Paychex reported adjusted EPS of $1.32 and revenue of $1.61 billion, exceeding analyst expectations for fiscal Q4 2026.
Paychex Inc. (NASDAQ:PAYX) posted fiscal fourth-quarter adjusted earnings of $1.32 per share, topping the $1.31 consensus estimate. Revenue reached $1.61 billion, slightly above the $1.60 billion projection, driven by strong demand for its AI-powered human capital management solutions.
The company highlighted its WISE AI-based analytics platform as a key growth driver, supporting mid-single-digit revenue growth and margin expansion for fiscal 2027. Stifel recently raised its price target on Paychex to $110 from $105 while maintaining a Hold rating, citing operational leverage and AI adoption.
Paychex serves small- to medium-sized businesses with payroll, HR, and benefits services, primarily in the U.S. and Europe. Its SaaS platforms, including Paychex Flex, continue to see traction as customers increasingly rely on AI-driven solutions.