Paychex Moves Forward with Paycor Merger, SEC Filing Shows

ROCHESTER, NY – Paychex Inc . (NASDAQ:PAYX), a leading provider of integrated human capital management solutions for payroll, benefits, human resources, and insurance services, boasts a robust market capitalization of $50.6 billion and impressive gross profit margins of 72%. According to InvestingPro analysis, the company maintains a GREAT financial health score and has consistently raised its dividend for 11 consecutive years, though recent market activity shows a 9% decline over the past week. [Discover 12 more exclusive InvestingPro Tips and comprehensive analysis in our detailed Pro Research Report, available with an InvestingPro subscription.]

In other recent news, Paychex has reported its third-quarter earnings for fiscal year 2025, slightly surpassing analysts' expectations with an earnings per share (EPS) of $1.49, compared to the forecast of $1.48. Revenue met predictions at $1.51 billion, marking a 5% increase from the previous year. RBC Capital Markets maintained its Sector Perform rating for Paychex, with a price target of $148, citing stable demand and improvements in margins. Meanwhile, Stifel raised its price target for Paychex from $141 to $156, acknowledging the company's strong third-quarter results, including a 6% revenue increase and an 8% rise in EPS. Citi also adjusted its price target for Paychex to $158 from $145, noting robust client retention and positive growth in bookings. The anticipated acquisition of Paycor (NASDAQ:PYCR) is expected to drive a 10-12% revenue increase in the fourth quarter, as Paychex continues to invest in technology-driven solutions. TD Cowen maintained its Hold rating with a $147 price target, emphasizing Paychex's strong operational performance despite macroeconomic challenges. These developments highlight Paychex's strategic maneuvers and financial resilience in the current economic landscape.

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