Paychex Inc
Research Paychex Inc (PAYX) on Bullrun: valuation model: 13.0% undervalued, market cap USD 37.25B, P/E 20.8, dividend yield 4.3%. Explore financials, valuation history, model signals, and stock context.
Key Metrics
- TickerPAYX
- ExchangeNASDAQ
- CountryUnited States
- SectorTechnology
- IndustrySoftware-Application
- CurrencyUSD
- Valuation signal13.0% undervalued
- Market capUSD 37.25B
- P/E20.8
- Dividend yield4.3%
- Financial periodFY2026
- RevenueUSD 6.51B
- Revenue growth20.4%
- Net incomeUSD 1.76B
- Free cash flowUSD 2.32B
- Gross margin74.3%
Valuation Snapshot
Bullrun's latest valuation model marks Paychex Inc as 13.0% undervalued; latest market cap is USD 37.25B; P/E is 20.8; dividend yield is 4.3%.
Peer valuation comparison
Latest P/E is 20.78x versus a Technology sector median of 28.7x (27.6% below).
Latest dividend yield is 4.27% versus a Technology sector median of 1.8% (137.2% above).
Five-year financial history
| Year | Revenue | Net income | Free cash flow | Gross margin | Diluted EPS | Cash | Total debt | Equity |
|---|---|---|---|---|---|---|---|---|
| FY2026 | USD 6.51B | USD 1.76B | USD 2.32B | 74.3% | 4.89 | USD 1.09B | USD 4.61B | USD 3.74B |
| FY2025 | USD 5.41B | USD 1.66B | USD 1.71B | 71.5% | 4.58 | USD 1.63B | USD 4.95B | USD 4.13B |
| FY2024 | USD 5.13B | USD 1.69B | USD 1.74B | 71.2% | 4.67 | USD 1.47B | USD 798.60M | USD 3.80B |
| FY2023 | USD 4.91B | USD 1.56B | USD 1.56B | 70.4% | 4.3 | USD 1.22B | USD 808.40M | USD 3.49B |
| FY2022 | USD 4.55B | USD 1.39B | USD 1.46B | 70.2% | 3.84 | USD 370.00M | USD 806.40M | USD 3.09B |
Valuation history
| Year | Snapshot date | Market cap | P/E | Dividend yield | Annual dividend/share |
|---|---|---|---|---|---|
| 2026 | 2026-10-12 | USD 37.25B | 20.8 | 4.3% | 4.54 |
| 2025 | 2025-12-31 | USD 40.27B | 25.4 | 3.8% | 4.22 |
| 2024 | 2024-12-31 | USD 50.49B | 29.5 | 2.7% | 3.83 |
| 2023 | 2023-12-29 | USD 42.86B | 26.5 | 2.9% | 3.46 |
| 2022 | 2022-12-30 | USD 41.66B | 28.6 | 2.6% | 3.03 |
| 2021 | 2021-12-31 | USD 49.24B | 38.7 | 1.9% | 2.6 |
Dividend history
Latest trailing dividend snapshot: annual dividend/share 4.54 USD, yield 4.3%.
| Year | Dividends/share |
|---|---|
| FY2026 | 3.46 USD |
| FY2025 | 4.02 USD |
| FY2024 | 3.65 USD |
| FY2023 | 3.26 USD |
| FY2022 | 2.77 USD |
About Paychex Inc
Paychex, Inc., together with its subsidiaries, provides human capital management solutions (HCM) for human resources, payroll processing, employee benefits, and insurance services for small to medium-sized businesses in the United States, Europe, Canada, India, and Israel. It offers technology and advisory solutions; and payroll tax administration services.
ETFs that hold Paychex Inc
Paychex Inc is one of the ten largest holdings of one ETF that investors in Europe can buy:
| ETF | Weight | TER |
|---|---|---|
| Invesco NASDAQ-100 Equal Weight UCITS ETF USD Acc | 1.23% | 0.20% |
Compare every fund on the same index:
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Frequently asked questions
Is Paychex Inc overvalued or undervalued?
Bullrun's valuation model currently marks Paychex Inc as 13.0% undervalued.
What is Paychex Inc's market cap?
Paychex Inc's market capitalization is USD 37.25B.
What is Paychex Inc's P/E ratio?
Paychex Inc's price-to-earnings (P/E) ratio is 20.8.
Does Paychex Inc pay a dividend?
Paychex Inc has a dividend yield of 4.3%.
What does Paychex Inc do?
Paychex, Inc., together with its subsidiaries, provides human capital management solutions (HCM) for human resources, payroll processing, employee benefits, and insurance services for small to medium-sized businesses in the United States, Europe, Canada, India, and Israel. It offers technology and advisory solutions; and payroll tax administration services.