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Paychex (PAYX) Competitors

Paychex logo
$139.54 +1.73 (+1.26%)
(As of 12/20/2024 05:31 PM ET)

PAYX vs. ADP, FI, FIS, GPN, BR, JKHY, G, EXLS, WEX, and EEFT

Should you be buying Paychex stock or one of its competitors? The main competitors of Paychex include Automatic Data Processing (ADP), Fiserv (FI), Fidelity National Information Services (FIS), Global Payments (GPN), Broadridge Financial Solutions (BR), Jack Henry & Associates (JKHY), Genpact (G), ExlService (EXLS), WEX (WEX), and Euronet Worldwide (EEFT). These companies are all part of the "data processing & outsourced services" industry.

Paychex vs.

Paychex (NASDAQ:PAYX) and Automatic Data Processing (NASDAQ:ADP) are both large-cap business services companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, valuation, dividends, profitability, institutional ownership, community ranking, media sentiment, earnings and analyst recommendations.

Automatic Data Processing has higher revenue and earnings than Paychex. Paychex is trading at a lower price-to-earnings ratio than Automatic Data Processing, indicating that it is currently the more affordable of the two stocks.

CompanyGross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Paychex$5.31B9.46$1.69B$4.6929.75
Automatic Data Processing$18.45B6.49$3.75B$9.3731.38

83.5% of Paychex shares are held by institutional investors. Comparatively, 80.0% of Automatic Data Processing shares are held by institutional investors. 11.4% of Paychex shares are held by company insiders. Comparatively, 0.2% of Automatic Data Processing shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Paychex presently has a consensus price target of $131.62, indicating a potential downside of 5.68%. Automatic Data Processing has a consensus price target of $289.91, indicating a potential downside of 1.40%. Given Automatic Data Processing's stronger consensus rating and higher probable upside, analysts clearly believe Automatic Data Processing is more favorable than Paychex.

Company Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Paychex
2 Sell rating(s)
11 Hold rating(s)
0 Buy rating(s)
0 Strong Buy rating(s)
1.85
Automatic Data Processing
2 Sell rating(s)
8 Hold rating(s)
2 Buy rating(s)
0 Strong Buy rating(s)
2.00

Paychex pays an annual dividend of $3.92 per share and has a dividend yield of 2.8%. Automatic Data Processing pays an annual dividend of $6.16 per share and has a dividend yield of 2.1%. Paychex pays out 83.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Automatic Data Processing pays out 65.7% of its earnings in the form of a dividend. Paychex has raised its dividend for 14 consecutive years and Automatic Data Processing has raised its dividend for 49 consecutive years.

In the previous week, Paychex had 30 more articles in the media than Automatic Data Processing. MarketBeat recorded 35 mentions for Paychex and 5 mentions for Automatic Data Processing. Automatic Data Processing's average media sentiment score of 1.24 beat Paychex's score of 0.74 indicating that Automatic Data Processing is being referred to more favorably in the news media.

Company Very Positive Positive Neutral Negative Very Negative Overall Sentiment
Paychex
14 Very Positive mention(s)
3 Positive mention(s)
13 Neutral mention(s)
1 Negative mention(s)
0 Very Negative mention(s)
Positive
Automatic Data Processing
3 Very Positive mention(s)
1 Positive mention(s)
1 Neutral mention(s)
0 Negative mention(s)
0 Very Negative mention(s)
Positive

Paychex has a net margin of 31.98% compared to Automatic Data Processing's net margin of 19.72%. Automatic Data Processing's return on equity of 82.36% beat Paychex's return on equity.

Company Net Margins Return on Equity Return on Assets
Paychex31.98% 45.97% 14.93%
Automatic Data Processing 19.72%82.36%6.89%

Paychex has a beta of 0.99, meaning that its share price is 1% less volatile than the S&P 500. Comparatively, Automatic Data Processing has a beta of 0.79, meaning that its share price is 21% less volatile than the S&P 500.

Automatic Data Processing received 295 more outperform votes than Paychex when rated by MarketBeat users. Likewise, 58.32% of users gave Automatic Data Processing an outperform vote while only 41.68% of users gave Paychex an outperform vote.

CompanyUnderperformOutperform
PaychexOutperform Votes
343
41.68%
Underperform Votes
480
58.32%
Automatic Data ProcessingOutperform Votes
638
58.32%
Underperform Votes
456
41.68%

Summary

Automatic Data Processing beats Paychex on 13 of the 21 factors compared between the two stocks.

New MarketBeat Followers Over Time

This chart shows the number of new MarketBeat users adding {thisCompany.Symbol} and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
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Media Sentiment Over Time

This chart shows the average media sentiment of NASDAQ and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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PAYX vs. The Competition

MetricPaychexEngineering, accounting, research, management & related services IndustryBusiness SectorNASDAQ Exchange
Market Cap$50.22B$16.84B$6.78B$9.08B
Dividend Yield2.79%2.79%2.82%4.21%
P/E Ratio29.7514.8844.3017.15
Price / Sales9.463.53430.67116.80
Price / Cash24.0514.8329.5237.88
Price / Book13.217.225.594.78
Net Income$1.69B$846.73M$125.43M$225.60M
7 Day Performance-1.02%-7.44%3.94%-1.21%
1 Month Performance-3.16%-22.80%8.53%3.09%
1 Year Performance17.36%-12.63%18.39%16.48%

Paychex Competitors List

CompanyMarketRankShare PriceAnalysts' Price Target1Y Price PerformanceMarket CapRevenueP/E RatioEmployee CountIndicator(s)
PAYX
Paychex
4.1296 of 5 stars
$139.54
+1.3%
$131.62
-5.7%
+9.1%$50.22B$5.31B29.7516,500Earnings Report
Analyst Forecast
Analyst Revision
News Coverage
High Trading Volume
ADP
Automatic Data Processing
4.6516 of 5 stars
$297.55
+0.3%
$289.91
-2.6%
+26.6%$121.24B$19.20B31.6764,000Positive News
FI
Fiserv
4.5866 of 5 stars
$205.10
+0.2%
$217.50
+6.0%
+55.2%$116.69B$383.42M39.3642,000Analyst Upgrade
Analyst Revision
FIS
Fidelity National Information Services
4.9446 of 5 stars
$83.18
-1.1%
$91.50
+10.0%
+38.3%$44.78B$9.82B33.5160,000Analyst Forecast
Analyst Revision
Positive News
GPN
Global Payments
4.9609 of 5 stars
$114.52
+0.3%
$137.41
+20.0%
-10.0%$29.14B$9.65B21.5127,000Analyst Forecast
Analyst Revision
Positive News
BR
Broadridge Financial Solutions
4.7041 of 5 stars
$233.12
-0.2%
$226.71
-2.7%
+15.1%$27.25B$6.51B40.4014,600
JKHY
Jack Henry & Associates
4.4653 of 5 stars
$180.38
+0.3%
$189.00
+4.8%
+8.5%$13.16B$2.25B33.117,170Analyst Revision
G
Genpact
1.7396 of 5 stars
$44.25
-0.9%
$42.33
-4.3%
+23.4%$7.80B$4.48B12.27129,100Insider Trade
Positive News
EXLS
ExlService
3.827 of 5 stars
$46.12
+0.4%
$42.86
-7.1%
+47.9%$7.42B$1.63B40.2954,000Positive News
WEX
WEX
4.8629 of 5 stars
$177.12
+0.5%
$235.91
+33.2%
-10.8%$7.05B$2.66B22.365,500Analyst Forecast
EEFT
Euronet Worldwide
4.6041 of 5 stars
$106.78
+3.2%
$127.13
+19.1%
+3.1%$4.69B$3.90B14.9510,000Analyst Forecast

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This page (NASDAQ:PAYX) was last updated on 12/21/2024 by MarketBeat.com Staff
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