PAYXNEUTRAL

PAYX P/E Ratio Analysis

20.7x

Updated 273h ago·SEC filings & market data

Key Takeaway

The price-to-earnings (P/E) ratio of 20.7x means investors pay $20.70 for each $1 of the company’s annual earnings.

Sector Performance

44th percentile

PAYX

20.7x

Sector Median

23.1x

Sector Avg

33.7x

Prior Period

18.8x(Apr 2026)

↓ Declining

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Deep Analysis

The price-to-earnings (P/E) ratio of 20.7x means investors pay $20.70 for each $1 of the company’s annual earnings.

This sits below the sector median of 23.4x, placing PAYX in the 44th percentile of sector peers—slightly cheaper than typical. The trend is not available: the year-over-year change is N/A and the quarter-over-quarter change is N/A, so no direction can be inferred. A level below the median suggests modest relative value, but with no trend data the risk profile is unchanged. This metric supports the overall NEUTRAL verdict, as the P/E does not point to either a clear discount or a premium versus peers.

Frequently Asked Questions

What does the P/E Ratio tell investors about PAYX?

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

How is the P/E Ratio calculated?

P/E Ratio is calculated as: Price / EPS.

Who are PAYX's closest peers by P/E Ratio?

The closest peers by P/E Ratio include: WELL (102.4x), IAC (104.9x), FORM (108.1x), MCHP (113.5x), MTSI (118.9x).

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The Formula

Price / EPS

Why It Matters

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.