Company Of The Day: Paychex

-7.73%
Downside
126
Market
116
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?

Relevant Articles
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  3. Forecast Of The Day: Paychex Management Solutions Revenue
  4. Why Are Investors Bullish On Paychex Stock?
  5. Time To Book Profits In Paychex Stock?
  6. Will Paychex Stock Observe A Further Correction?

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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