GURUFOCUS.COM » STOCK LIST » Industrials » Business Services » Paychex Inc (NAS:PAYX) » Definitions » Cyclically Adjusted Price-to-FCF

Paychex (Paychex) Cyclically Adjusted Price-to-FCF : 31.42 (As of Jul. 16, 2024)


View and export this data going back to 1983. Start your Free Trial

What is Paychex Cyclically Adjusted Price-to-FCF?

As of today (2024-07-16), Paychex's current share price is $123.18. Paychex's Cyclically Adjusted FCF per Share for the quarter that ended in May. 2024 was $3.92. Paychex's Cyclically Adjusted Price-to-FCF for today is 31.42.

The historical rank and industry rank for Paychex's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

PAYX' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 20.62   Med: 30.91   Max: 47.07
Current: 31.06

During the past years, Paychex's highest Cyclically Adjusted Price-to-FCF was 47.07. The lowest was 20.62. And the median was 30.91.

PAYX's Cyclically Adjusted Price-to-FCF is ranked worse than
70.81% of 370 companies
in the Business Services industry
Industry Median: 18.23 vs PAYX: 31.06

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted free cash flow per share of a company over the past 10 years.

Paychex's adjusted free cash flow per share data for the three months ended in May. 2024 was $0.499. Add all the adjusted free cash flow per share for the past 10 years together and divide 10 will get our Cyclically Adjusted FCF per Share, which is $3.92 for the trailing ten years ended in May. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Paychex Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Paychex's Cyclically Adjusted Price-to-FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Paychex Cyclically Adjusted Price-to-FCF Chart

Paychex Annual Data
Trend May15 May16 May17 May18 May19 May20 May21 May22 May23 May24
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.16 36.00 38.14 29.08 30.69

Paychex Quarterly Data
Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24
Cyclically Adjusted Price-to-FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 29.08 32.81 32.34 31.59 30.69

Competitive Comparison of Paychex's Cyclically Adjusted Price-to-FCF

For the Staffing & Employment Services subindustry, Paychex's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Paychex's Cyclically Adjusted Price-to-FCF Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Paychex's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where Paychex's Cyclically Adjusted Price-to-FCF falls into.



Paychex Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF.

Paychex's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=123.18/3.92
=31.42

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Paychex's Cyclically Adjusted FCF per Share for the quarter that ended in May. 2024 is calculated as:

For example, Paychex's adjusted Free Cash Flow per Share data for the three months ended in May. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of May. 2024 (Change)*Current CPI (May. 2024)
=0.499/132.2892*132.2892
=0.499

Current CPI (May. 2024) = 132.2892.

Paychex Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201408 0.653 100.352 0.861
201411 0.332 99.635 0.441
201502 0.717 99.032 0.958
201505 0.471 100.333 0.621
201508 0.709 100.548 0.933
201511 0.315 100.135 0.416
201602 0.966 100.040 1.277
201605 0.549 101.355 0.717
201608 0.754 101.617 0.982
201611 0.254 101.829 0.330
201702 0.928 102.779 1.194
201705 0.452 103.256 0.579
201708 0.901 103.587 1.151
201711 0.272 104.072 0.346
201802 1.224 105.052 1.541
201805 0.707 106.148 0.881
201808 0.690 106.383 0.858
201811 0.518 106.338 0.644
201902 1.378 106.649 1.709
201905 0.587 108.048 0.719
201908 0.742 108.245 0.907
201911 0.655 108.519 0.798
202002 1.263 109.139 1.531
202005 0.979 108.175 1.197
202008 0.538 109.662 0.649
202011 0.502 109.793 0.605
202102 1.123 110.968 1.339
202105 0.988 113.576 1.151
202108 0.979 115.421 1.122
202111 0.373 117.269 0.421
202202 1.591 119.703 1.758
202205 1.066 123.323 1.144
202208 0.921 124.958 0.975
202211 0.884 125.607 0.931
202302 1.485 126.928 1.548
202305 1.025 128.314 1.057
202308 1.701 129.538 1.737
202311 0.850 129.548 0.868
202402 1.745 130.930 1.763
202405 0.499 132.289 0.499

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Paychex  (NAS:PAYX) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


Paychex Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of Paychex's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Paychex (Paychex) Business Description

Industry
Traded in Other Exchanges
Address
911 Panorama Trail South, Rochester, NY, USA, 14625-2396
Paychex is a leading provider of payroll, human capital management, and insurance solutions servicing small and midsize clients primarily in the United States. The company, established in 1979, services over 740,000 clients and pays over 1 in 12 U.S. private-sector workers. Alongside its traditional payroll services, Paychex offers HCM solutions such as benefits administration and time and attendance software, as well as human resources outsourcing and insurance agency services.
Executives
Flaschen David J S director 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Christopher C Simmons officer: VP, Controller & Treasurer 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Michael E Gioja officer: Sr. Vice President 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Efrain Rivera officer: Sr. Vice President, CFO 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Martin Mucci officer: Sr. Vice President 911 PANORAMA TRAIL S, ROCHESTER NY 14625
Joseph M Tucci director EMC CORPORATION, 176 SOUTH STREET, HOPKINTON MA 01748
Joseph M Velli director
Elizabeth Roaldsen officer: Sr. Vice President 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Karen E. Saunders-mcclendon officer: VP, Chief Human Resources Offi 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Theresa M. Payton director 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
John B Gibson officer: Sr. VP, Service CONVERGYS CORPORATION, 201 EAST FOURTH STREET, CINCINNATI OH 45202
Mark Anthony Bottini officer: Sr. VP of Sales 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Robert L. Schrader officer: VP/Controller 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Stephanie L Schaeffer officer: Chief Legal Officer 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Joseph Doody director CASELLA WASTE SYSTEMS INC, 25 GREENS HILL LANE PO BOX 866, RUTLAND VT 05701

Paychex (Paychex) Headlines

From GuruFocus

Q1 2021 Paychex Inc Earnings Call Transcript

By GuruFocus Research 01-23-2024

Q1 2024 Paychex Inc Earnings Call Transcript

By GuruFocus Research 01-23-2024

Q4 2022 Paychex Inc Earnings Call Transcript

By GuruFocus Research 01-23-2024

Paychex Wins 2024 BIG Innovation Award

By Business Wire 01-11-2024

Q1 2022 Paychex Inc Earnings Call Transcript

By GuruFocus Research 01-23-2024

Q3 2020 Paychex Inc Earnings Call Transcript

By GuruFocus Research 01-23-2024

Q4 2020 Paychex Inc Earnings Call Transcript

By GuruFocus Research 01-23-2024