PAYX Gross Margin Analysis
Updated 1395h ago·SEC filings & market data
Key Takeaway
Gross margin is the share of revenue left after covering the direct costs of delivering a service, and PAYX's 74.0% means it keeps 74 cents of every dollar earned from its core operations.
Sector Performance
86th percentilePAYX
74.0%
Sector Median
47.4%
Sector Avg
48.1%
Prior Period
76.2%(Apr 2026)
Deep Analysis
Gross margin is the share of revenue left after covering the direct costs of delivering a service, and PAYX's 74.0% means it keeps 74 cents of every dollar earned from its core operations.
That figure is far above the sector median of 46.4%, placing PAYX in the 88th percentile among its sector peers. The trend is not available: the year-over-year change is N/A, the quarter-over-quarter change is N/A, and no historical values beyond the current 74.0% are provided. With a high margin but no trend data, the investment picture offers a clear current profitability advantage, yet no evidence of whether that advantage is widening or narrowing. This leaves the risk-opportunity balance dependent on a single snapshot rather than a direction. The metric supports the overall NEUTRAL verdict because the strong margin is a positive factor, but the absence of trend information prevents any stronger bias.
Frequently Asked Questions
What does the Gross Margin tell investors about PAYX?
Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.
How is the Gross Margin calculated?
Gross Margin is calculated as: Gross Profit / Revenue.
Learn More About Gross Margin
The Formula
Gross Profit / Revenue
Why It Matters
Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.
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74.0%
Sector Median
47.4%
Sector Avg
48.1%
How PAYX's Gross Margin compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.