02:00 PM EDT, 03/26/2026 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lower our 12-month target by $39 to $101, 17.0x our FY 27 EPS estimate, a premium to the peer average of 14.4x but a discount to PAYX's three-year average of 25.0x. We lift our FY 26 EPS view by $0.11 to $5.53 and lift FY 27 EPS by $0.04 to $5.93. Shares are down ~37% over the last year on concerns over a tight labor market and AI displacement fears. However, we think the successful deployment of agentic AI achieving nearly 100% payroll accuracy highlights the technology as advantageous to the HCM industry. We expect PAYX to generate steady, albeit normalizing top-line trends following the Paycor acquisition, as we project revenue growth of 18% in FY 26 and 6% in FY 27. This deceleration reflects the diminishing contribution from the acquisition and competitive pressures in the core payroll processing market. We believe PAYX's robust financial position and expanding cross-selling opportunities through Paycor's upmarket capabilities position it well for growth in the evolving HCM landscape.