United Asset Strategies Inc. Grows Position in Paychex, Inc. (NASDAQ:PAYX)

United Asset Strategies Inc. lifted its stake in Paychex, Inc. (NASDAQ:PAYX) by 9.6% during the 4th quarter, according to its most recent disclosure with the SEC. The institutional investor owned 15,085 shares of the business services provider’s stock after buying an additional 1,316 shares during the quarter. United Asset Strategies Inc.’s holdings in Paychex were worth $1,797,000 at the end of the most recent reporting period.

Other hedge funds have also recently modified their holdings of the company. OFI Invest Asset Management purchased a new stake in Paychex during the third quarter valued at $26,000. Carmel Capital Partners LLC bought a new position in Paychex during the 3rd quarter valued at about $28,000. Larson Financial Group LLC grew its holdings in Paychex by 91.5% during the 3rd quarter. Larson Financial Group LLC now owns 272 shares of the business services provider’s stock valued at $31,000 after purchasing an additional 130 shares during the last quarter. DHJJ Financial Advisors Ltd. bought a new position in Paychex during the 3rd quarter valued at about $33,000. Finally, Fortis Group Advisors LLC bought a new position in Paychex during the 3rd quarter valued at about $34,000. Hedge funds and other institutional investors own 83.47% of the company’s stock.

Paychex Stock Down 1.1 %

NASDAQ:PAYX opened at $121.14 on Wednesday. The firm has a market capitalization of $43.61 billion, a P/E ratio of 26.39, a PEG ratio of 3.45 and a beta of 0.93. Paychex, Inc. has a 1-year low of $104.09 and a 1-year high of $129.70. The company’s fifty day moving average price is $122.26 and its 200-day moving average price is $120.16. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.24 and a quick ratio of 1.24.

Paychex (NASDAQ:PAYX) last released its quarterly earnings data on Tuesday, April 2nd. The business services provider reported $1.38 earnings per share for the quarter, topping analysts’ consensus estimates of $1.37 by $0.01. The firm had revenue of $1.44 billion for the quarter, compared to analyst estimates of $1.46 billion. Paychex had a net margin of 31.86% and a return on equity of 46.14%. The business’s quarterly revenue was up 4.2% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.29 earnings per share. As a group, equities research analysts anticipate that Paychex, Inc. will post 4.71 EPS for the current year.

Paychex Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, February 27th. Investors of record on Tuesday, February 13th were given a dividend of $0.89 per share. The ex-dividend date was Monday, February 12th. This represents a $3.56 annualized dividend and a yield of 2.94%. Paychex’s dividend payout ratio is presently 77.56%.

Paychex declared that its board has initiated a stock buyback plan on Friday, January 19th that authorizes the company to buyback $400.00 million in outstanding shares. This buyback authorization authorizes the business services provider to purchase up to 0.9% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s leadership believes its stock is undervalued.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on PAYX shares. Royal Bank of Canada reiterated a “sector perform” rating and set a $130.00 price target on shares of Paychex in a report on Wednesday, April 3rd. Stifel Nicolaus upped their price target on shares of Paychex from $124.00 to $130.00 and gave the stock a “hold” rating in a research report on Friday, December 22nd. Barclays lowered their price target on shares of Paychex from $126.00 to $120.00 and set an “equal weight” rating for the company in a research report on Friday, December 22nd. Wedbush reaffirmed a “neutral” rating and issued a $115.00 price target on shares of Paychex in a research report on Wednesday, April 3rd. Finally, Citigroup lowered their price target on shares of Paychex from $130.00 to $125.00 and set a “neutral” rating for the company in a research report on Tuesday, December 26th. Two research analysts have rated the stock with a sell rating and ten have given a hold rating to the company. Based on data from MarketBeat.com, Paychex currently has an average rating of “Hold” and a consensus target price of $123.00.

Insider Activity at Paychex

In related news, VP Mark Anthony Bottini sold 15,481 shares of the firm’s stock in a transaction on Monday, January 29th. The shares were sold at an average price of $120.53, for a total transaction of $1,865,924.93. Following the sale, the vice president now owns 82,690 shares in the company, valued at $9,966,625.70. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. 11.50% of the stock is owned by company insiders.

Paychex Company Profile

Paychex, Inc provides integrated human capital management solutions for human resources (HR), payroll, benefits, and insurance services for small to medium-sized businesses in the United States, Europe, and India. It offers payroll processing services; payroll tax administration services; employee payment services; and regulatory compliance services, such as new-hire reporting and garnishment processing.