Paychex, Inc. (PAYX) is a Staffing & Employment Services company in the Industrials sector, currently trading at $88.85. It has a SharesGrow Score of 70/100, indicating a above average investment profile with 4 out of 7 criteria passed.
SharesGrow calculates the intrinsic value of PAYX = $164.22 (+84.8% from the current price, the stock appears undervalued). Analyst consensus target is PAYX = $114 (+28.8% upside).
Valuation: PAYX trades at a trailing Price-to-Earnings (P/E) of 19.4 (S&P 500 average ~25) with a forward Price/Earnings-to-Growth (PEG) of 2.56.
Financials: revenue is $5.6B, +6.5%/yr average growth. Net income is $1.7B, growing at +6.1%/yr. Net profit margin is 29.7% (strong). Gross margin is 72.4% (+1.8 pp trend).
Balance sheet: total debt is $5.0B against $4.1B equity (Debt-to-Equity (D/E) ratio 1.21, moderate). Current ratio is 1.28 (adequate). Debt-to-assets is 30.2%. Total assets: $16.6B.
Analyst outlook: 4 / 30 analysts rate PAYX as buy (13%) — mixed sentiment.
SharesGrow 7-Criteria breakdown: Value 48/100 (Partial), Growth 65/100 (Pass), Past 100/100 (Pass), Health 67/100 (Partial), Moat 76/100 (Pass), Future 46/100 (Partial), Income 85/100 (Pass).
