UPDATE: Credit Suisse Upgrades Paychex to Outperform, PT of $36

Credit Suisse raises its rating on Paychex

to Outperform from Neutral as they assume coverage, and raise the price target to $36 from $29 as the company appears well positioned for sustained recovery. Credit Suisse says, "Paychex is well positioned for a sustained recovery in private sector jobs, continued outsourcing and at some point maybe even a back up in rates. Paychex has no direct exposure to public sector jobs. We expect Paychex growth to accelerate. Jobs have picked up and retention has improved but new sales continue to lag. What the company really needs is a reenergized small business environment in the United States. Over a normal cycle, we believe that Paychex can generate solid double-digit EPS growth." PAYX closed at $31.67 per share on Wednesday.