>> paychex. paychex. >> all right. >> we saw an ebay downgrade.ck from 50 to 60 forsome time. paychex over the past couple of years, the stock has been parabolic. 3% dividend which i don't know if that filters in. what it says is the balance sheet is almost pristine. you have a great balance sheet, no debt. stock that continues to move higher. 25 times forward earnings. maybe it's a little bit expensive but i think this is going to push up the levels that i saw in 2000 around the $60 level. >>> paychex 1, ebay, zip. you go. >> i'm going with ebay not just because guy said paychex. not that it's so cheap but it's not so expensive. i think we get some decent capital allocation from them. they're trying to be more shareholder friendly. once this split happens, i think because of the land grab that will be in the payment stakes, you'll see a very rich valuation from paypal. i think there's room to go. >> we head to the left side of the desk. b.k. >> that's up to me for now. i'm going with ebay. not just because karen said ebay. i think ebay is a bette

i'll be talking to ceo payroll provider paychex ahead of the next big jobs report.gle best way to protect yourself against a brutal pullback. what a right way to play am i diversified. all your calls rapid fire just ahead. why don't you stick with cramer. >>> here's a company that's the number two payroll processor in the u.s. specializing in small and medium size businesses. the employment situation might be so strong that paychex would be roaring for its earnings. the company reported this morning higher than expected revenues for the human resources outsourcing business. the stock got slammed anyway. down $2 .10 at 4%. now, some of that is because paychex ran up into the quarter, but there's also a concern that it's not keeping with employment growth and there's no rate increase in the rise that allows them to -- still, the overall -- paychex has four-year guidance and after today's pullback paychex is paying it for higher rates at a bountiful 3% dividend. stocks will give you a 7% return. can it keep working its way slowly hire? let's check in with the president

joining me is martin mucci the ceo of paychex.ow do you feel about this storyline here that paychex will benefit from rising interest rates? martin: every 25 basis points for us is worth 4 million in annual revenue. a very positive thing for us. we grew 9% this quarter. we are feeling really good about the year. betty: yes, you release your earnings yesterday, revenue up 9%. hr services of 19 percent -- up 19%. what is going on? martin: a lot of growth in hr outsourcing. a lot of small businesses need hr support with all the compliance needs and affordable care act and immigration reform. they're looking to companies who are exports -- experts. you see it come down to a much smaller client size than we used to. betty: you mention a few things, the affordable care act, tax reform, immigration. they need more help navigating more complicated regulatory environment. is this something you have seen dramatically change in the last 12 months? martin: it really has picked up quite a bit with the affordable care act in particular because

i think some analysts break ranks and go positive on paychex after the quarter even as they sat out a pretty good move. they want to get ahead of a fed rate hike. also on wednesday, we have two companies disappointed cently and are being given a chance to redeem themselves. five below and pvh. i have a predisposition to like both company's stocks down here. but they're in the penalty box because of some bad misses and guide-downs. i know both are tempting aren't they? however, this market rewards winners and punishing losers endlessly. so we have to be in wait and see mode for both these two companies. thursday has a couple of real difficult ideas i want to puzzle over. the first is lulu lemon. this company has totally turned the corner which is why my charitable trust owns lulu lemon. we have a big gain in lulu. but we're concerned about the california port slowdown that nike alluded to may have hurt this company. it hurt william sonoma badly. so it's possible it will dip. why not sell ahead? wait a second, because the port story is temporary, and who knows if you can be nimble enoug

the ceo of paychex joins us now. good morning, marty.we saw a bit of a moderation. but when you take the quart e, we've seen the highest growth since 2014. >> what does that tell you about the economy and the regional differences as well? >> yeah, strength is still in the central part. the regions are still seeing the best job growth. and again, in the -- from a region perspective, central but pacific is starting to pick up. you're starting to see california. i think california added more jobs than texas for the first time in a few years now. and also from a major city perspective, detroit has moved up now into the top four. dallas still leading, but detroit into the top four which is very interesting. i think some high-tech and other jobs are coming into the detroit area now. >> wow. that would be great news for detroit. steve leisman was just there. >> i was just there. that's a great story. they're talking good stuff about detroit there. >> when you do good restructuring, you can actually make progress in a city. >> cf greece exactly.

evans is speaking here in london in the next hour and there's earnings from paychex, pvh, red hat and five below. still to come on the show sexism is on trial in silicon valley. we'll break down the numbers supporting the glass ceiling when we return. we're back many two. in new york state, we're reinventing how we do business so businesses can reinvent the world. from pharmaceuticals to 3d prototyping, biotech to clean energy. whether your business is moving, expanding or just getting started... only new york offers you zero taxes for 10 years with startup ny business incubators that partner companies with universities, and venture capital funding for high growth industries. see how new york can grow your business and create jobs. visit ny.gov/business >>> welcome back. i want to bring you a flash coming from a russian aviation source saying a boeing plane has requested an emergency landing at the main airport in russia's second city of st. petersburg. we'll bring you more when we hear from that but at the moment that's all we have on that story. >> that's right. the role of women in

this would be a good one, intuit versus paychex.ck to our tech conference with a huge matchup between apple and hewlett-packard. the winner will then take on cisco in the knicnext round. tune in or logon for exclusive previews ahead of each matchup. so exciting. >>> still ahead, why one trader thinks there's more pain ahead for the semiconductor space. everyone talks whe, about what happens when you turn sixty-five. but, really, it's what you do before that counts. see, medicare doesn't cover everything. only about eighty percent of part b medical costs. the rest is on you. [ male announcer ] consider an aarp medicare supplement insurance plan insured by unitedhealthcare insurance company. like all standardized medicare supplement insurance plans, it could really save you in out-of-pocket medical costs. so, call now and request this free decision guide. discover how an aarp medicare supplement plan could go long™ for you. do you want to choose your doctors? avoid networks? what about referrals? [ male announcer ] all plans like thes

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whoever wins this will on to battle paychecks which was a real underdog because paychex. >> upstate new very much. thank you all for watching "power lunch." the dow down 204 points. oil is up. big last hour of "closing bell" starts right now. >>> welcome to "closing bell," everybody. i'm kelly evans down here at the new york stock exchange. >> and i'm bill griffeth. a big sell-off right now as brian was just itemizing there for you. a lot of moving parts and pieces going on here as we know. military issues in yemen have served to push oil prices sharply higher today up as much as 4% for both wti crude and brent crude. that has pushed many oil sensitive stocks down sharply. the transports for one are down hard

whoever wins this will on to battle paychecks which was a real underdog because paychex. >> upstate new york love it. thank you very much. thank you all for watching "power lunch." the dow down 204 points. oil is up. big last hour of "closing bell" starts right now. >>> welcome to "closing bell," everybody. i'm kelly evans down here at the new york stock exchange. >> and i'm bill griffeth. a big sell-off right now as brian was just itemizing there for you. a lot of moving parts and pieces going on here as we know. military issues in yemen have served to push oil prices sharply higher today up as much as 4% for both wti crude and brent crude. that has pushed many oil sensitive stocks down sharply. the transports for one are down hard today. you had a sloppy five-year note auction for the treasuries today. that has served to push some yields higher today, so there's been a sell-off in bonds on the long end of the yield curve and so many other things going on. >> you want to talk about some of the data we've gotten. that first quarter gdp number doesn't look that strong and earnings. we ha

let's go inside the numbers now with the ceo of paychex. what does it show this month?e month. basically making up the losses that we were in the fourth quarter of '14 and across all regions of the u.s. except for two in the northeast we've seen gains in small business employment. >> what is the best region? >> well best region is still in the central. it's the northwest/central and the southwest/central. those areas, texas to north dakota really doing well. i think it's still around energy that's doing that. >> well you know it had a bit of a drop this month. but it still has the highest growth rate. i think there's construction going on there from what we see in the small business sector in around construction around home construction and so forth. so seems to be some nice growth in indiana. >> when it comes down to the metropolitan areas, dallas is still doing very well? >> yeah dallas continues to do really well as well as seattle. interesting enough in the south, florida and georgia, the states starting to bounce back. that's miami and atlanta. that seems to be hou