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PAYX

Paychex Inc.

S&P 500
PAYX|Technology|Software - Application|$90.61|P/E 21.0|MCap 33.4B|NASDAQ

Last update: Mar 25, 2026 at 04:53

About Paychex Inc.

Paychex Inc. is a leading provider of integrated human capital management (HCM) solutions, specializing in payroll, human resources, employee benefits, retirement plans, and business insurance services. The company delivers a comprehensive suite of cloud-based technology through its Paychex Flex platform, enabling businesses to streamline payroll processing, automate tax administration, manage time and attendance, handle talent acquisition with AI-assisted tools, and access employee engagement features like digital perks marketplaces. Paychex offers flexible support options, including dedicated payroll specialists, HR business partners, and compliance expertise to monitor regulatory changes across federal, state, and local levels. It serves small- to medium-sized businesses, as well as enterprises, with outsourcing solutions such as administrative service organizations (ASO) and professional employer organizations (PEO), alongside subsidiaries providing tailored payroll and HR options. Operating primarily in the U.S. and parts of Northern Europe like Germany and Denmark, Paychex simplifies complex workforce management, allowing companies to focus on growth and operations. Founded in 1971 and headquartered in Rochester, New York, it supports a wide range of industries by fostering efficiency and innovation in HR technology.

Dividend Overview

Dividend Yield

4.64%

Annual Dividend

$4.32

Frequency

Quarterly

Payout Ratio

95.48%

FCF Payout Ratio

76.12%

Stock Price

$90.61

52-Week Range

$86.89 $161.24

Dividend Health Score

77/ 100Safe

PAYX's dividend appears safe and well-supported. Strengths include a 21.6x interest coverage & 20.5% net debt / total assets. Areas of concern: 95.5% earnings payout ratio & 77.8% cfo payout ratio. The dividend has been growing at a 11.22% 5-year CAGR.

Based on 15 of 15 metrics

Payout & Coverage

Caution
Earnings Payout Ratio
95.5%Warning
FCF Payout Ratio
76.1%Caution
CFO Payout Ratio
77.8%Warning
Interest Coverage
21.6xVery Safe

Balance Sheet

Caution
Net Debt / Total Assets
20.5%Safe
Current Ratio
1.3xCaution
Debt-to-Equity
129.8Caution

Profitability

Very Safe
Return on Equity
40.9%Very Safe
Operating Margin
41.7%Very Safe
Gross Margin
73.5%Very Safe
Profit Margin Stability
Very StableVery Safe

Dividend Track Record

Very Safe
Dividend Streak
11+ yrsVery Safe
Dividend Cut
NoneVery Safe
5-Year Dividend CAGR
11.2%Very Safe
Earnings Stability
GrowingVery Safe

Dividend History (2016–2025)

PAYX annual dividend per share and yield history

Earnings & Profitability

PAYX earnings per share and net profit margin

Key Dates

Next Ex-Dividend Date

January 28, 2026

Next Payment Date

February 27, 2026

Dividend Growth

3-Year Dividend CAGR

11.68%

5-Year Dividend CAGR

11.22%

10-Year Dividend CAGR

10.18%

3-Year Total Growth

39.27%

5-Year Total Growth

70.16%

10-Year Total Growth

163.75%

Income Calculator

PAYX Dividend Calculator

Total Investment

$9,061.00

Annual Income

$432.00

Quarterly Income

$108.00

Monthly Income

$36.00

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Frequently Asked Questions

What is PAYX's current dividend yield?
Paychex Inc. (PAYX) currently has a dividend yield of 4.64%, based on a stock price of $90.61 and an annual dividend of $4.32.
When is PAYX's next dividend payment date?
PAYX's next ex-dividend date is 2026-01-28 and the next payment date is 2026-02-27. You must own the stock before the ex-dividend date to receive the upcoming payment.
How much does PAYX pay in dividends per year?
Paychex Inc. paid $4.22 per share in annual dividends in 2025. The dividends are paid quarterly.
Has PAYX been increasing its dividend?
Paychex Inc. has grown its dividend at a 5-year CAGR of 11.22% and a 10-year CAGR of 10.18%.
Is PAYX's dividend safe?
Paychex Inc. has a payout ratio of 95.48%. Its free cash flow payout ratio is 76.12%. The payout ratio is moderate. Monitor earnings to ensure sustainability.
How is PAYX's Dividend Health Score calculated?
The Dividend Health Score evaluates Paychex Inc.'s dividend sustainability across four categories: Payout & Coverage (40%), Balance Sheet (20%), Profitability (20%), and Dividend Track Record (20%). Each metric is rated from "Very Safe" to "Danger" based on industry-standard thresholds, with sector-specific adjustments for technology companies. The overall score ranges from 0 to 100.

Want to understand how we rate dividend safety? Read our full methodology

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This page is not investment advice. The content is for informational purposes only and should not be construed as a recommendation to buy, sell, or hold any security. Always do your own research and consult a qualified financial advisor before making investment decisions.

Financial data, including dividend history, earnings, balance sheet metrics, and the Dividend Health Score, is provided for informational purposes only. Data may be delayed or differ from official filings. Past performance does not guarantee future results. Always verify with official sources before making investment decisions.

Market data provided by Twelve Data.