PAYX vs. TT: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at PAYX and TT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | PAYX | TT |
|---|---|---|
| Company Name | Paychex, Inc. | Trane Technologies plc |
| Country | United States | Ireland |
| GICS Sector | Industrials | Industrials |
| GICS Industry | Professional Services | Building Products |
| Market Capitalization | 44.85 billion USD | 94.37 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | August 26, 1983 | March 17, 1980 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of PAYX and TT 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 | PAYX | TT |
|---|---|---|
| 5-Day Price Return | -3.05% | 2.34% |
| 13-Week Price Return | -15.31% | -3.04% |
| 26-Week Price Return | -19.23% | 25.87% |
| 52-Week Price Return | -11.47% | 9.34% |
| Month-to-Date Return | -1.70% | 0.50% |
| Year-to-Date Return | -11.13% | 14.82% |
| 10-Day Avg. Volume | 3.96M | 1.24M |
| 3-Month Avg. Volume | 2.54M | 1.27M |
| 3-Month Volatility | 18.97% | 25.39% |
| Beta | 0.92 | 1.20 |
Profitability
Return on Equity (TTM)
PAYX
41.38%
Professional Services Industry
- Max
- 68.01%
- Q3
- 35.32%
- Median
- 21.92%
- Q1
- 11.67%
- Min
- -20.25%
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.
TT
37.61%
Building Products Industry
- Max
- 46.90%
- Q3
- 27.60%
- Median
- 15.43%
- Q1
- 8.94%
- Min
- 0.77%
In the upper quartile for the Building Products industry, TT’s Return on Equity of 37.61% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
PAYX
29.74%
Professional Services Industry
- Max
- 31.75%
- Q3
- 15.50%
- Median
- 8.95%
- Q1
- 4.51%
- Min
- 0.35%
A Net Profit Margin of 29.74% places PAYX in the upper quartile for the Professional Services industry, signifying strong profitability and more effective cost management than most of its peers.
TT
13.76%
Building Products Industry
- Max
- 19.42%
- Q3
- 13.74%
- Median
- 8.72%
- Q1
- 4.81%
- Min
- 0.46%
A Net Profit Margin of 13.76% places TT in the upper quartile for the Building Products industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin (TTM)
PAYX
39.01%
Professional Services Industry
- Max
- 30.62%
- Q3
- 19.06%
- Median
- 13.60%
- Q1
- 8.60%
- Min
- -2.18%
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.
TT
18.39%
Building Products Industry
- Max
- 26.72%
- Q3
- 17.70%
- Median
- 12.14%
- Q1
- 9.54%
- Min
- 1.65%
An Operating Profit Margin of 18.39% places TT in the upper quartile for the Building Products industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | PAYX | TT |
|---|---|---|
| Return on Equity (TTM) | 41.38% | 37.61% |
| Return on Assets (TTM) | 13.58% | 13.90% |
| Net Profit Margin (TTM) | 29.74% | 13.76% |
| Operating Profit Margin (TTM) | 39.01% | 18.39% |
| Gross Profit Margin (TTM) | 90.67% | 36.26% |
Financial Strength
Current Ratio (MRQ)
PAYX
1.28
Professional Services Industry
- Max
- 2.28
- Q3
- 1.75
- Median
- 1.34
- 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.
TT
1.10
Building Products Industry
- Max
- 3.10
- Q3
- 2.06
- Median
- 1.60
- Q1
- 1.30
- Min
- 0.88
TT’s Current Ratio of 1.10 falls into the lower quartile for the Building Products industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio (MRQ)
PAYX
1.20
Professional Services Industry
- Max
- 2.93
- Q3
- 1.45
- Median
- 0.98
- Q1
- 0.45
- 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.
TT
0.59
Building Products Industry
- Max
- 1.64
- Q3
- 1.02
- Median
- 0.62
- Q1
- 0.20
- Min
- 0.00
TT’s Debt-to-Equity Ratio of 0.59 is typical for the Building Products 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)
PAYX
55.47
Professional Services Industry
- Max
- 39.45
- Q3
- 20.41
- Median
- 11.64
- Q1
- 5.46
- Min
- -1.21
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.
TT
15.31
Building Products Industry
- Max
- 72.12
- Q3
- 34.39
- Median
- 23.97
- Q1
- 7.29
- Min
- 2.97
TT’s Interest Coverage Ratio of 15.31 is positioned comfortably within the norm for the Building Products industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | PAYX | TT |
|---|---|---|
| Current Ratio (MRQ) | 1.28 | 1.10 |
| Quick Ratio (MRQ) | 1.22 | 0.76 |
| Debt-to-Equity Ratio (MRQ) | 1.20 | 0.59 |
| Interest Coverage Ratio (TTM) | 55.47 | 15.31 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
PAYX
3.27%
Professional Services Industry
- Max
- 4.83%
- Q3
- 2.44%
- Median
- 1.52%
- Q1
- 0.52%
- Min
- 0.00%
With a Dividend Yield of 3.27%, PAYX offers a more attractive income stream than most of its peers in the Professional Services industry, signaling a strong commitment to shareholder returns.
TT
0.84%
Building Products Industry
- Max
- 2.51%
- Q3
- 1.92%
- Median
- 1.30%
- Q1
- 0.78%
- Min
- 0.00%
TT’s Dividend Yield of 0.84% is consistent with its peers in the Building Products industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
PAYX
87.40%
Professional Services Industry
- Max
- 128.51%
- Q3
- 69.03%
- Median
- 47.00%
- Q1
- 18.05%
- 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.
TT
27.94%
Building Products Industry
- Max
- 157.36%
- Q3
- 76.90%
- Median
- 30.70%
- Q1
- 17.97%
- Min
- 0.00%
TT’s Dividend Payout Ratio of 27.94% is within the typical range for the Building Products industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | PAYX | TT |
|---|---|---|
| Dividend Yield (TTM) | 3.27% | 0.84% |
| Dividend Payout Ratio (TTM) | 87.40% | 27.94% |
Valuation
Price-to-Earnings Ratio (TTM)
PAYX
26.72
Professional Services Industry
- Max
- 52.60
- Q3
- 33.83
- Median
- 24.95
- Q1
- 17.59
- Min
- 7.96
PAYX’s P/E Ratio of 26.72 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.
TT
33.13
Building Products Industry
- Max
- 45.60
- Q3
- 30.36
- Median
- 21.97
- Q1
- 17.37
- Min
- 12.44
A P/E Ratio of 33.13 places TT in the upper quartile for the Building Products industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Price-to-Sales Ratio (TTM)
PAYX
7.95
Professional Services Industry
- Max
- 8.27
- Q3
- 4.40
- Median
- 2.09
- Q1
- 0.99
- Min
- 0.17
PAYX’s P/S Ratio of 7.95 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.
TT
4.56
Building Products Industry
- Max
- 5.90
- Q3
- 3.09
- Median
- 1.72
- Q1
- 1.07
- Min
- 0.37
TT’s P/S Ratio of 4.56 is in the upper echelon for the Building Products 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)
PAYX
13.75
Professional Services Industry
- Max
- 18.75
- Q3
- 9.53
- Median
- 5.88
- Q1
- 2.95
- Min
- 0.59
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.
TT
12.45
Building Products Industry
- Max
- 10.99
- Q3
- 5.69
- Median
- 2.98
- Q1
- 1.80
- Min
- 0.66
At 12.45, TT’s P/B Ratio is at an extreme premium to the Building Products industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | PAYX | TT |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 26.72 | 33.13 |
| Price-to-Sales Ratio (TTM) | 7.95 | 4.56 |
| Price-to-Book Ratio (MRQ) | 13.75 | 12.45 |
| Price-to-Free Cash Flow Ratio (TTM) | 26.37 | 33.66 |