Ieq Capital LLC Takes $14.49 Million Position in Paychex, Inc. $PAYX

Ieq Capital LLC bought a new position in Paychex, Inc. (NASDAQ:PAYX) during the second quarter, Holdings Channel reports. The fund bought 147,345 shares of the business services provider’s stock, valued at approximately $14,488,000.

A number of other hedge funds and other institutional investors have also recently modified their holdings of the business. Hilton Head Capital Partners LLC purchased a new position in Paychex during the 4th quarter valued at about $31,000. Cornerstone Planning Group LLC boosted its stake in Paychex by 957.1% during the fourth 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. Kingdom Financial Group LLC. purchased a new stake in Paychex in the fourth quarter worth about $33,000. Acumen Wealth Advisors LLC purchased a new stake in Paychex in the fourth quarter worth about $34,000. Finally, Wealth Watch Advisors INC purchased a new stake in Paychex in the third quarter worth about $42,000. 83.47% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several equities analysts have recently issued reports on PAYX shares. Cantor Fitzgerald reiterated an “underweight” rating and set a $107.00 target price on shares of Paychex in a report on Monday, July 20th. Citigroup upped their price target on Paychex from $140.00 to $150.00 and gave the stock a “buy” rating in a research note on Thursday, July 30th. Morgan Stanley raised their price objective on Paychex from $107.00 to $109.00 and gave the company an “equal weight” rating in a research report on Tuesday, June 30th. JPMorgan Chase & Co. lifted their price objective on Paychex from $100.00 to $105.00 and gave the company an “underweight” rating in a research note on Thursday, June 25th. Finally, Stifel Nicolaus boosted their target price on Paychex from $105.00 to $110.00 and gave the stock a “hold” rating in a report on Wednesday, June 17th. One 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 given a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $109.20.

Paychex Stock Up 1.3%

Shares of Paychex stock opened at $124.47 on Friday. The company has a 50-day simple moving average of $111.08 and a two-hundred day simple moving average of $100.01. The stock has a market capitalization of $44.27 billion, a PE ratio of 25.45 and a beta of 0.81. Paychex, Inc. has a 52-week low of $85.45 and a 52-week high of $141.19. The company has a debt-to-equity ratio of 1.22, a quick ratio of 1.26 and a current ratio of 1.26.

Paychex (NASDAQ:PAYX) last posted its quarterly earnings results on Wednesday, June 24th. The business services provider reported $1.32 EPS for the quarter, beating analysts’ consensus estimates of $1.31 by $0.01. Paychex had a net margin of 27.03% and a return on equity of 50.90%. The firm had revenue of $1.61 billion for the quarter, compared to analysts’ expectations of $1.60 billion. During the same quarter in the prior year, the company posted $1.19 earnings per share. The business’s revenue for the quarter was up 12.5% on a year-over-year basis. Paychex has set its FY 2027 guidance at 5.900-6.010 EPS. On average, analysts anticipate that Paychex, Inc. will post 5.96 EPS for the current fiscal year.

Paychex Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Stockholders of record on Tuesday, July 28th will be paid a $1.19 dividend. The ex-dividend date is Tuesday, July 28th. This represents a $4.76 dividend on an annualized basis and a dividend yield of 3.8%. Paychex’s payout ratio is currently 97.34%.

Insider Activity at Paychex

In other Paychex news, Director Joseph M. Tucci sold 3,907 shares of Paychex stock in a transaction that occurred on Friday, June 26th. The shares were sold at an average price of $98.25, for a total value of $383,862.75. Following the completion of the sale, the director owned 67,364 shares of the company’s stock, valued at approximately $6,618,513. The trade was a 5.48% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Robert L. Schrader sold 2,600 shares of the stock in a transaction on Monday, July 20th. The shares were sold at an average price of $115.09, for a total value of $299,234.00. Following the transaction, the chief financial officer directly owned 18,547 shares in the company, valued at $2,134,574.23. The trade was a 12.29% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.80% of the stock is owned by 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.