Troy Asset Management Ltd Cuts Stock Position in Paychex, Inc. $PAYX

Troy Asset Management Ltd lessened its position in Paychex, Inc. (NASDAQ:PAYX) by 3.5% during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 575,765 shares of the business services provider’s stock after selling 20,670 shares during the quarter. Paychex makes up 1.6% of Troy Asset Management Ltd’s investment portfolio, making the stock its 12th largest holding. Troy Asset Management Ltd owned approximately 0.16% of Paychex worth $64,589,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently modified their holdings of PAYX. Vanguard Group Inc. raised its holdings in shares of Paychex by 17.2% in the 3rd quarter. Vanguard Group Inc. now owns 37,765,468 shares of the business services provider’s stock valued at $4,787,151,000 after buying an additional 5,549,511 shares during the period. Voloridge Investment Management LLC purchased a new stake in Paychex during the 3rd quarter worth about $117,809,000. PFA Pension Forsikringsaktieselskab purchased a new stake in Paychex during the 4th quarter worth about $75,921,000. Select Equity Group L.P. increased its holdings in Paychex by 15.9% during the 2nd quarter. Select Equity Group L.P. now owns 4,051,413 shares of the business services provider’s stock worth $589,319,000 after purchasing an additional 557,101 shares during the period. Finally, Barclays PLC increased its holdings in Paychex by 38.1% during the 3rd quarter. Barclays PLC now owns 1,856,157 shares of the business services provider’s stock worth $235,286,000 after purchasing an additional 511,728 shares during the period. Hedge funds and other institutional investors own 83.47% of the company’s stock.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on the company. Stephens cut their price target on Paychex from $125.00 to $105.00 and set an “equal weight” rating on the stock in a report on Thursday, March 26th. Cantor Fitzgerald upgraded Paychex to a “strong sell” rating in a report on Tuesday, January 27th. Wells Fargo & Company cut their price target on Paychex from $116.00 to $95.00 and set an “underweight” rating on the stock in a report on Thursday, March 26th. UBS Group cut their price target on Paychex from $98.00 to $94.00 and set a “neutral” rating on the stock in a report on Monday, April 13th. Finally, Robert W. Baird cut their price target on Paychex from $148.00 to $125.00 and set a “neutral” rating on the stock in a report on Thursday, March 26th. One equities research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, twelve have given a Hold rating and four have issued a Sell rating to the stock. Based on data from MarketBeat, Paychex has a consensus rating of “Reduce” and an average target price of $106.38.

Paychex Stock Performance

PAYX opened at $97.00 on Monday. Paychex, Inc. has a one year low of $85.45 and a one year high of $161.24. The company has a market cap of $34.75 billion, a P/E ratio of 21.37 and a beta of 0.84. The company has a debt-to-equity ratio of 1.13, a quick ratio of 1.26 and a current ratio of 1.26. The business’s 50-day simple moving average is $92.01 and its 200-day simple moving average is $101.37.

Paychex (NASDAQ:PAYX) last released its quarterly earnings data on Wednesday, March 25th. The business services provider reported $1.71 EPS for the quarter, beating analysts’ consensus estimates of $1.67 by $0.04. Paychex had a return on equity of 48.52% and a net margin of 25.84%.The business had revenue of $1.81 billion for the quarter, compared to the consensus estimate of $1.78 billion. During the same quarter in the prior year, the business posted $1.49 EPS. The business’s revenue for the quarter was up 19.9% on a year-over-year basis. As a group, equities research analysts expect that Paychex, Inc. will post 5.5 EPS for the current fiscal year.

Paychex Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, May 29th. Stockholders of record on Wednesday, May 13th will be issued a $1.19 dividend. This represents a $4.76 dividend on an annualized basis and a dividend yield of 4.9%. The ex-dividend date is Wednesday, May 13th. This is an increase from Paychex’s previous quarterly dividend of $1.08. Paychex’s dividend payout ratio (DPR) is currently 104.85%.

Paychex Company Profile

Paychex, Inc, founded in 1971 by B. Thomas “Tom” Golisano and headquartered in Rochester, New York, is a provider of payroll, human resources, and benefits outsourcing solutions for small- and medium-sized businesses. The company’s core services include payroll processing and tax filing, employee benefits administration, retirement services, and workers’ compensation administration, designed to simplify back-office operations and help clients comply with regulatory and tax requirements.

Paychex offers an integrated technology platform, marketed under the Paychex Flex brand, which delivers cloud-based payroll, HR, time and attendance, and reporting tools.