Paychex Inc. provides HCM solutions for small to medium-sized businesses, with a market cap of around $40 billion. However, the stock has underperformed, declining 20.3% YTD and 23.7% over the past year, lagging behind the S&P 500 and XLK. Despite better-than-expected Q1 results, stock prices dropped 1.4%. Q1 showed strong revenue and cash flow growth, with adjusted EPS surpassing estimates. Full-year EPS growth guidance was raised to 9% – 11%. Analysts expect an EPS of $5.47 for fiscal 2026, with a consensus “Hold” rating. Morgan Stanley reiterated an “Equal-Weight” rating with a $133 price target, while the mean price target is $137.

Read more at Barchart: Paychex Stock: Analyst Estimates & Ratings