03:05 PM EDT, 03/12/2025 (MT Newswires) -- Paychex ( PAYX ) is likely to report fiscal Q3 results in line with expectations and reiterate its full-year outlook, RBC Capital Markets said in an earnings preview emailed Wednesday.

The firm expects Paychex ( PAYX ) to highlight strong sales momentum in its professional employer organization and mid-market human capital management business lines, among other things.

These tailwinds would partially be offset by weakness in the Florida at-risk medical plan and a slowdown in hiring, according to RBC Capital.

The firm also expects Paychex ( PAYX ) to initiate preliminary fiscal 2026 revenue guidance of 6% with margin expansion.

All in all, RBC is modelling fiscal Q3 earnings of $1.47 on revenue of $1.508 billion for Paychex ( PAYX ) versus the consensus of $1.48 on sales of $1.510 billion.

The firm has a sector perform rating on the stock with a price target of $148.

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