Paychex Stock Return On Equity

PCX Stock  EUR 134.02  0.22  0.16%   
Paychex fundamentals help investors to digest information that contributes to Paychex's financial success or failures. It also enables traders to predict the movement of Paychex Stock. The fundamental analysis module provides a way to measure Paychex's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Paychex stock.
  
This module does not cover all equities due to inconsistencies in global equity categorizations. Continue to Equity Screeners to view more equity screening tools.

Paychex Company Return On Equity Analysis

Paychex's Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

Return On Equity

 = 

Net Income

Total Equity

More About Return On Equity | All Equity Analysis

Current Paychex Return On Equity

    
  0.46  
Most of Paychex's fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Paychex is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Competition

Based on the latest financial disclosure, Paychex has a Return On Equity of 0.4637. This is 5.39% higher than that of the Industrials sector and 65.65% lower than that of the Business Services industry. The return on equity for all Germany stocks is notably lower than that of the firm.

Paychex Return On Equity Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Paychex's direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Paychex could also be used in its relative valuation, which is a method of valuing Paychex by comparing valuation metrics of similar companies.
Paychex is currently under evaluation in return on equity category among its peers.

Paychex Fundamentals

About Paychex Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Paychex's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Paychex using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Paychex based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.

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Additional Information and Resources on Investing in Paychex Stock

When determining whether Paychex offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Paychex's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Paychex Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Paychex Stock:
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Paychex. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
For more detail on how to invest in Paychex Stock please use our How to Invest in Paychex guide.
You can also try the Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
Please note, there is a significant difference between Paychex's value and its price as these two are different measures arrived at by different means. Investors typically determine if Paychex is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Paychex's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.