
The dividend payout ratio of Paychex is 79.11%. Payout ratios above 75% are not desirable because they may not be sustainable.
Dividend Sustainability
Based on earnings estimates, Paychex will have a dividend payout ratio of 70.92% next year. This indicates that Paychex will be able to sustain or increase its dividend.

4.1

Sustainability and ESG

Overall ESG (Environmental, Social, and Governance) Score
Paychex has received a 57.10% net impact score from Upright. Paychex seems to create the most significant positive value in categories "Taxes", "Jobs", and "Societal stability & understanding among people". The positive contribution in the "Societal stability & understanding among people" impact category is mostly driven by its "Employee benefits plans", "Payroll services", and "Retirement saving services" products. See details.
Environmental Sustainability
The Environmental Impact score for Paychex is -0.14.

2.4

News and Social Media Coverage

News Sentiment
Paychex has a news sentiment score of 1.25. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.80 average news sentiment score of Business Services companies.
News Coverage This Week
MarketBeat has tracked 9 news articles for Paychex this week, compared to 9 articles on an average week.
Search Interest
Only 5 people have searched for PAYX on MarketBeat in the last 30 days. This is a decrease of -62% compared to the previous 30 days.
MarketBeat Follows
Only 5 people have added Paychex to their MarketBeat watchlist in the last 30 days. This is a decrease of -17% compared to the previous 30 days.

3.3

Company Ownership

Insider Buying vs. Insider Selling
In the past three months, Paychex insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $3,786,278.00 in company stock.
Percentage Held by Insiders
11.50% of the stock of Paychex is held by insiders. A high percentage of insider ownership can be a sign of company health.
Percentage Held by Institutions
72.18% of the stock of Paychex is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

1.9

Earnings and Valuation

Earnings Growth
Earnings for Paychex are expected to grow by 6.36% in the coming year, from $4.72 to $5.02 per share.
Price to Earnings Ratio vs. the Market
The P/E ratio of Paychex is 27.34, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 126.08.
Price to Earnings Ratio vs. Sector
The P/E ratio of Paychex is 27.34, which means that it is trading at a less expensive P/E ratio than the Business Services sector average P/E ratio of about 34.38.
Price to Earnings Growth Ratio
Paychex has a PEG Ratio of 3.32. PEG Ratios above 1 indicate that a company could be overvalued.
Price to Book Value per Share Ratio
Paychex has a P/B Ratio of 12.70. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

See Top Rated MarketRank™ Stocks Here

About Paychex Stock (NASDAQ:PAYX)

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. The company also provides HR solutions, including payroll, employer compliance, HR and employee benefits administration, risk management outsourcing, and the on-site availability of a professionally trained HR representative; and retirement services administration, including plan implementation, ongoing compliance with government regulations, employee and employer reporting, participant and employer online access, electronic funds transfer, and other administrative services. In addition, it offers cloud-based HR administration software products for employee benefits management and administration, time and attendance, digital communication solutions, recruiting, and onboarding solutions; plan administration outsourcing and state unemployment insurance services; various business services to small to medium-sized businesses comprising payroll funding and outsourcing services, which include payroll processing, invoicing, and tax preparation; and payment processing services, financial fitness programs, and a small-business loan resource center. Further, the company provides insurance services for property and casualty coverage, such as workers' compensation, business-owner policies, cyber security protection, and commercial auto, as well as health and benefits coverage, including health, dental, vision, and life. It markets and sells its services primarily through its direct sales force. The company was founded in 1971 and is headquartered in Rochester, New York.

PAYX Stock Price History

30 days | 90 days | 365 days | Advanced Chart

PAYX Stock News Headlines

February 12, 2024 | finance.yahoo.com

Paychex Inc's Dividend Analysis

February 8, 2024 | finance.yahoo.com

Paychex Inc Senior Vice President Michael Gioja Sells 40,068 Shares

February 12, 2024 | The Freeport Society (Ad)

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February 7, 2024 | finance.yahoo.com

Paychex, Inc. (NASDAQ:PAYX) Pays A US$0.89 Dividend In Just Four Days

February 4, 2024 | americanbankingnews.com

Paychex, Inc. (NASDAQ:PAYX) Receives $123.17 Consensus Target Price from Analysts

February 3, 2024 | americanbankingnews.com

Paychex, Inc. (NASDAQ:PAYX) VP Sells $1,865,924.93 in Stock

January 30, 2024 | finance.yahoo.com

Job Gains Continue Among U.S. Small Businesses to Start 2024

January 29, 2024 | finance.yahoo.com

Those who invested in Paychex (NASDAQ:PAYX) five years ago are up 93%

February 12, 2024 | The Freeport Society (Ad)

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I believe Donald J. Trump will go down as America’s last Republican president. But NOT for the reasons you may think… If I’m right, the soul of this country will change forever…

January 24, 2024 | finance.yahoo.com

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January 22, 2024 | finance.yahoo.com

Paychex Declares Quarterly Dividend and Authorizes $400 Million Stock Repurchase

January 20, 2024 | msn.com

Paychex Launches New $400M Stock Buyback, Declares Dividend

January 19, 2024 | marketwatch.com

Paychex Board Approves New $400 Million Stock Buyback

January 19, 2024 | markets.businessinsider.com

Paychex To Buyback Upto $400 Mln Of Common Stock

January 19, 2024 | investing.com

Paychex announces quarterly dividend, plans $400M stock buyback

January 18, 2024 | finance.yahoo.com

Paychex (PAYX) Was Down Due to Recession Worries

January 18, 2024 | finance.yahoo.com

Here's Why Paychex (PAYX) is an Attractive Pick Right Now

January 18, 2024 | finance.yahoo.com

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