What is Zacks Research's Estimate for Paychex Q1 Earnings?

Paychex, Inc. (NASDAQ:PAYX - Free Report) - Zacks Research issued their Q1 2026 earnings estimates for shares of Paychex in a note issued to investors on Wednesday, July 9th. Zacks Research analyst R. Department anticipates that the business services provider will post earnings per share of $1.21 for the quarter. The consensus estimate for Paychex's current full-year earnings is $4.99 per share. Zacks Research also issued estimates for Paychex's Q2 2026 earnings at $1.27 EPS, Q3 2026 earnings at $1.68 EPS, Q4 2026 earnings at $1.28 EPS, FY2026 earnings at $5.45 EPS, Q1 2027 earnings at $1.38 EPS, Q2 2027 earnings at $1.42 EPS, Q3 2027 earnings at $1.65 EPS, Q4 2027 earnings at $1.37 EPS and FY2027 earnings at $5.83 EPS.

Several other brokerages have also recently weighed in on PAYX. Jefferies Financial Group set a $140.00 price target on shares of Paychex and gave the stock a "hold" rating in a research note on Thursday, June 26th. UBS Group decreased their price target on shares of Paychex from $155.00 to $145.00 and set a "neutral" rating for the company in a research note on Thursday, June 26th. JPMorgan Chase & Co. raised their price target on shares of Paychex from $140.00 to $148.00 and gave the stock an "underweight" rating in a research note on Wednesday, June 18th. Citigroup set a $158.00 price target on shares of Paychex and gave the stock a "neutral" rating in a research note on Tuesday, June 24th. Finally, BMO Capital Markets assumed coverage on shares of Paychex in a research note on Thursday. They set a "market perform" rating and a $160.00 price target for the company. One research analyst has rated the stock with a sell rating and ten have issued a hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $150.20.

Paychex Price Performance

Shares of PAYX opened at $145.31 on Friday. The stock has a market capitalization of $52.34 billion, a P/E ratio of 31.80, a P/E/G ratio of 3.34 and a beta of 0.88. Paychex has a twelve month low of $116.57 and a twelve month high of $161.24. The company has a 50 day moving average of $152.05 and a 200-day moving average of $148.16. The company has a quick ratio of 1.39, a current ratio of 1.28 and a debt-to-equity ratio of 1.10.

Paychex (NASDAQ:PAYX - Get Free Report) last announced its earnings results on Wednesday, June 25th. The business services provider reported $1.19 EPS for the quarter, hitting the consensus estimate of $1.19. The firm had revenue of $1.43 billion for the quarter, compared to the consensus estimate of $1.38 billion. Paychex had a net margin of 29.75% and a return on equity of 45.01%. During the same period last year, the company posted $1.12 EPS.

Paychex Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 29th. Investors of record on Monday, July 21st will be paid a $1.08 dividend. The ex-dividend date is Monday, July 21st. This represents a $4.32 annualized dividend and a dividend yield of 2.97%. Paychex's dividend payout ratio is presently 94.53%.

Insider Buying and Selling at Paychex

In other Paychex news, Director Joseph M. Velli sold 3,650 shares of Paychex stock in a transaction on Tuesday, April 15th. The shares were sold at an average price of $149.25, for a total transaction of $544,762.50. Following the completion of the transaction, the director directly owned 78,455 shares of the company's stock, valued at $11,709,408.75. The trade was a 4.45% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Corporate insiders own 11.40% of the company's stock.

Hedge Funds Weigh In On Paychex

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Robeco Institutional Asset Management B.V. boosted its position in Paychex by 118.5% during the first quarter. Robeco Institutional Asset Management B.V. now owns 136,876 shares of the business services provider's stock worth $21,117,000 after purchasing an additional 74,245 shares during the period. Wealth Enhancement Advisory Services LLC boosted its position in Paychex by 32.6% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 119,291 shares of the business services provider's stock worth $18,404,000 after purchasing an additional 29,320 shares during the period. Fifth Third Wealth Advisors LLC boosted its position in Paychex by 15.1% during the first quarter. Fifth Third Wealth Advisors LLC now owns 6,419 shares of the business services provider's stock worth $990,000 after purchasing an additional 843 shares during the period. Oppenheimer Asset Management Inc. boosted its position in Paychex by 7.1% during the first quarter. Oppenheimer Asset Management Inc. now owns 7,607 shares of the business services provider's stock worth $1,174,000 after purchasing an additional 502 shares during the period. Finally, Nomura Asset Management Co. Ltd. boosted its position in Paychex by 4.2% during the fourth quarter. Nomura Asset Management Co. Ltd. now owns 581,529 shares of the business services provider's stock worth $81,542,000 after purchasing an additional 23,359 shares during the period. 83.47% of the stock is owned by institutional investors.

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.

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