Paychex (NASDAQ:PAYX – Get Free Report) had its price objective lowered by stock analysts at Stifel Nicolaus from $130.00 to $112.00 in a research report issued to clients and investors on Thursday. The brokerage presently has a “hold” rating on the business services provider’s stock. Stifel Nicolaus’ price target points to a potential upside of 7.02% from the company’s previous close.
Several other research firms have also issued reports on PAYX. Guggenheim reiterated a “neutral” rating on shares of Paychex in a research report on Thursday, September 17th. Citigroup increased their price target on Paychex from $140.00 to $150.00 and gave the stock a “buy” rating in a research note on Thursday, July 30th. Jefferies Financial Group increased their price target on shares of Paychex from $105.00 to $120.00 and gave the stock a “hold” rating in a report on Wednesday, August 12th. BMO Capital Markets reaffirmed a “market perform” rating and set a $113.00 price objective (down from $118.00) on shares of Paychex in a research note on Thursday. Finally, Morgan Stanley lifted their price objective on Paychex from $107.00 to $109.00 and gave the company an “equal weight” rating in a research note on Tuesday, June 30th. One research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, thirteen have issued a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $128.18.
Get Our Latest Report on Paychex
Paychex Trading Up 0.2%
Paychex (NASDAQ:PAYX – Get Free Report) last released its quarterly earnings data on Wednesday, September 23rd. The business services provider reported $1.34 earnings per share for the quarter, topping the consensus estimate of $1.32 by $0.02. The business had revenue of $1.63 billion for the quarter, compared to analyst estimates of $1.63 billion. Paychex had a net margin of 27.03% and a return on equity of 50.90%. Paychex’s quarterly revenue was up 5.9% compared to the same quarter last year. During the same quarter last year, the firm earned $1.22 EPS. Paychex has set its FY 2027 guidance at 5.896-6.006 EPS. Equities analysts anticipate that Paychex will post 5.96 earnings per share for the current fiscal year.
Insider Activity at Paychex
In related news, Director Joseph M. Tucci sold 3,907 shares of the business’s stock in a transaction on Friday, June 26th. The stock was sold at an average price of $98.25, for a total transaction of $383,862.75. Following the completion of the transaction, the director directly owned 67,364 shares of the company’s stock, valued at $6,618,513. The trade was a 5.48% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Robert L. Schrader sold 2,600 shares of the business’s stock in a transaction dated Monday, July 20th. The shares were sold at an average price of $115.09, for a total value of $299,234.00. Following the completion of the sale, the chief financial officer directly owned 18,547 shares of the company’s stock, valued at $2,134,574.23. The trade was a 12.29% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 0.60% of the stock is currently owned by company insiders.
Institutional Trading of Paychex
Several hedge funds and other institutional investors have recently bought and sold shares of the company. XXEC Inc. acquired a new position in Paychex during the second quarter valued at approximately $1,123,016,000. Capital International Investors increased its position in Paychex by 59.1% in the fourth quarter. Capital International Investors now owns 30,265,174 shares of the business services provider’s stock worth $3,395,583,000 after buying an additional 11,243,295 shares during the period. BlackRock Inc. acquired a new position in Paychex during the 2nd quarter valued at about $2,728,970,000. State Street Corp increased its stake in shares of Paychex by 2.6% in the second quarter. State Street Corp now owns 14,411,341 shares of the business services provider’s stock valued at $1,417,067,000 after purchasing an additional 361,713 shares during the period. Finally, Geode Capital Management LLC boosted its position in shares of Paychex by 0.8% during the fourth quarter. Geode Capital Management LLC now owns 9,705,424 shares of the business services provider’s stock worth $1,093,958,000 after buying an additional 78,760 shares during the period. 83.47% of the stock is owned by hedge funds and other institutional investors.
Key Headlines Impacting Paychex
Here are the key news stories impacting Paychex this week:
- Positive Sentiment: Paychex reported fiscal Q1 adjusted earnings of $1.34 per share, above the $1.32–$1.33 analyst consensus, while revenue increased 5.9% year over year to $1.63 billion, in line with expectations. Operating margin expanded to 38.0% from 35.2%. Paychex Reports First Quarter Fiscal 2027 Results
- Positive Sentiment: PEO and Insurance Solutions revenue rose 12% to $367.6 million, prompting Paychex to raise its full-year growth outlook for that segment to 7%–8%, from 6%–7%.
- Positive Sentiment: JPMorgan upgraded PAYX from “underweight” to “neutral” and assigned a $115 price target, suggesting potential upside from the stock’s recent level. JPMorgan upgrades Paychex
- Positive Sentiment: The company introduced WISE Hire, an agentic AI recruiting product designed to automate candidate sourcing, matching and workflow management. The offering could support longer-term cross-selling and platform expansion. Paychex Introduces WISE Hire
Paychex Company Profile
Paychex, Inc is a provider of payroll, human resources, and workforce management solutions for businesses of varying sizes. Its offerings include payroll processing, tax administration, time and attendance tracking, employee benefits administration, retirement services, workers’ compensation and business insurance, recruiting, and compliance support.
The company also provides professional employer organization services, helping businesses manage employment administration and human resources through an integrated platform.
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