Market Overview

UPDATE: Morgan Stanley Raises PT to $35 on Paychex on Organic Growth Outlook

Share:
Related PAYX
7 Biggest Price Target Changes For Wednesday
Benzinga's Top Upgrades, Downgrades For January 11, 2017
Raymond James Trust N.a. Buys WisdomTree Japan Hedged Equity Fund, United Technologies Corp, ... (GuruFocus)

Morgan Stanley reiterated its Neutral rating on Paychex (NASDAQ: PAYX) but raised its price target from $32 to $35.

Morgan Stanley commented, "We are positive on the payroll processing sector but see less upside for PAYX due to (1) weaker cycle to cycle earnings improvement, (2) less-attractive capital allocation, and (3) slow recovery for SMB clients coming out of the downturn. … Our estimates are unchanged from our previous publishing but we increase our multiple from 19.5X as our organic growth analysis still shows nearly 20pp improvement over the previous employment cycle"

Paychex closed at $33.37 on Thursday.

Latest Ratings for PAYX

DateFirmActionFromTo
Jan 2017BernsteinUpgradesUnderperformMarket Perform
Dec 2016BarclaysInitiates Coverage OnEqual-Weight
Dec 2016Goldman SachsUpgradesNeutralBuy

View More Analyst Ratings for PAYX
View the Latest Analyst Ratings

Posted-In: Morgan StanleyAnalyst Color Price Target Pre-Market Outlook Analyst Ratings

 

Related Articles (PAYX)

View Comments and Join the Discussion!