Paychex Inc PAYX
Stock research in plain language · As of Oct 04, 2026 · updated once a week, after the trading week closes
What the company does
Paychex Inc is a large-cap company in the Technology sector (Software - Application), with a market value of $35.2B, based in the USA.
It employs about 17,600 people and has been listed since Mar 26, 1990.
Paychex, Inc., together with its subsidiaries, provides human capital management solutions (HCM) for human resources, payroll processing, employee benefits, and insurance services for small to medium-sized businesses in the United States, Europe, Canada, India, and Israel. It offers technology and advisory solutions; and payroll tax administration services. The company also provides retirement solutions, such as plan implementation, ongoing compliance with government regulations, employee and employer reporting, participant and employer online access, electronic funds transfer, and other administrative services; HCM solutions from recruiting and hiring to retirement; and talent management and talent acquisition services.
Cheap or expensive? relatively cheap
Its price-to-earnings (P/E) is 19.6 versus 41.5 for the median of the Technology sector in our universe (46 companies) — relatively cheap.
Revenue is growing 6% versus the same quarter last year.
On analysts' next-year forecasts the multiple drops to 17.5 — they expect higher earnings.
The average analyst price target is 113.93, 15% above the current price (their view, not ours).
The stock sits at 35% of its one-year range (0% = the low, 100% = the high).
The risks
- No risk flags were detected from the data we have.
Strengths
- ✅ Profitable — 26 of every 100 dollars of revenue stays as profit.
- ✅ Generates free cash flow — profit becomes cash in the bank.
- ✅ Buys back its shares (2% fewer shares in a year).
- ✅ Pays a dividend (4.5% a year).
What changed this week
Over the past week the stock fell 2.4% (for comparison: S&P 500 -0.2%, sector ETF XLK +1.8%).
This week's news
- Extensive Database & Solid Bookings Benefit IQVIA Amid Low Liquidity finance.yahoo.com · 2026-10-02
- Accenture's Q4 Earnings Beat Estimates, Revenues Increase 6% Y/Y finance.yahoo.com · 2026-10-01
- Nasdaq rises nearly 2% in September, helped by late-month tech rally seekingalpha.com · 2026-10-01
- FactSet's Q4 Earnings Beat Estimates, Revenues Increase 6.3% Y/Y finance.yahoo.com · 2026-09-30
- Does Paychex (PAYX) Deserve A Discount After Its 22% Slide? finance.yahoo.com · 2026-09-29
- ACN Set to Report Q4 Earnings: Here's What Investors Should Know finance.yahoo.com · 2026-09-29
A description of facts from the filings and the market — not investment advice or a recommendation. "Cheap" and "expensive" are always relative to the comparison group.