Paychex expects flat client count but aims to retain high-value clients while tackling PEO and insurance solutions headwinds with planned improvements. The company foresees 5%-6% organic growth for fiscal 2027 driven by Paycor acquisition bookings and its new Wise AI platform featuring over 600 agents.
Paychex expects client count growth to be relatively flat for fiscal year 2027, prioritizing retention of high-value clients over broad-based expansion. The agency side of PEO and Insurance Solutions presents a headwind, though management projects gradual improvement in renewals and benefit pricing.
The company forecasts 5%-6% organic growth in fiscal 2027, driven by strong bookings momentum from ASO, PEO, retirement services, and the Paycor acquisition. Sequential improvement in organic trends nearly doubled exit rates year-over-year, supporting the outlook.
Paychex introduced its Wise AI intelligence engine with over 600 features and agents to enhance reporting, timekeeping, and service productivity. Management expects the platform to unlock upsell and efficiency opportunities as legacy AI products are refreshed and monetization pathways are explored.
