Question 1

What is Paychex's P/E ratio?

Accepted Answer

Paychex (PAYX) P/E ratio is 22.5× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month earnings (net income), using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/E ratio calculated?

Accepted Answer

P/E = Share Price ÷ Trailing Twelve-Month (TTM) Diluted EPS, or equivalently Market Capitalisation ÷ TTM Net Income. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/E ratio?

Accepted Answer

The price-to-earnings (P/E) ratio, also called the earnings multiple, measures how much investors pay per dollar of a company's trailing twelve-month (TTM) earnings. It is calculated as share price ÷ TTM diluted EPS (equivalent to market capitalisation ÷ TTM net income). A higher P/E implies the market is pricing in stronger future earnings growth or lower risk; a lower P/E can signal slower expected growth, higher risk, or potential undervaluation.

Question 4

What is a good P/E ratio for Paychex?

Accepted Answer

There is no universal "good" P/E. As a rule of thumb, the S&P 500 has historically averaged a P/E in the mid-to-high teens; mature, slow-growth businesses commonly trade in the 10–18× range, while high-growth or asset-light companies often trade at 25–50×+. What matters is the comparison to sector peers and to the company's own historical range. For Paychex specifically, the relevant sector benchmark is the current sector median of 29.4×.

Question 5

Is Paychex's P/E ratio high or low?

Accepted Answer

Paychex's P/E ratio of 22.5× is below its own 5-year average of 28.6× and below the sector median of 29.4×. That places the current reading at the 8th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Paychex's historical P/E ratio range?

Accepted Answer

In the available daily series, Paychex (PAYX) P/E ratio has ranged from a low of 14.3× in 2009 to a high of 48.6× in 2003. The 5-year average is 28.6× and the 5-year median is 29.2×.

Question 7

What was Paychex's P/E ratio in 2026?

Accepted Answer

Paychex (PAYX) P/E ratio at the end of 2026 was 20.8×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month earnings figure available at that date.

Question 8

Why does Paychex's P/E ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (earnings). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2026	$36.6B	$1.76B	20.8×	-13.5×	May 31, 2026
2025	$56.9B	$1.66B	34.3×	+8.7×	May 31, 2025
2024	$43.3B	$1.69B	25.6×	+1.3×	May 31, 2024
2023	$37.8B	$1.56B	24.3×	-7.8×	May 31, 2023
2022	$44.7B	$1.39B	32.1×	-1.1×	May 31, 2022
2021	$36.4B	$1.1B	33.1×	+9.6×	May 31, 2021
2020	$25.8B	$1.1B	23.5×	-6.3×	May 31, 2020
2019	$30.8B	$1.03B	29.8×	+4.6×	May 31, 2019
2018	$23.5B	$934M	25.2×	-0.8×	May 31, 2018
2017	$21.3B	$817M	26.0×	+0.2×	May 31, 2017
2016	$19.5B	$757M	25.8×	-0.7×	May 31, 2016
2015	$17.9B	$675M	26.5×	+2.7×	May 31, 2015
2014	$14.9B	$628M	23.8×	-0.0×	May 31, 2014
2013	$13.6B	$569M	23.9×	+4.0×	May 31, 2013
2012	$10.9B	$548M	19.8×	-2.9×	May 31, 2012
2011	$11.7B	$515M	22.7×	+1.3×	May 31, 2011
2010	$10.2B	$477M	21.4×	+2.1×	May 31, 2010
2009	$10.3B	$534M	19.3×	-2.4×	May 31, 2009
2008	$12.5B	$576M	21.6×	-8.2×	May 31, 2008
2007	$15.4B	$515M	29.8×	-0.2×	May 31, 2007
2006	$14B	$465M	30.0×	+0.4×	May 31, 2006
2005	$10.9B	$369M	29.6×	-17.9×	May 31, 2005
2004	$14.4B	$303M	47.5×	+8.3×	May 31, 2004
2003	$11.5B	$293M	39.2×	-8.2×	May 31, 2003
2002	$13B	$275M	47.4×	—	May 31, 2002


Dell Technologies (DELL)	16.2×
Western Digital (WDC)	15.7×
Accenture (ACN)	15.4×
Gartner (IT)	14.9×
CDW (CDW)	14.5×
Adobe (ADBE)	14.4×
Leidos Holdings (LDOS)	14.1×
Zoom Communications (ZM)	13.8×
QUALCOMM (QCOM)	13.7×
PTC (PTC)	13.5×
Paycom Software (PAYC)	13.2×
Elastic N.V. (ESTC)	13.2×
Cognizant (CTSH)	13.1×
First Solar (FSLR)	12.7×
GoDaddy (GDDY)	12.7×
Gen Digital (GEN)	11.7×
Duolingo (DUOL)	10.9×
Super Micro Computer (SMCI)	10.9×
Science Applications International (SAIC)	10.3×
Fiserv (FISV)	9.3×
Fidelity National Information Services (FIS)	9.0×
HP (HPQ)	7.5×
Sunrun (RUN)	5.6×
Lyft (LYFT)	1.8×
IBM (IBM)	0.0×

P/E Ratio for Paychex (PAYX) 2002-2026

P/E Ratio daily chart for Paychex (PAYX)

Historical P/E Ratio for Paychex (PAYX) from 2002 to 2026

About P/E Ratio at Paychex (PAYX)

Paychex P/E Ratio by Year

Paychex P/E Ratio 2026: 20.8×

Paychex P/E Ratio 2025: 34.3×

Paychex P/E Ratio 2024: 25.6×

Paychex P/E Ratio 2023: 24.3×

Paychex P/E Ratio 2022: 32.1×

Sector peers by P/E Ratio — chart

Sector peers by P/E Ratio — table

Frequently asked questions

Paychex (PAYX) Key Financials