Paychex (NASDAQ:PAYX) Issues FY 2025 Earnings Guidance

Paychex (NASDAQ:PAYX) issued an update on its FY 2025 earnings guidance on Wednesday. The company provided EPS guidance of 4.960-5.050 for the period, compared to the consensus EPS estimate of 4.990. The company issued revenue guidance of $5.5 billion-$5.6 billion, compared to the consensus revenue estimate of $5.5 billion. Paychex also updated its FY25 guidance to $4.96-5.05 EPS.

Paychex Trading Up 4.2 %

Shares of NASDAQ PAYX opened at $150.19 on Thursday. The company has a current ratio of 1.39, a quick ratio of 1.39 and a debt-to-equity ratio of 0.20. The stock has a market capitalization of $54.08 billion, a PE ratio of 31.62, a PEG ratio of 4.10 and a beta of 0.98. Paychex has a twelve month low of $114.72 and a twelve month high of $158.37. The stock has a fifty day simple moving average of $148.03 and a 200-day simple moving average of $143.04.

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

Paychex Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, February 27th. Shareholders of record on Friday, February 7th were given a $0.98 dividend. The ex-dividend date of this dividend was Friday, February 7th. This represents a $3.92 annualized dividend and a yield of 2.61%. Paychex’s dividend payout ratio is presently 82.53%.

Wall Street Analysts Forecast Growth

PAYX has been the subject of a number of analyst reports. Royal Bank of Canada reissued a “sector perform” rating and set a $148.00 price objective on shares of Paychex in a research report on Friday, December 20th. Barclays lifted their price objective on shares of Paychex from $135.00 to $140.00 and gave the stock an “equal weight” rating in a research report on Monday, December 23rd. Finally, UBS Group increased their target price on Paychex from $152.00 to $155.00 and gave the company a “neutral” rating in a report on Tuesday, March 4th. Two investment analysts have rated the stock with a sell rating and ten have given a hold rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $134.50.

Institutional Investors Weigh In On Paychex

A hedge fund recently raised its stake in Paychex stock. Brighton Jones LLC boosted its position in Paychex, Inc. (NASDAQ:PAYX) by 26.3% in the 4th quarter, according to its most recent filing with the SEC. The firm owned 5,710 shares of the business services provider’s stock after acquiring an additional 1,190 shares during the period. Brighton Jones LLC’s holdings in Paychex were worth $801,000 at the end of the most recent reporting period. Institutional investors own 83.47% of the company’s stock.

Paychex Company Profile

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.