Company Of The Day: Paychex

July 1st, 2022 by Trefis Team
+4.36%
Upside
112
Market
117
Trefis
PAYX: Paychex logo
PAYX
Paychex

What?

Payroll company Paychex (NYSE:PAYX) posted a stronger than expected set of Q4 FY’22 earnings. While revenue rose by almost 11% year-over-year to $1.14 billion, non-GAAP earnings stood at $0.81 per share.

Why?

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  5. Why Are Investors Bullish On Paychex Stock?
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Growth was driven by an expanding base of payroll clients and strong demand for HR solutions, given the strong U.S. job market.

So What?

However, PAYX stock declined by 4% in Wednesday’s trading, likely due to the company’s FY’23 guidance of 7% to 8% revenue growth, which is below last year’s growth rate.

See Our Complete Analysis For Paychex

What if you’re looking for a more balanced portfolio instead? Our high-quality portfolio and multi-strategy portfolio have beaten the market consistently since the end of 2016.

Returns Jul 2022
MTD [1]		 2022
YTD [1]		 2017-22
Total [2]
 PAYX Return 0% -17% 87%
 S&P 500 Return 0% -21% 69%
 Trefis Multi-Strategy Portfolio 1% -26% 196%

[1] Month-to-date and year-to-date as of 7/1/2022
[2] Cumulative total returns since the end of 2016

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