Regardless of age or experience, all investors share the common goals of maximizing their investments in the stock market and investing with confidence. The Zacks Style Scores offer a unique way to achieve these goals by rating stocks based on popular investing methodologies such as value, growth, and momentum. These scores help investors identify which stocks are best suited for their portfolio and which ones have the potential to outperform the market in the long run.
For growth-oriented investors, who focus on a stock’s future prospects and financial health, the Growth Style Score is key. This score analyzes factors like projected and historical earnings, sales, and cash flow to pinpoint stocks that are likely to experience sustainable growth over time.
One stock that should be on the radar of growth investors is Paychex (PAYX). Paychex is a leading provider of integrated human capital management solutions for small to medium-sized businesses. With a Zacks Rank #3 (Hold), a Growth Style Score of B, and a VGM Score of B, Paychex is positioned well for growth. Earnings and sales are projected to increase by 5.3% and 4.9% year-over-year, respectively.
Analysts have revised their earnings estimate upwards for Paychex, with the Zacks Consensus Estimate now at $4.97 per share for 2025. The company has a track record of beating earnings estimates, with an average surprise of 1.5%. Additionally, Paychex has shown strong cash flow growth, with an 8.6% increase and an expected 7.5% expansion in 2025.
With solid fundamentals, a favorable Zacks Rank, and impressive Growth and VGM Style Scores, Paychex is a stock worth considering for investors looking for growth opportunities.