Paychex (PAYX) Beats Q4 Earnings and Revenue Estimates

Core Viewpoint - Paychex reported quarterly earnings of $1.19 per share, exceeding the Zacks Consensus Estimate of $1.18 per share, and showing an increase from $1.12 per share a year ago, indicating a positive earnings surprise of +0.85% [1] Financial Performance - The company achieved revenues of $1.43 billion for the quarter ended May 2025, surpassing the Zacks Consensus Estimate by 0.87% and up from $1.3 billion year-over-year [2] - Over the last four quarters, Paychex has consistently exceeded consensus EPS estimates and revenue estimates [2] Stock Performance - Paychex shares have increased approximately 8.6% since the beginning of the year, outperforming the S&P 500's gain of 3.6% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $1.22 on revenues of $1.56 billion, and for the current fiscal year, it is $5.38 on revenues of $6.58 billion [7] - The outlook for the Internet - Software industry, where Paychex operates, is favorable, ranking in the top 22% of over 250 Zacks industries, suggesting potential for outperformance [8]