Paychex (NASDAQ:PAYX) Releases FY25 Earnings Guidance

Paychex (NASDAQ:PAYX) issued an update on its FY25 earnings guidance on Wednesday morning. The company provided EPS guidance of $4.96-5.05 for the period, compared to the consensus EPS estimate of $4.99. The company issued revenue guidance of $5.49-5.57 billion, compared to the consensus revenue estimate of $5.52 billion. Paychex also updated its FY 2025 guidance to 4.960-5.050 EPS.

Analyst Ratings Changes

PAYX has been the topic of several analyst reports. Royal Bank of Canada restated a “sector perform” rating and set a $148.00 price objective on shares of Paychex in a report on Friday, December 20th. UBS Group raised their target price on shares of Paychex from $152.00 to $155.00 and gave the company a “neutral” rating in a research note on Tuesday, March 4th. Finally, Barclays raised their price objective on shares of Paychex from $135.00 to $140.00 and gave the company an “equal weight” rating in a research report on Monday, December 23rd. Two investment analysts have rated the stock with a sell rating and eleven have given a hold rating to the company. According to data from MarketBeat.com, Paychex currently has a consensus rating of “Hold” and a consensus price target of $133.23.

Paychex Trading Down 0.5 %

NASDAQ:PAYX opened at $144.13 on Wednesday. The company has a quick ratio of 1.39, a current ratio of 1.39 and a debt-to-equity ratio of 0.20. The company’s 50 day moving average is $147.91 and its 200-day moving average is $142.99. The firm has a market cap of $51.90 billion, a price-to-earnings ratio of 30.34, a P/E/G ratio of 4.10 and a beta of 0.98. Paychex has a 12 month low of $114.72 and a 12 month high of $158.37.

Paychex (NASDAQ:PAYX) last released its quarterly earnings results on Wednesday, March 26th. The business services provider reported $1.49 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.48 by $0.01. The company had revenue of $1.51 billion during the quarter, compared to analysts’ expectations of $1.51 billion. Paychex had a net margin of 32.02% and a return on equity of 45.28%. The business’s quarterly revenue was up 4.8% compared to the same quarter last year. During the same period in the prior year, the company earned $1.38 earnings per share. Equities analysts anticipate that Paychex will post 4.99 EPS for the current year.

Paychex Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, February 27th. Stockholders of record on Friday, February 7th were paid a $0.98 dividend. The ex-dividend date of this dividend was Friday, February 7th. This represents a $3.92 annualized dividend and a dividend yield of 2.72%. Paychex’s dividend payout ratio is presently 82.53%.

Institutional Trading of Paychex

A hedge fund recently raised its stake in Paychex stock. Brighton Jones LLC boosted its holdings in shares of Paychex, Inc. (NASDAQ:PAYX) by 26.3% in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 5,710 shares of the business services provider’s stock after purchasing an additional 1,190 shares during the period. Brighton Jones LLC’s holdings in Paychex were worth $801,000 as of its most recent SEC filing. Institutional investors own 83.47% of the company’s stock.

About Paychex

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.