Historical Valuation
Paychex Inc (PAYX) is now in the Undervalued zone, suggesting that its current forward PE ratio of 19.10 is considered Undervalued compared with the five-year average of 27.51. The fair price of Paychex Inc (PAYX) is between 177.55 to 210.53 according to relative valuation methord. Compared to the current price of 113.77 USD , Paychex Inc is Undervalued By 35.92%.
Relative Value
Fair Zone
177.55-210.53
Current Price：113.77
35.92%
Undervalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Paychex Inc (PAYX) has a current Price-to-Book (P/B) ratio of 10.05. Compared to its 3-year average P/B ratio of 12.21 , the current P/B ratio is approximately -17.73% higher. Relative to its 5-year average P/B ratio of 12.71, the current P/B ratio is about -20.98% higher. Paychex Inc (PAYX) has a Forward Free Cash Flow (FCF) yield of approximately 5.12%. Compared to its 3-year average FCF yield of 3.79%, the current FCF yield is approximately 35.00% lower. Relative to its 5-year average FCF yield of 3.54% , the current FCF yield is about 44.81% lower.
P/B
Median3y
12.21
Median5y
12.71
FCF Yield
Median3y
3.79
Median5y
3.54
Competitors Valuation Multiple
AI Analysis for PAYX
The average P/S ratio for PAYX competitors is 7.01, providing a benchmark for relative valuation. Paychex Inc Corp (PAYX.O) exhibits a P/S ratio of 5.83, which is -16.84% above the industry average. Given its robust revenue growth of 18.28%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for PAYX
1Y
3Y
5Y
Market capitalization of PAYX increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of PAYX in the past 1 year is driven by Unknown.
People Also Watch
Frequently Asked Questions
Is PAYX currently overvalued or undervalued?
Paychex Inc (PAYX) is now in the Undervalued zone, suggesting that its current forward PE ratio of 19.10 is considered Undervalued compared with the five-year average of 27.51. The fair price of Paychex Inc (PAYX) is between 177.55 to 210.53 according to relative valuation methord. Compared to the current price of 113.77 USD , Paychex Inc is Undervalued By 35.92% .
What is Paychex Inc (PAYX) fair value?
PAYX's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Paychex Inc (PAYX) is between 177.55 to 210.53 according to relative valuation methord.
How does PAYX's valuation metrics compare to the industry average?
The average P/S ratio for PAYX's competitors is 7.01, providing a benchmark for relative valuation. Paychex Inc Corp (PAYX) exhibits a P/S ratio of 5.83, which is -16.84% above the industry average. Given its robust revenue growth of 18.28%, this premium appears unsustainable.
What is the current P/B ratio for Paychex Inc (PAYX) as of Jan 10 2026?
As of Jan 10 2026, Paychex Inc (PAYX) has a P/B ratio of 10.05. This indicates that the market values PAYX at 10.05 times its book value.
What is the current FCF Yield for Paychex Inc (PAYX) as of Jan 10 2026?
As of Jan 10 2026, Paychex Inc (PAYX) has a FCF Yield of 5.12%. This means that for every dollar of Paychex Inc’s market capitalization, the company generates 5.12 cents in free cash flow.
What is the current Forward P/E ratio for Paychex Inc (PAYX) as of Jan 10 2026?
As of Jan 10 2026, Paychex Inc (PAYX) has a Forward P/E ratio of 19.10. This means the market is willing to pay $19.10 for every dollar of Paychex Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Paychex Inc (PAYX) as of Jan 10 2026?
As of Jan 10 2026, Paychex Inc (PAYX) has a Forward P/S ratio of 5.83. This means the market is valuing PAYX at $5.83 for every dollar of expected revenue over the next 12 months.