PaychexStock Price and Value Analysis

Should you buy Paychex stock? (NasdaqGS:PAYX). Let's see how it does in our automated value investing analysis system.

AdvantagesDisadvantages
  • This company is making money at a decent rate.
  • This company is very stable.
  • This company has amazingly consistent growth!
  • This company has a high dividend yield.
  • This stock looks overpriced.

PAYX Free Cash Flow Trend

Based on historical returns, we believe that Paychex can grow its free cash at a rate of about 10%. That's positive!

Free Cash Flow trendline for PAYX
Free Cash Flow trendline for Paychex

Inside the PAYX Numbers

PAYX Price
(Paychex stock price per share)
$69.01
[?] PAYX Fair Price
(based on intrinsic value)
$30.56
[?] PAYX Safety Price (based on a variable margin of safety) $24.45
[?] PE Ratio versus Sector 47% higher than other Services stocks
[?] PE Ratio versus Industry 45% lower than other Staffing & Outsourcing Services stocks
[?] Cash Yield 3.93%
[?] Free Cash Flow Jitter 8%
[?] Dividend Yield 3%

Is Paychex Stock on Sale?

We believe that Paychex may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

Paychex looks overpriced right now. If you're looking for a bargain in the stock market, you should probably look elsewhere for a great deal. This might still be a great stock to own—but it's not on sale right now.

Should You Buy PAYX Stock?

Does Paychex have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.