What is Zacks Research’s Forecast for Paychex Q3 Earnings?

Paychex, Inc. (NASDAQ:PAYX) – Analysts at Zacks Research cut their Q3 2025 EPS estimates for Paychex in a research report issued on Monday, December 30th. Zacks Research analyst R. Department now forecasts that the business services provider will earn $1.47 per share for the quarter, down from their previous forecast of $1.48. The consensus estimate for Paychex’s current full-year earnings is $4.98 per share. Zacks Research also issued estimates for Paychex’s Q2 2026 earnings at $1.22 EPS and FY2026 earnings at $5.29 EPS.

Other analysts have also issued reports about the company. Royal Bank of Canada reiterated a “sector perform” rating and set a $148.00 price objective on shares of Paychex in a research note on Friday, December 20th. Stifel Nicolaus increased their price target on shares of Paychex from $130.00 to $141.00 and gave the stock a “hold” rating in a report on Wednesday, October 2nd. Jefferies Financial Group boosted their price objective on shares of Paychex from $120.00 to $130.00 and gave the company a “hold” rating in a research note on Wednesday, October 2nd. UBS Group increased their target price on shares of Paychex from $125.00 to $142.00 and gave the stock a “neutral” rating in a research note on Wednesday, October 2nd. Finally, Morgan Stanley raised their price target on shares of Paychex from $122.00 to $133.00 and gave the company an “equal weight” rating in a report on Wednesday, October 2nd. Two analysts have rated the stock with a sell rating and eleven have issued a hold rating to the company’s stock. According to data from MarketBeat.com, Paychex has a consensus rating of “Hold” and a consensus price target of $132.23.

Paychex Trading Up 0.2 %

NASDAQ:PAYX opened at $140.22 on Wednesday. Paychex has a 1 year low of $114.72 and a 1 year high of $150.71. The stock’s fifty day moving average price is $142.56 and its two-hundred day moving average price is $133.73. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.38 and a quick ratio of 1.38. The company has a market cap of $50.49 billion, a P/E ratio of 29.90, a P/E/G ratio of 3.88 and a beta of 0.99.

Paychex (NASDAQ:PAYX) last announced its quarterly earnings results on Thursday, December 19th. The business services provider reported $1.14 EPS for the quarter, beating analysts’ consensus estimates of $1.12 by $0.02. Paychex had a net margin of 31.98% and a return on equity of 45.97%. The company had revenue of $1.32 billion for the quarter, compared to analysts’ expectations of $1.31 billion. During the same period in the prior year, the company posted $1.08 EPS. Paychex’s revenue was up 4.7% compared to the same quarter last year.

Paychex Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, November 27th. Shareholders of record on Thursday, November 7th were paid a dividend of $0.98 per share. This represents a $3.92 annualized dividend and a yield of 2.80%. The ex-dividend date of this dividend was Thursday, November 7th. Paychex’s dividend payout ratio (DPR) is currently 82.53%.

Insider Transactions at Paychex

In related news, VP Michael E. Gioja sold 26,428 shares of the stock in a transaction on Wednesday, October 9th. The shares were sold at an average price of $139.03, for a total transaction of $3,674,284.84. Following the transaction, the vice president now owns 14,515 shares of the company’s stock, valued at approximately $2,018,020.45. This trade represents a 64.55 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Robert L. Schrader sold 13,015 shares of the business’s stock in a transaction on Tuesday, October 15th. The stock was sold at an average price of $142.35, for a total transaction of $1,852,685.25. Following the completion of the sale, the chief financial officer now directly owns 17,362 shares of the company’s stock, valued at $2,471,480.70. This represents a 42.84 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 54,174 shares of company stock worth $7,577,231. 11.40% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Paychex

Institutional investors and hedge funds have recently bought and sold shares of the stock. Meeder Asset Management Inc. boosted its stake in shares of Paychex by 286.0% during the second quarter. Meeder Asset Management Inc. now owns 220 shares of the business services provider’s stock valued at $26,000 after purchasing an additional 163 shares during the period. Fortitude Family Office LLC boosted its position in Paychex by 42.0% during the 3rd quarter. Fortitude Family Office LLC now owns 250 shares of the business services provider’s stock valued at $34,000 after buying an additional 74 shares during the period. Quest Partners LLC purchased a new position in shares of Paychex in the third quarter valued at about $36,000. Quarry LP raised its stake in shares of Paychex by 152.6% during the second quarter. Quarry LP now owns 293 shares of the business services provider’s stock valued at $35,000 after acquiring an additional 177 shares during the last quarter. Finally, Dunhill Financial LLC boosted its holdings in shares of Paychex by 805.9% during the third quarter. Dunhill Financial LLC now owns 308 shares of the business services provider’s stock worth $41,000 after purchasing an additional 274 shares during the period. 83.47% of the stock is currently owned by institutional investors.

About Paychex

Paychex, Inc, together with its subsidiaries, provides integrated human capital management solutions (HCM) for payroll, benefits, human resources (HR), and insurance services for small to medium-sized businesses in the United States, Europe, and India. It offers payroll processing services; payroll tax administration services; employee payment services; and regulatory compliance services, such as new-hire reporting and garnishment processing.