Paychex (NASDAQ:PAYX) Issues Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Paychex (NASDAQ:PAYXGet Free Report) issued its quarterly earnings results on Tuesday. The business services provider reported $1.16 EPS for the quarter, topping analysts’ consensus estimates of $1.14 by $0.02, Briefing.com reports. The company had revenue of $1.32 billion during the quarter, compared to analysts’ expectations of $1.31 billion. Paychex had a return on equity of 46.63% and a net margin of 32.03%. The firm’s revenue was up 2.5% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.14 EPS. Paychex updated its FY25 guidance to $4.96-5.05 EPS and its FY 2025 guidance to 4.960-5.050 EPS.

Paychex Price Performance

PAYX stock opened at $139.36 on Friday. Paychex has a 1 year low of $106.27 and a 1 year high of $142.04. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.37 and a quick ratio of 1.37. The firm has a market capitalization of $50.13 billion, a PE ratio of 29.84, a price-to-earnings-growth ratio of 3.52 and a beta of 1.00. The business has a 50 day simple moving average of $130.19 and a 200-day simple moving average of $124.70.

Paychex Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, August 29th. Shareholders of record on Thursday, August 8th were issued a $0.98 dividend. The ex-dividend date of this dividend was Thursday, August 8th. This represents a $3.92 dividend on an annualized basis and a yield of 2.81%. Paychex’s payout ratio is 83.94%.

Insider Buying and Selling

In other news, CEO John B. Gibson sold 12,670 shares of the company’s stock in a transaction that occurred on Monday, July 15th. The shares were sold at an average price of $119.53, for a total value of $1,514,445.10. Following the transaction, the chief executive officer now directly owns 55,745 shares in the company, valued at approximately $6,663,199.85. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. In related news, CEO John B. Gibson sold 12,670 shares of the stock in a transaction dated Monday, July 15th. The stock was sold at an average price of $119.53, for a total transaction of $1,514,445.10. Following the transaction, the chief executive officer now owns 55,745 shares of the company’s stock, valued at approximately $6,663,199.85. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, Director David J. S. Flaschen sold 9,615 shares of the business’s stock in a transaction dated Friday, July 26th. The stock was sold at an average price of $125.60, for a total transaction of $1,207,644.00. Following the sale, the director now owns 5,383 shares in the company, valued at $676,104.80. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 45,673 shares of company stock worth $5,636,085. 11.50% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

A number of research firms recently commented on PAYX. JPMorgan Chase & Co. lifted their target price on Paychex from $120.00 to $128.00 and gave the stock an “underweight” rating in a report on Tuesday, August 20th. TD Cowen upped their price objective on shares of Paychex from $126.00 to $131.00 and gave the company a “hold” rating in a report on Wednesday. Robert W. Baird reduced their target price on shares of Paychex from $126.00 to $124.00 and set a “neutral” rating for the company in a report on Thursday, June 27th. Citigroup upped their price target on shares of Paychex from $125.00 to $145.00 and gave the company a “neutral” rating in a report on Wednesday, September 25th. Finally, Jefferies Financial Group lifted their price target on Paychex from $120.00 to $130.00 and gave the company a “hold” rating in a research report on Wednesday. Two equities research analysts have rated the stock with a sell rating and twelve have assigned a hold rating to the stock. According to data from MarketBeat, Paychex currently has a consensus rating of “Hold” and a consensus target price of $130.77.

Check Out Our Latest Stock Analysis on PAYX

Paychex Company Profile

(Get Free Report)

Paychex, Inc, together with its subsidiaries, provides integrated human capital management solutions (HCM) for payroll, benefits, human resources (HR), 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.

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Earnings History for Paychex (NASDAQ:PAYX)

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