KFY vs. PAYX: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at KFY and PAYX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | KFY | PAYX |
|---|---|---|
| Company Name | Korn Ferry | Paychex, Inc. |
| Country | United States | United States |
| GICS Sector | Industrials | Industrials |
| GICS Industry | Professional Services | Professional Services |
| Market Capitalization | 3.83 billion USD | 50.03 billion USD |
| Exchange | NYSE | NasdaqGS |
| Listing Date | February 11, 1999 | August 26, 1983 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of KFY and PAYX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | KFY | PAYX |
|---|---|---|
| 5-Day Price Return | -0.20% | 1.01% |
| 13-Week Price Return | 6.37% | -12.21% |
| 26-Week Price Return | 9.74% | -6.56% |
| 52-Week Price Return | 4.88% | 10.92% |
| Month-to-Date Return | 3.15% | -3.78% |
| Year-to-Date Return | 8.38% | -0.96% |
| 10-Day Avg. Volume | 0.24M | 2.19M |
| 3-Month Avg. Volume | 0.41M | 2.13M |
| 3-Month Volatility | 25.12% | 26.16% |
| Beta | 1.51 | 0.95 |
Profitability
Return on Equity (TTM)
KFY
13.69%
Professional Services Industry
- Max
- 52.17%
- Q3
- 30.06%
- Median
- 22.21%
- Q1
- 11.67%
- Min
- -13.44%
KFY’s Return on Equity of 13.69% is on par with the norm for the Professional Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
PAYX
41.38%
Professional Services Industry
- Max
- 52.17%
- Q3
- 30.06%
- Median
- 22.21%
- Q1
- 11.67%
- Min
- -13.44%
In the upper quartile for the Professional Services industry, PAYX’s Return on Equity of 41.38% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
KFY
8.91%
Professional Services Industry
- Max
- 26.06%
- Q3
- 13.34%
- Median
- 7.88%
- Q1
- 3.50%
- Min
- -2.93%
KFY’s Net Profit Margin of 8.91% is aligned with the median group of its peers in the Professional Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
PAYX
29.74%
Professional Services Industry
- Max
- 26.06%
- Q3
- 13.34%
- Median
- 7.88%
- Q1
- 3.50%
- Min
- -2.93%
PAYX’s Net Profit Margin of 29.74% is exceptionally high, placing it well beyond the typical range for the Professional Services industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
Operating Profit Margin (TTM)
KFY
12.54%
Professional Services Industry
- Max
- 35.84%
- Q3
- 19.38%
- Median
- 12.54%
- Q1
- 7.36%
- Min
- -5.21%
KFY’s Operating Profit Margin of 12.54% is around the midpoint for the Professional Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
PAYX
39.01%
Professional Services Industry
- Max
- 35.84%
- Q3
- 19.38%
- Median
- 12.54%
- Q1
- 7.36%
- Min
- -5.21%
PAYX’s Operating Profit Margin of 39.01% is exceptionally high, placing it well above the typical range for the Professional Services industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.
Profitability at a Glance
| Symbol | KFY | PAYX |
|---|---|---|
| Return on Equity (TTM) | 13.69% | 41.38% |
| Return on Assets (TTM) | 6.79% | 13.58% |
| Net Profit Margin (TTM) | 8.91% | 29.74% |
| Operating Profit Margin (TTM) | 12.54% | 39.01% |
| Gross Profit Margin (TTM) | 88.55% | 90.67% |
Financial Strength
Current Ratio (MRQ)
KFY
1.83
Professional Services Industry
- Max
- 2.45
- Q3
- 1.65
- Median
- 1.26
- Q1
- 1.10
- Min
- 0.47
KFY’s Current Ratio of 1.83 is in the upper quartile for the Professional Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
PAYX
1.28
Professional Services Industry
- Max
- 2.45
- Q3
- 1.65
- Median
- 1.26
- Q1
- 1.10
- Min
- 0.47
PAYX’s Current Ratio of 1.28 aligns with the median group of the Professional Services industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
KFY
0.21
Professional Services Industry
- Max
- 2.63
- Q3
- 1.44
- Median
- 0.91
- Q1
- 0.49
- Min
- 0.00
Falling into the lower quartile for the Professional Services industry, KFY’s Debt-to-Equity Ratio of 0.21 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
PAYX
1.20
Professional Services Industry
- Max
- 2.63
- Q3
- 1.44
- Median
- 0.91
- Q1
- 0.49
- Min
- 0.00
PAYX’s Debt-to-Equity Ratio of 1.20 is typical for the Professional Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
KFY
49.83
Professional Services Industry
- Max
- 39.67
- Q3
- 20.05
- Median
- 11.07
- Q1
- 5.36
- Min
- -2.22
With an Interest Coverage Ratio of 49.83, KFY demonstrates a superior capacity to service its debt, placing it well above the typical range for the Professional Services industry. This stems from either robust earnings or a conservative debt load.
PAYX
55.47
Professional Services Industry
- Max
- 39.67
- Q3
- 20.05
- Median
- 11.07
- Q1
- 5.36
- Min
- -2.22
With an Interest Coverage Ratio of 55.47, PAYX demonstrates a superior capacity to service its debt, placing it well above the typical range for the Professional Services industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | KFY | PAYX |
|---|---|---|
| Current Ratio (MRQ) | 1.83 | 1.28 |
| Quick Ratio (MRQ) | 1.79 | 1.22 |
| Debt-to-Equity Ratio (MRQ) | 0.21 | 1.20 |
| Interest Coverage Ratio (TTM) | 49.83 | 55.47 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
KFY
2.20%
Professional Services Industry
- Max
- 5.28%
- Q3
- 2.51%
- Median
- 1.63%
- Q1
- 0.62%
- Min
- 0.00%
KFY’s Dividend Yield of 2.20% is consistent with its peers in the Professional Services industry, providing a dividend return that is standard for its sector.
PAYX
2.88%
Professional Services Industry
- Max
- 5.28%
- Q3
- 2.51%
- Median
- 1.63%
- Q1
- 0.62%
- Min
- 0.00%
With a Dividend Yield of 2.88%, PAYX offers a more attractive income stream than most of its peers in the Professional Services industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio (TTM)
KFY
33.99%
Professional Services Industry
- Max
- 109.23%
- Q3
- 64.39%
- Median
- 47.00%
- Q1
- 20.35%
- Min
- 0.00%
KFY’s Dividend Payout Ratio of 33.99% is within the typical range for the Professional Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
PAYX
87.40%
Professional Services Industry
- Max
- 109.23%
- Q3
- 64.39%
- Median
- 47.00%
- Q1
- 20.35%
- Min
- 0.00%
PAYX’s Dividend Payout Ratio of 87.40% is in the upper quartile for the Professional Services industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | KFY | PAYX |
|---|---|---|
| Dividend Yield (TTM) | 2.20% | 2.88% |
| Dividend Payout Ratio (TTM) | 33.99% | 87.40% |
Valuation
Price-to-Earnings Ratio (TTM)
KFY
15.46
Professional Services Industry
- Max
- 49.59
- Q3
- 36.59
- Median
- 28.13
- Q1
- 18.55
- Min
- 10.07
In the lower quartile for the Professional Services industry, KFY’s P/E Ratio of 15.46 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
PAYX
30.36
Professional Services Industry
- Max
- 49.59
- Q3
- 36.59
- Median
- 28.13
- Q1
- 18.55
- Min
- 10.07
PAYX’s P/E Ratio of 30.36 is within the middle range for the Professional Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
KFY
1.38
Professional Services Industry
- Max
- 9.54
- Q3
- 5.11
- Median
- 2.10
- Q1
- 0.75
- Min
- 0.11
KFY’s P/S Ratio of 1.38 aligns with the market consensus for the Professional Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
PAYX
9.03
Professional Services Industry
- Max
- 9.54
- Q3
- 5.11
- Median
- 2.10
- Q1
- 0.75
- Min
- 0.11
PAYX’s P/S Ratio of 9.03 is in the upper echelon for the Professional Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
Price-to-Book Ratio (MRQ)
KFY
1.71
Professional Services Industry
- Max
- 13.75
- Q3
- 8.87
- Median
- 4.35
- Q1
- 2.43
- Min
- 0.54
KFY’s P/B Ratio of 1.71 is in the lower quartile for the Professional Services industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
PAYX
13.75
Professional Services Industry
- Max
- 13.75
- Q3
- 8.87
- Median
- 4.35
- Q1
- 2.43
- Min
- 0.54
PAYX’s P/B Ratio of 13.75 is in the upper tier for the Professional Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | KFY | PAYX |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 15.46 | 30.36 |
| Price-to-Sales Ratio (TTM) | 1.38 | 9.03 |
| Price-to-Book Ratio (MRQ) | 1.71 | 13.75 |
| Price-to-Free Cash Flow Ratio (TTM) | 7.05 | 29.96 |