Hendershot Investments Inc. Purchases 4,847 Shares of Paychex, Inc. $PAYX

Hendershot Investments Inc. boosted its position in shares of Paychex, Inc. (NASDAQ:PAYX) by 6.7% during the first quarter, HoldingsChannel reports. The institutional investor owned 76,692 shares of the business services provider’s stock after purchasing an additional 4,847 shares during the period. Hendershot Investments Inc.’s holdings in Paychex were worth $7,065,000 at the end of the most recent reporting period.

Other hedge funds have also recently bought and sold shares of the company. Vermillion & White Wealth Management Group LLC acquired a new position in shares of Paychex in the 3rd quarter valued at approximately $27,000. Cornerstone Planning Group LLC boosted its position in shares of Paychex by 957.1% during the 4th quarter. Cornerstone Planning Group LLC now owns 296 shares of the business services provider’s stock worth $30,000 after acquiring an additional 268 shares in the last quarter. Stance Capital LLC acquired a new stake in shares of Paychex during the 3rd quarter worth approximately $31,000. Hilton Head Capital Partners LLC bought a new position in Paychex in the fourth quarter valued at approximately $31,000. Finally, Kingdom Financial Group LLC. bought a new position in Paychex in the fourth quarter valued at approximately $33,000. 83.47% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on PAYX shares. Argus upgraded Paychex to a “strong-buy” rating in a research note on Friday, March 27th. Morgan Stanley lifted their price target on Paychex from $107.00 to $109.00 and gave the company an “equal weight” rating in a research note on Tuesday. TD Cowen boosted their price target on Paychex from $94.00 to $98.00 and gave the stock a “hold” rating in a report on Monday, June 8th. Guggenheim initiated coverage on Paychex in a research report on Thursday, March 19th. They set a “neutral” rating for the company. Finally, Jefferies Financial Group reduced their price objective on Paychex from $110.00 to $105.00 and set a “hold” rating on the stock in a research note on Thursday, March 26th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, ten have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $105.80.

Paychex Price Performance

Shares of NASDAQ:PAYX opened at $106.35 on Friday. Paychex, Inc. has a one year low of $85.45 and a one year high of $148.11. The company has a debt-to-equity ratio of 1.22, a current ratio of 1.26 and a quick ratio of 1.26. The company has a market cap of $38.10 billion, a price-to-earnings ratio of 21.75 and a beta of 0.84. The firm has a 50 day simple moving average of $96.60 and a 200 day simple moving average of $98.76.

Paychex (NASDAQ:PAYX) last posted its earnings results on Wednesday, June 24th. The business services provider reported $1.32 earnings per share for the quarter, topping analysts’ consensus estimates of $1.31 by $0.01. The firm had revenue of $1.61 billion for the quarter, compared to analysts’ expectations of $1.60 billion. Paychex had a net margin of 27.03% and a return on equity of 50.90%. The company’s revenue was up 12.5% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.19 earnings per share. Paychex has set its FY 2027 guidance at 5.900-6.010 EPS. Research analysts predict that Paychex, Inc. will post 5.97 earnings per share for the current fiscal year.

Paychex Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, May 29th. Investors of record on Wednesday, May 13th were given a dividend of $1.19 per share. The ex-dividend date was Wednesday, May 13th. This represents a $4.76 dividend on an annualized basis and a yield of 4.5%. This is an increase from Paychex’s previous quarterly dividend of $1.08. Paychex’s dividend payout ratio is presently 97.34%.

Insiders Place Their Bets

In other Paychex news, Director Joseph M. Tucci sold 3,907 shares of the company’s stock in a transaction dated Friday, June 26th. The stock was sold at an average price of $98.25, for a total value of $383,862.75. Following the completion of the transaction, the director owned 67,364 shares of the company’s stock, valued at $6,618,513. This represents a 5.48% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.80% of the stock is owned by corporate insiders.

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.