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Paychex (PAYX) Competitors

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$145.93 -1.49 (-1.01%)
Closing price 03:59 PM Eastern
Extended Trading
$144.57 -1.35 (-0.93%)
As of 04:04 PM Eastern
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PAYX vs. ADP, FI, FIS, BR, GPN, JKHY, G, EXLS, WEX, and EEFT

Should you be buying Paychex stock or one of its competitors? The main competitors of Paychex include Automatic Data Processing (ADP), Fiserv (FI), Fidelity National Information Services (FIS), Broadridge Financial Solutions (BR), Global Payments (GPN), Jack Henry & Associates (JKHY), Genpact (G), ExlService (EXLS), WEX (WEX), and Euronet Worldwide (EEFT). These companies are all part of the "data processing & outsourced services" industry.

Paychex vs. Its Competitors

Automatic Data Processing (NASDAQ:ADP) and Paychex (NASDAQ:PAYX) are both large-cap computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, media sentiment, risk, analyst recommendations, earnings, institutional ownership, valuation and dividends.

Automatic Data Processing has higher revenue and earnings than Paychex. Paychex is trading at a lower price-to-earnings ratio than Automatic Data Processing, indicating that it is currently the more affordable of the two stocks.

CompanyGross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Automatic Data Processing$19.20B6.45$3.75B$9.7731.22
Paychex$5.57B9.43$1.66B$4.8030.40

Automatic Data Processing currently has a consensus target price of $307.08, suggesting a potential upside of 0.69%. Paychex has a consensus target price of $149.11, suggesting a potential upside of 2.18%. Given Paychex's higher possible upside, analysts clearly believe Paychex is more favorable than Automatic Data Processing.

Company Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Automatic Data Processing
1 Sell rating(s)
8 Hold rating(s)
3 Buy rating(s)
0 Strong Buy rating(s)
2.17
Paychex
1 Sell rating(s)
9 Hold rating(s)
0 Buy rating(s)
0 Strong Buy rating(s)
1.90

Paychex has a net margin of 29.75% compared to Automatic Data Processing's net margin of 19.79%. Automatic Data Processing's return on equity of 77.33% beat Paychex's return on equity.

Company Net Margins Return on Equity Return on Assets
Automatic Data Processing19.79% 77.33% 7.18%
Paychex 29.75%45.01%14.77%

80.0% of Automatic Data Processing shares are owned by institutional investors. Comparatively, 83.5% of Paychex shares are owned by institutional investors. 0.2% of Automatic Data Processing shares are owned by company insiders. Comparatively, 11.4% of Paychex shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Automatic Data Processing has a beta of 0.76, suggesting that its stock price is 24% less volatile than the S&P 500. Comparatively, Paychex has a beta of 0.88, suggesting that its stock price is 12% less volatile than the S&P 500.

Automatic Data Processing pays an annual dividend of $6.16 per share and has a dividend yield of 2.0%. Paychex pays an annual dividend of $4.32 per share and has a dividend yield of 3.0%. Automatic Data Processing pays out 63.1% of its earnings in the form of a dividend. Paychex pays out 90.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Automatic Data Processing has increased its dividend for 49 consecutive years and Paychex has increased its dividend for 3 consecutive years.

In the previous week, Paychex had 9 more articles in the media than Automatic Data Processing. MarketBeat recorded 59 mentions for Paychex and 50 mentions for Automatic Data Processing. Automatic Data Processing's average media sentiment score of 1.05 beat Paychex's score of 0.65 indicating that Automatic Data Processing is being referred to more favorably in the media.

Company Very Positive Positive Neutral Negative Very Negative Overall Sentiment
Automatic Data Processing
40 Very Positive mention(s)
1 Positive mention(s)
3 Neutral mention(s)
5 Negative mention(s)
0 Very Negative mention(s)
Positive
Paychex
29 Very Positive mention(s)
3 Positive mention(s)
7 Neutral mention(s)
9 Negative mention(s)
3 Very Negative mention(s)
Positive

Summary

Paychex beats Automatic Data Processing on 10 of the 19 factors compared between the two stocks.

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New MarketBeat Followers Over Time

This chart shows the number of new MarketBeat users adding PAYX and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
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Media Sentiment Over Time

This chart shows the average media sentiment of NASDAQ and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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PAYX vs. The Competition

MetricPaychexINTERNET SOFTWARE IndustryComputer SectorNASDAQ Exchange
Market Cap$52.56B$17.49B$27.29B$8.93B
Dividend Yield2.97%2.56%2.94%4.12%
P/E Ratio31.9364.8635.9819.89
Price / Sales9.4370.692,034.51166.23
Price / Cash23.0692.1737.9957.06
Price / Book12.738.477.055.39
Net Income$1.66B$334.33M$762.35M$248.50M
7 Day Performance5.79%3.74%3.04%2.96%
1 Month Performance-7.35%3.03%6.46%6.02%
1 Year Performance23.27%67.80%52,212.23%20.44%

Paychex Competitors List

CompanyMarketRankShare PriceAnalysts' Price Target1Y Price PerformanceMarket CapRevenueP/E RatioEmployee CountIndicator(s)
PAYX
Paychex
4.1404 of 5 stars
$145.93
-1.0%
$149.11
+2.2%
+26.0%$52.56B$5.57B31.9316,500Earnings Report
ADP
Automatic Data Processing
4.8562 of 5 stars
$310.24
+1.3%
$307.08
-1.0%
+31.6%$125.93B$19.20B31.7564,000Trending News
FI
Fiserv
4.7598 of 5 stars
$170.62
+4.4%
$221.23
+29.7%
+17.3%$94.60B$20.46B30.1438,000Positive News
High Trading Volume
FIS
Fidelity National Information Services
4.5916 of 5 stars
$80.54
+0.5%
$90.75
+12.7%
+10.9%$42.31B$10.13B53.3450,000Positive News
BR
Broadridge Financial Solutions
4.3538 of 5 stars
$240.50
+1.7%
$250.83
+4.3%
+24.5%$28.25B$6.77B36.1714,600Positive News
GPN
Global Payments
4.9742 of 5 stars
$76.37
-0.3%
$110.91
+45.2%
-14.3%$18.63B$10.11B12.3227,000Positive News
JKHY
Jack Henry & Associates
4.3617 of 5 stars
$181.02
+1.5%
$184.10
+1.7%
+11.4%$13.18B$2.22B30.847,170Positive News
G
Genpact
3.87 of 5 stars
$41.51
+2.1%
$50.71
+22.2%
+40.4%$7.26B$4.77B14.17140,000Trending News
Analyst Forecast
Analyst Revision
EXLS
ExlService
4.6246 of 5 stars
$43.95
+0.2%
$51.50
+17.2%
+42.9%$7.15B$1.84B33.3059,500Positive News
High Trading Volume
WEX
WEX
4.1232 of 5 stars
$141.89
+0.9%
$176.90
+24.7%
-14.1%$4.86B$2.63B18.286,500
EEFT
Euronet Worldwide
4.394 of 5 stars
$100.35
+0.4%
$125.57
+25.1%
+1.8%$4.34B$3.99B14.8710,600News Coverage
Positive News
Analyst Forecast

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This page (NASDAQ:PAYX) was last updated on 7/2/2025 by MarketBeat.com Staff
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