Paychex (NASDAQ:PAYX) Updates FY25 Earnings Guidance

Paychex (NASDAQ:PAYX) updated its FY25 earnings guidance on Tuesday. The company provided earnings per share guidance of $4.96-5.05 for the period, compared to the consensus earnings per share estimate of $4.97. The company issued revenue guidance of $5.49-5.57 billion, compared to the consensus revenue estimate of $5.52 billion.

Analyst Ratings Changes

Several equities research analysts have issued reports on the stock. JPMorgan Chase & Co. lifted their target price on shares of Paychex from $120.00 to $128.00 and gave the stock an underweight rating in a research note on Tuesday, August 20th. Bank of America increased their price objective on shares of Paychex from $111.00 to $113.00 and gave the company an underperform rating in a report on Thursday, June 27th. Robert W. Baird lowered their target price on Paychex from $126.00 to $124.00 and set a neutral rating on the stock in a report on Thursday, June 27th. Royal Bank of Canada reaffirmed a sector perform rating and issued a $130.00 price target on shares of Paychex in a report on Thursday, June 27th. Finally, Morgan Stanley dropped their target price on Paychex from $125.00 to $122.00 and set an equal weight rating for the company in a report on Thursday, June 27th. Two investment analysts have rated the stock with a sell rating and eleven have assigned a hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of Hold and a consensus target price of $125.62.

Paychex Stock Performance

NASDAQ:PAYX opened at $134.19 on Tuesday. Paychex has a fifty-two week low of $106.27 and a fifty-two week high of $137.40. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.37 and a current ratio of 1.37. The company has a 50 day moving average price of $129.19 and a 200 day moving average price of $124.34. The stock has a market capitalization of $48.30 billion, a P/E ratio of 28.73, a PEG ratio of 3.54 and a beta of 1.00.

Paychex Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, August 29th. Investors of record on Thursday, August 8th were issued a dividend of $0.98 per share. This represents a $3.92 dividend on an annualized basis and a yield of 2.92%. The ex-dividend date of this dividend was Thursday, August 8th. Paychex’s dividend payout ratio (DPR) is 83.94%.

Insiders Place Their Bets

In related news, Director David J. S. Flaschen sold 9,615 shares of Paychex stock in a transaction that occurred on Friday, July 26th. The shares were sold at an average price of $125.60, for a total value of $1,207,644.00. Following the completion of the transaction, the director now owns 5,383 shares in the company, valued at $676,104.80. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. In other Paychex news, Director David J. S. Flaschen sold 14,434 shares of the stock in a transaction dated Monday, August 5th. The stock was sold at an average price of $125.21, for a total value of $1,807,281.14. Following the sale, the director now owns 5,383 shares of the company’s stock, valued at approximately $674,005.43. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director David J. S. Flaschen sold 9,615 shares of Paychex stock in a transaction dated Friday, July 26th. The shares were sold at an average price of $125.60, for a total value of $1,207,644.00. Following the completion of the transaction, the director now owns 5,383 shares of the company’s stock, valued at approximately $676,104.80. The disclosure for this sale can be found here. Insiders have sold 45,673 shares of company stock worth $5,636,085 over the last three months. Company insiders own 11.50% 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.