Services-Engineering, Accounting, Research, Management · SIC 8700

PAYCHEX INC

PAYX

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Latest revenue

$1.75B

as of 2026-02-28

Latest net income

as of 2026-02-28

Net margin

as of 2026-02-28

Price · 5Y

+2.2% / yr 11.6 pts / yr vs S&P 500 11.5% total
Compare:

Live market

delayed ≤15 min
$97.00
2.92%
Market cap
$34.75B
Enterprise value
$37.97B
P/E (trailing)
Forward P/E
P/B
8.66×
Dividend yield
4.6%
52-wk high
$161.24
52-wk low
$85.45
Beta
Shares out
358.3M

5-year trend

What this company does

AI

Paychex provides payroll processing, HR outsourcing, retirement, and insurance services to small and mid-sized US businesses, plus a professional employer organization (PEO) offering. Recurring fees from Management Solutions drive revenue (~$3.7B over nine months), with PEO/insurance and interest on client funds held for tax remittance adding the rest. The company recently absorbed Paycor through a debt-funded acquisition, lifting revenue ~18% but tripling interest expense and prompting a fresh $1.0 billion buyback authorization to offset dilution.

Generated from PAYX's filing dated 2025-07-11

Key risks

AI
  • Leverage jumped post-Paycor acquisition: long-term debt now $4.55B with interest expense surging to $204.8M YTD versus $41.7M prior year.
  • Integration risk: SG&A rose 43% YTD to $1.74B and 9-month net income fell to $1.34B from $1.36B despite 18% revenue growth.
  • Intangibles-heavy balance sheet: $4.53B goodwill plus $1.75B intangibles equal 156% of equity, exposing investors to impairment risk if Paycor synergies disappoint.

Generated from PAYX's filing dated 2025-07-11

Profitability

Operating margin

39.6%

3.8%

Leverage

Debt / equity

3.01×

74.0%

Long-term debt / equity

1.10×

424.4%

Debt / assets

75.1%

18.4%

Earnings tracker

QuarterRevenueYoYNet incomeYoYNet margin

Q1 2026

2026-02-28

$1.75B+19.5%

Q4 2025

2025-11-30

$1.50B+17.4%

Q3 2025

2025-08-31

$1.49B+16.5%

Q2 2025

2025-05-31

$1.54B+10.0%

Q1 2025

2025-02-28

$1.47B+5.1%

Q4 2024

2024-11-30

$1.28B+4.4%

Q3 2024

2024-08-31

$1.28B+2.2%

Q2 2024

2024-05-31

$1.40B

Year-over-year change vs the same fiscal quarter one year prior. Revenue + net income sourced from SEC 10-Q / 10-K filings — no analyst-consensus dependency.

Industry trend

Services-Engineering, Accounting, Research, Management · SIC 8700

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Insider activity

Insider buying

$197.3K

Insider selling

$16.7M

Net activity

−$16.5M

Distinct insiders

7

Open-market trades over the last 365 days.

Recent transactions

DateInsiderTypeSharesPriceValue
2026-05-13

Elizabeth Roaldsen

Sr. Vice President

Sale459$90.00$41.3K
2026-02-04

Joseph Doody

Director

Purchase1,000$98.76$98.8K
2026-02-04

Tom Bonadio

Director

Purchase1,000$98.50$98.5K

Source: SEC Form 4 filings. Officers, directors, and 10%+ owners must disclose share transactions within two business days. RSU grants and tax-withholding rows are excluded by default — compensation activity is not a trading signal.

Who owns PAYX

Institutional value

$9.90B

Total shares held

109.8M

Distinct holders

766

As of

2026-03-31

Filers with $100M+ AUM disclose holdings 45 days after quarter end.

Top institutional holders

#ManagerSharesValueQoQ changeAction
1VANGUARD CAPITAL MANAGEMENT LLC21.0M$1.93BNew
2VANGUARD PORTFOLIO MANAGEMENT LLC15.2M$1.40BNew
3FEDERATED HERMES, INC.5.9M$542.2MNew
4Invesco Ltd.5.3M$483.7MNew
5WELLS FARGO & COMPANY/MN4.2M$390.5MNew
6UBS Group AG3.5M$325.4MNew
7DIMENSIONAL FUND ADVISORS LP2.8M$260.0MNew
8ENVESTNET ASSET MANAGEMENT INC2.8M$255.6MNew
9Legal & General Group Plc2.3M$216.0MNew
10Bank of New York Mellon Corp2.0M$184.9MNew
11STIFEL FINANCIAL CORP1.8M$170.0MNew
12VANGUARD FIDUCIARY TRUST CO1.8M$168.9MNew
13LPL Financial LLC1.5M$133.7MNew
14DEUTSCHE BANK AG\1.4M$128.9MNew
15California Public Employees Retirement System1.0M$95.0MNew
16Nuveen, LLC980.2K$90.3MNew
17Swiss National Bank948.1K$87.3MNew
18PNC Financial Services Group, Inc.938.7K$86.5MNew
19Sumitomo Mitsui Trust Group, Inc.859.7K$79.2MNew
20MCDONALD CAPITAL INVESTORS INC/CA839.2K$77.3MNew

Source: SEC Form 13F-HR. Positions aggregated across sub-managers within each firm. Options (puts/calls) excluded — common stock only.

Top questions investors are asking

AI
  1. 1

    SG&A jumped 36% YoY to $585.7M this quarter—how much is Paycor integration vs. structural, and when does it normalize?

  2. 2

    Nine-month net income fell to $1,339.5M from $1,360.1M despite 18% revenue growth; when does Paycor become EPS accretive ex-amortization?

  3. 3

    Interest expense rose to $204.8M YTD from $41.7M with $4.95B long-term debt—what's your deleveraging timeline given the new $1B buyback?

Refreshed when PAYX files a new report · last from 2025-07-11