Analyst Consensus ?
ConsensusHold31 ratings
Bullish516.1%
Neutral2167.8%
Bearish516.1%
Paychex, Inc. · PAYX · FY2026 Q1 · Calendar Q3 2025
Paychex starts FY2026 strongly as guidance and synergies rise
The quarter supports a constructive near-term operating case: Paycor integration, resilient HCM demand, cross-selling and cost synergies are contributing to growth, while raised EPS guidance adds support. The evidence remains balanced by PEO regional headwinds, slower Paycor recurring-revenue growth and integration-related execution risk.
Reported Before market openNASDAQIndustrials
$35.19B market cap
100quality score
Earnings scorecard
Reported versus consensus
Reported EPS
$1.22
Consensus $1.20
EPS surprise
+1.7%
Reported versus consensus
Reported revenue
$1.54B
Consensus $1.54B
Revenue surprise
+0.1%
Reported versus consensus
Market reaction
prior-close to event-session close
Stock move
-1.4%
Event window
SPY move
+0.4%
Same window
Abnormal move
-1.8%
Stock minus SPY
Volume
2.3×
Versus trailing sessions
Subsequent drift
-2.1%
Up to 20 sessions
PAYXSPY benchmark
Ask FN2 about PAYX FY2026 Q1
Transcript, numbers and history already loaded
Why did PAYX fall 1.4% after beating EPS estimates in FY2026 Q1?What changed in PAYX's guidance and outlook in FY2026 Q1?Give me the bull and bear case for PAYX after FY2026 Q1 earnings.
Free account. Your question opens in FN2 with this report's transcript and numbers attached.
Transcript intelligence
What changed
Compared with the prior quarter, guidance sentiment moved from maintained to raised. Management reported 17% year-over-year revenue growth, said cost synergies were exceeding the $90 million target, and introduced or expanded AI tools and a Bill Pay partnership as growth and productivity initiatives.
Guidance delta
Management raised adjusted diluted EPS guidance to 9–11% growth for FY2026.
Key takeaways
- Revenue grew 17% year over year, driven largely by the Paycor acquisition and HCM demand.
- Cost synergies are exceeding the $90 million target, with further opportunities identified.
- AI tools and the Bill Pay partnership add new product and productivity initiatives.
- PEO employee growth was mid-single-digit with record retention despite regional headwinds.
Management priorities
- Scale agentic AI pilots for productivity and client service.
- Expand Bill Pay into accounts receivable and deepen integration in 2026.
- Accelerate cross-selling retirement, ASO and PEO solutions to Paycor clients.
- Pursue additional cost synergies through procurement and functional consolidation.
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Try FN2 freeEarnings History
Estimate
Beat
Miss
Match
Analyst 52W Price Targets
$98.94Current
$98Low
$122.14Average
$145High
Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Oct 3, 2026. Not an FN2 forecast.
Firm-level rating actions
FMP grade actions identify the grading firm, not a named analyst.
| Firm | Rating | Prior rating | Action | Date |
|---|---|---|---|---|
| Cantor Fitzgerald | Underweight | Underweight | Maintain | Sep 28, 2026 |
| Baird | Neutral | Neutral | Maintain | Sep 28, 2026 |
| UBS | Neutral | Neutral | Maintain | Sep 24, 2026 |
| Stifel | Hold | Hold | Maintain | Sep 24, 2026 |
| RBC Capital | Sector Perform | Sector Perform | Maintain | Sep 24, 2026 |
| JP Morgan | Neutral | Underweight | Upgrade | Sep 24, 2026 |
| BMO Capital | Market Perform | Market Perform | Maintain | Sep 24, 2026 |
| Wolfe Research | Peer Perform | Underperform | Upgrade | Sep 16, 2026 |
| TD Cowen | Hold | Hold | Maintain | Sep 11, 2026 |
| Wells Fargo | Underweight | Underweight | Maintain | Sep 9, 2026 |
| Jefferies | Hold | Hold | Maintain | Aug 13, 2026 |
| Citigroup | Buy | Buy | Maintain | Jul 30, 2026 |
| Morgan Stanley | Equal Weight | Equal Weight | Maintain | Jun 30, 2026 |
| Barclays | Equal Weight | Equal Weight | Maintain | Mar 31, 2025 |
| B of A Securities | Underperform | Underperform | Maintain | Jun 27, 2024 |
| Wedbush | Neutral | Neutral | Maintain | Apr 3, 2024 |
| Evercore ISI Group | In Line | In Line | Maintain | Mar 26, 2024 |
| Credit Suisse | Outperform | Outperform | Maintain | Sep 29, 2022 |
| Cowen & Co. | Outperform | Outperform | Maintain | Sep 29, 2022 |
| Deutsche Bank | Hold | Hold | Maintain | Jun 30, 2022 |
| Goldman Sachs | Sell | Sell | Maintain | Apr 7, 2021 |
| Argus Research | Buy | Buy | Maintain | Apr 7, 2021 |
| Bank of America | Neutral | Underperform | Upgrade | Jan 8, 2019 |
| Stifel Nicolaus | Hold | Hold | Maintain | Oct 3, 2018 |
| Guggenheim | Neutral | Neutral | Maintain | Aug 21, 2018 |
| Argus | Buy | Hold | Upgrade | May 5, 2018 |
| William Blair | Market Perform | Outperform | Downgrade | Jul 21, 2017 |
| Bernstein | Perform | Market Perform | Maintain | Jan 11, 2017 |
| Compass Point | Sell | Sell | Maintain | Apr 15, 2016 |
| Sterne Agee CRT | Neutral | Neutral | Maintain | Dec 17, 2015 |
| First Analysis | Equal Weight | Overweight | Downgrade | Sep 26, 2012 |
Named analyst price targets
Upside is calculated against the persisted current price $98.94. FMP does not supply a rating on these named-analyst rows.
| Firm | Analyst | 52W target | Price when posted | Upside | Date |
|---|---|---|---|---|---|
| Robert W. Baird | Mark Marcon | $110 | $101.37 | +11.2% | Sep 28, 2026 |
| Stifel Nicolaus | Analyst unavailable | $112 | $104.49 | +13.2% | Sep 24, 2026 |
| BMO Capital | Daniel Jester | $113 | $104.49 | +14.2% | Sep 24, 2026 |
| Wells Fargo | Jason Kupferberg | $111 | $116.93 | +12.2% | Sep 9, 2026 |
| UBS | Kevin McVeigh | $115 | $111.96 | +16.2% | Jul 22, 2026 |
| Cantor Fitzgerald | Ramsey El-Assal | $107 | $112.76 | +8.1% | Jul 20, 2026 |
| Morgan Stanley | Analyst unavailable | $109 | $99.81 | +10.2% | Jun 30, 2026 |
| UBS | Analyst unavailable | $98 | $98.84 | -1.0% | Jun 25, 2026 |
| Stifel Nicolaus | Analyst unavailable | $110 | $100.28 | +11.2% | Jun 17, 2026 |
| Morgan Stanley | James Faucette | $107 | $91.68 | +8.1% | Mar 27, 2026 |
| BMO Capital | Daniel Jester | $103 | $92 | +4.1% | Mar 13, 2026 |
| Cantor Fitzgerald | Ramsey El-Assal | $98 | $106.19 | -1.0% | Jan 26, 2026 |
| Morgan Stanley | Analyst unavailable | $123 | $112.28 | +24.3% | Dec 22, 2025 |
| Jefferies | Analyst unavailable | $110 | $112.28 | +11.2% | Dec 19, 2025 |
| Stifel Nicolaus | David Grossman | $126 | $115.22 | +27.3% | Dec 17, 2025 |
| BMO Capital | Analyst unavailable | $121 | $112.45 | +22.3% | Dec 9, 2025 |
| Wells Fargo | Analyst unavailable | $116 | $112.45 | +17.2% | Dec 9, 2025 |
| Jefferies | Analyst unavailable | $118 | $112.06 | +19.3% | Dec 7, 2025 |
| RBC Capital | Ashish Sabadra | $125 | $113.31 | +26.3% | Dec 5, 2025 |
| Wells Fargo | Analyst unavailable | $128 | $127.54 | +29.4% | Oct 21, 2025 |
| Stephens | Charles Nabhan | $135 | $124.37 | +36.4% | Oct 6, 2025 |
| Morgan Stanley | Analyst unavailable | $132 | $126.76 | +33.4% | Oct 1, 2025 |
| BMO Capital | Analyst unavailable | $140 | $126.76 | +41.5% | Oct 1, 2025 |
| Jefferies | Analyst unavailable | $130 | $126.76 | +31.4% | Sep 30, 2025 |
| UBS | Kevin McVeigh | $140 | $131.62 | +41.5% | Sep 16, 2025 |
| Jefferies | Analyst unavailable | $140 | $137.94 | +41.5% | Jun 26, 2025 |
| RBC Capital | Ashish Sabadra | $165 | $150.62 | +66.8% | Jun 24, 2025 |
| Stifel Nicolaus | Analyst unavailable | $156 | $151.83 | +57.7% | Mar 27, 2025 |
| UBS | Kevin McVeigh | $142 | $141.65 | +43.5% | Oct 2, 2024 |
| Barclays | Ramsey El-Assal | $132 | $133.26 | +33.4% | Sep 22, 2024 |
| Argus Research | John Eade | $135 | $118.91 | +36.4% | Jun 28, 2024 |
| Morgan Stanley | James Faucette | $122 | $117.39 | +23.3% | Jun 27, 2024 |
| Robert W. Baird | Mark Marcon | $124 | $117.66 | +25.3% | Jun 27, 2024 |
| Evercore ISI | David Togut | $130 | $117.39 | +31.4% | Jun 26, 2024 |
| Evercore ISI | David Togut | $116 | $120.21 | +17.2% | Apr 2, 2024 |
| Stifel Nicolaus | David Grossman | $130 | $121.5 | +31.4% | Apr 1, 2024 |
| Morgan Stanley | James Faucette | $125 | $112.72 | +26.3% | Sep 27, 2023 |
| RBC Capital | Ashish Sabadra | $130 | $121.37 | +31.4% | Sep 5, 2023 |
| J.P. Morgan | Analyst unavailable | $119 | $116.01 | +20.3% | Dec 23, 2022 |
| Morgan Stanley | Analyst unavailable | $125 | $116.01 | +26.3% | Dec 23, 2022 |
| Barclays | Analyst unavailable | $115 | $116.01 | +16.2% | Dec 23, 2022 |
| Jefferies | Samad Samana | $120 | $112.18 | +21.3% | Dec 22, 2022 |
| Credit Suisse | Kevin Mcveigh | $140 | $113.87 | +41.5% | Jun 30, 2022 |
| Citigroup | Peter Christiansen | $145 | $136.84 | +46.6% | Apr 11, 2022 |
| Bank of America Securities | Jason Kupferberg | $125 | $124.55 | +26.3% | Mar 16, 2022 |
| Cowen & Co. | Bryan Bergin | $145 | $128.28 | +46.6% | Jan 12, 2022 |
| Barclays | Ramsey El Assal | $140 | $133.45 | +41.5% | Dec 23, 2021 |
| Credit Suisse | Kevin Mcveigh | $165 | $133.45 | +66.8% | Dec 23, 2021 |
| Evercore ISI | David Togut | $118 | $133.45 | +19.3% | Dec 23, 2021 |
| MoffettNathanson | Eugene Simuni | $145 | $133.45 | +46.6% | Dec 23, 2021 |
| Stifel Nicolaus | David Grossman | $140 | $132.62 | +41.5% | Dec 22, 2021 |
| BMO Capital | Jeffrey Silber | $118 | $113.86 | +19.3% | Oct 1, 2021 |
| Argus Research | David Coleman | $118 | $105.1 | +19.3% | Jun 28, 2021 |
Track every rating change on PAYX the moment it posts. Free to start.
Start freeCompany context
Snapshot as of publicationFounded in 1971 and headquartered in Rochester, New York, Paychex, Inc. delivers comprehensive human capital management (HCM) solutions. The company primarily serves small to medium-sized enterprises (SMEs) across the United States, Europe, and India, addressing their needs in human resources, payroll administration, employee benefits, and insurance. Its diverse service portfolio includes: Payroll Management: Encompassing core payroll processing, payroll tax administration, employee payment facilitation, and ensuring compliance with regulations like new-hire reporting and garnishment processing. Human Resources Solutions: Providing support for employer compliance, HR and employee benefits administration, risk management outsourcing, and even the availability of professionally trained on-site HR representatives.…
Historical context
All PAYX earningsIndustrials peers this season
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Latest beats and misses
Who reports nextBeat on EPS
- ACNFY2026 Q4 · October 1, 2026+3.5% EPS+15.8% move
- MKCFY2026 Q3 · October 1, 2026+13.9% EPS-4.9% move
- NKEFY2027 Q1 · October 1, 2026+10.0% EPS-0.7% move
- CAGFY2027 Q1 · September 30, 2026+44.4% EPS-4.9% move
- FDSFY2026 Q4 · September 30, 2026+3.9% EPS+3.8% move
- JBLFY2026 Q4 · September 30, 2026+8.1% EPS-10.0% move
Get the PAYX recap when the next report posts
One email per quarter with the scorecard, the market reaction and what changed on the call. No account needed.
Sources
- Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
- FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
- Polygon adjusted daily market bars · 2026-10-03T04:36:07.100942+00:00
- Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-10-03T04:36:07.098135+00:00
Methodology
Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.
Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.
Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.
By FN2 Research · Updated · As of 2026-10-03. For educational purposes only; not investment advice.