Company Analysis

Paychex, Inc. (PAYX)

Nasdaq: PAYX · Services-Engineering, Accounting, Research, Management · Rochester, NY · filing with the SEC since 1995
Grade7.1
◀ Past 7.5● Present 6.9▶ Future 6.6

The grade of Paychex, Inc.

Nine metrics read from its own filings, by tense
Headline grade
7.1/10
◀ Past7.540% of the headline
● Present6.935% of the headline
▶ Future6.625% of the headline

All three tenses have at least two readings, so the archetype blend applies as printed.

All nine metrics read as filed from the record.

◀ Past

What did they actually do?

7.5/1040% of the headline grade · 3 of 3 filed

Surviving crises

as filed
8.2/10

Has it survived what it has been through?

No warning events in its filings since 2017.

weight 33% of this tense · 82nd percentile among 14 sector filers · read for itself

From the record

Paychex, Inc.'s filings since 2017 show no warning events in the scan: no bankruptcy or receivership notice, no debt default notice, no exchange listing notice, no restatement warning, no auditor change, no material cyber incident and no late-report notice (its current reports).

A production reading, recomputed from the filings on every data build, read from EDGAR Nov 13, 2026.

Track record

as filed
6.9/10

What has it actually done, year after year?

+8.4% a year over 10 filed years; profitable in 10 of 10.

weight 45% of this tense · 69th percentile among 13 sector filers · read for its customers

From the record

Paychex, Inc.'s 10 filed years say what it did: revenue went from $3.2 billion in fiscal 2017 to $6.5 billion in fiscal 2026, up 8.4% a year; it rose in 9 of 9 years; it never fell from a peak; net income was positive in 10 of 10 of those years (its annual reports).

What it rests on

  • revenue growth over the filed span8.4%bottom 35% of its family
  • the share of years revenue rosetop 19% of its family
  • the share of filed years with a profittop 19% of its family
  • the deepest fall from a revenue peak0.0%top 19% of its family

A production reading, recomputed from the filings on every data build, read from EDGAR Nov 13, 2026.

Shareholder treatment

as filed
7.5/10

How has it treated the people who own it?

Share count shrank 0.2% a year. 82% of cash flow returned. Insiders: 6 sales, 2 purchases.

weight 22% of this tense · 75th percentile among 9 sector filers · read for its shareholders

From the record

Over the 3 fiscal years to 2026-05-31, Paychex, Inc.'s diluted share count shrank about 0.2% a year, and dividends and buybacks returned about 82% of its operating cash flow over 3 years (its filed statements). Its officers and directors filed 6 sales and 2 purchases of their own stock on the open market in the year to 2026-10-21, buying about $197 thousand (their Form 4 filings).

What it rests on

  • the share count over the yearstop 35% of its family
  • cash returned against operating cash flowtop 15% of its family

A production reading, recomputed from the filings on every data build, read from EDGAR Nov 13, 2026.

● Present

What are they doing right now?

6.9/1035% of the headline grade · 3 of 3 filed

Financial health

as filed
6.4/10

Is it financially healthy right now?

ROE 47%: 47¢ of profit per shareholder dollar. Leverage 77%: owes 77¢ per asset dollar.

weight 33% of this tense · 64th percentile among 13 sector filers · read for itself

From the record

Return on equity: in the fiscal year ended 2026-05-31, Paychex, Inc. earned about 47 cents of profit for every dollar of shareholders' money, and gross profitability: its products earned about 30 cents per dollar of everything the company owns (revenue less the cost of revenue). Leverage: it owed about 77 cents per dollar of assets, and net share issuance: its share count shrank 0.6% over the year (the filed statements).

What it rests on

  • what it owes per dollar of assetsbottom 35% of its family
  • return on equitytop 21% of its family
  • gross profit against assetstop 37% of its family
  • the share count against the year beforetop 21% of its family

A production reading, recomputed from the filings on every data build, read from EDGAR Nov 13, 2026.

Industry position

as filed
7.7/10

How strong is its position in its industry?

top 23% of 14 in its family; net margin 27%.

weight 45% of this tense · 77th percentile among 14 sector filers · read for its customers

From the record

Paychex, Inc.'s standing among 14 graded names in its industry family: revenue of $6.5 billion in fiscal 2026 ranks in the top 6% by size; a net margin of 27% ranks in the top 11%; revenue growth of 9.2% a year over the last 3 filed years ranks in the bottom 46% (its annual reports).

What it rests on

  • revenue against the family$6.51Btop 6% of its family
  • net margin27.0%top 11% of its family
  • three-year revenue growth9.2%bottom 46% of its family

A production reading, recomputed from the filings on every data build, read from EDGAR Nov 13, 2026.

Leadership

as filed
6.0/10

What are the people in charge doing?

top 40% of 7 in its family for leadership; chief executive since 2022.

weight 22% of this tense · 60th percentile among 7 sector filers · read for its shareholders

From the record

Paychex, Inc.'s leadership, from its insiders' filings and its current reports: the chief executive on the record is Gibson, John B (President and CEO, as filed), filing under that title since 2022-10-18, 4.1 years (bottom 42% of its family); the 20 officers and directors filing in the last fifteen months have been on the record a median of 6.3 years (top 21%); 6 officer or director changes were reported on Form 8-K since 2023-11-13, against the 20 people in charge now (top 39%; fewer changes for each person reads higher) (the Form 4 record, its Form 8-K reports). Years count from a person's first filing in the SEC's data sets, which begin in 2006, so each is a floor.

What it rests on

  • officer and director changes on Form 8-K, against the people in charge6 in three years among 20 peopletop 39% of its family
  • the median years the people in charge have filed6.3 yearstop 21% of its family
  • the chief executive's years on the record4.1 yearsbottom 42% of its family

A production reading, recomputed from the filings on every data build, read from EDGAR Nov 13, 2026.

▶ Future

What are they set up to do next?

6.6/1025% of the headline grade · 3 of 3 filed

Room to expand

as filed
6.3/10

How much room does it have to grow?

top 37% of 13 in its family for room to expand.

weight 33% of this tense · 63rd percentile among 13 sector filers · read for itself

From the record

Paychex, Inc.'s room to grow, from the newest filed statements (fiscal 2026): cash of $1.1 billion against debt of $4.6 billion leaves -21.4% of its assets as net cash, bottom 19% of its family; cash from operations less capital spending is 35.7% of revenue (top 11%); a gross margin of 74.3% (top 21%) (its annual report).

What it rests on

  • cash less debt against assets-21.4%bottom 19% of its family
  • cash from operations less capital spending against revenue35.7%top 11% of its family
  • gross margin74.3%top 21% of its family

A production reading, recomputed from the filings on every data build, read from EDGAR Nov 13, 2026.

Growth drivers

as filed
7.1/10

What could actually drive growth from here?

top 29% of 13 in its family for growth drivers.

weight 33% of this tense · 71st percentile among 13 sector filers · read for its customers

From the record

Paychex, Inc.'s growth drivers, from the filed years to fiscal 2026: revenue grew 9.2% a year over the last three filed years against 8.4% over all 10, speeding up (top 19% of its family); the newest year grew 16.9% (top 27%); capital spending grew 18% a year (top 41%) (its annual reports). Paychex, Inc. tags no split of its revenue by line in the annual report on file, so growth by line cannot be read here; research and capital spending are on the trend.

What it rests on

  • three-year growth against the whole span+0.8 points a yeartop 19% of its family
  • the newest year's revenue growth16.9%top 27% of its family
  • three-year growth of capital spending18.0%top 41% of its family

A production reading, recomputed from the filings on every data build, read from EDGAR Nov 13, 2026.

Expectations vs reality

as filed
6.5/10

Did its newest year beat what its own record pointed to?

top 35% of 12 in its family for expectations against reality.

weight 33% of this tense · 65th percentile among 12 sector filers · read for its shareholders

From the record

Paychex, Inc.'s newest year against its own record: revenue of $6.5 billion in fiscal 2026 came in 10.8% above the $5.9 billion its prior three years' pace pointed to (top 21% of its family); net income of $1.8 billion against a prior three-year average of $1.6 billion (top 29%); a net margin of 27% against 31% before (bottom 46%) (its annual reports).

What it rests on

  • revenue against the prior three years' pace10.8%top 21% of its family
  • net income against the prior three years' average+8%top 29% of its family
  • net margin against its prior average-3.9 pointsbottom 46% of its family

A production reading, recomputed from the filings on every data build, read from EDGAR Nov 13, 2026.

The grade is the company against its own industry, from its filings. It is not a view on the share price. How the grade is made

SI Assistanton PAYX · research, not advice