Short Interest in TriNet Group, Inc. (NYSE:TNET) Drops By 22.5%

TriNet Group, Inc. (NYSE:TNET) was the target of a large decrease in short interest in January. As of January 30th, there was short interest totaling 1,773,966 shares, a decrease of 22.5% from the January 15th total of 2,288,752 shares. Currently, 5.9% of the shares of the stock are short sold. Based on an average trading volume of 332,678 shares, the short-interest ratio is currently 5.3 days. Based on an average trading volume of 332,678 shares, the short-interest ratio is currently 5.3 days. Currently, 5.9% of the shares of the stock are short sold.

TriNet Group Trading Down 1.3%

Shares of TNET traded down $0.54 during trading hours on Monday, reaching $39.81. 1,277,312 shares of the company traded hands, compared to its average volume of 529,037. The stock’s fifty day moving average price is $58.11 and its 200 day moving average price is $61.50. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 16.57. The firm has a market cap of $1.88 billion, a price-to-earnings ratio of 12.60 and a beta of 0.81. TriNet Group has a 12-month low of $38.61 and a 12-month high of $88.56.

TriNet Group (NYSE:TNET) last posted its quarterly earnings results on Thursday, February 12th. The business services provider reported $0.46 EPS for the quarter, topping the consensus estimate of $0.37 by $0.09. The company had revenue of $1.25 billion for the quarter, compared to the consensus estimate of $251.57 million. TriNet Group had a net margin of 3.09% and a return on equity of 215.01%. The firm’s revenue was down 2.3% compared to the same quarter last year. During the same quarter last year, the firm posted $0.44 EPS. TriNet Group has set its FY 2026 guidance at 3.700-4.700 EPS. Sell-side analysts forecast that TriNet Group will post 3.04 earnings per share for the current year.

TriNet Group Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, January 26th. Investors of record on Friday, January 2nd were paid a $0.275 dividend. The ex-dividend date of this dividend was Friday, January 2nd. This represents a $1.10 annualized dividend and a yield of 2.8%. TriNet Group’s dividend payout ratio is 34.81%.

TriNet Group announced that its Board of Directors has authorized a stock buyback program on Thursday, February 12th that permits the company to repurchase $400.00 million in shares. This repurchase authorization permits the business services provider to purchase up to 18.4% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s management believes its shares are undervalued.

Insider Activity

In other TriNet Group news, CTO Jeffery Jon Hayward sold 1,437 shares of TriNet Group stock in a transaction on Tuesday, November 25th. The shares were sold at an average price of $57.51, for a total value of $82,641.87. Following the completion of the transaction, the chief technology officer directly owned 27,922 shares of the company’s stock, valued at $1,605,794.22. This trade represents a 4.89% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, SVP Sidney A. Majalya sold 775 shares of the company’s stock in a transaction dated Friday, January 9th. The shares were sold at an average price of $61.86, for a total transaction of $47,941.50. Following the sale, the senior vice president owned 19,853 shares in the company, valued at $1,228,106.58. This represents a 3.76% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 2,798 shares of company stock worth $162,593. 37.10% of the stock is currently owned by insiders.

Institutional Trading of TriNet Group

Hedge funds have recently added to or reduced their stakes in the business. Massachusetts Financial Services Co. MA raised its holdings in shares of TriNet Group by 19.7% in the 3rd quarter. Massachusetts Financial Services Co. MA now owns 2,353,004 shares of the business services provider’s stock valued at $157,392,000 after purchasing an additional 387,940 shares in the last quarter. Boston Partners purchased a new position in TriNet Group during the third quarter valued at approximately $97,712,000. American Century Companies Inc. raised its stake in TriNet Group by 14.4% in the third quarter. American Century Companies Inc. now owns 1,327,636 shares of the business services provider’s stock worth $88,806,000 after buying an additional 167,599 shares in the last quarter. Earnest Partners LLC raised its stake in TriNet Group by 3.4% in the fourth quarter. Earnest Partners LLC now owns 898,319 shares of the business services provider’s stock worth $53,118,000 after buying an additional 29,613 shares in the last quarter. Finally, Dimensional Fund Advisors LP lifted its holdings in TriNet Group by 0.6% during the fourth quarter. Dimensional Fund Advisors LP now owns 893,701 shares of the business services provider’s stock worth $52,845,000 after buying an additional 5,036 shares during the period. 96.81% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of brokerages have issued reports on TNET. Weiss Ratings restated a “sell (d+)” rating on shares of TriNet Group in a research report on Wednesday, January 21st. Zacks Research downgraded TriNet Group from a “strong-buy” rating to a “hold” rating in a research report on Monday, December 29th. Stifel Nicolaus lowered their price target on TriNet Group from $97.00 to $75.00 and set a “buy” rating for the company in a research report on Friday. Truist Financial assumed coverage on shares of TriNet Group in a research report on Friday, December 5th. They set a “hold” rating and a $62.00 price objective on the stock. Finally, JPMorgan Chase & Co. lowered their target price on shares of TriNet Group from $75.00 to $65.00 and set an “underweight” rating for the company in a report on Thursday, October 30th. One investment analyst has rated the stock with a Buy rating, five have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Reduce” and an average price target of $65.80.

TriNet Group Company Profile

TriNet Group, Inc is a leading professional employer organization (PEO) that offers integrated human capital management solutions to small and medium-size businesses. Through a bundled suite of services, TriNet manages payroll administration, employee benefits, workers’ compensation, risk mitigation and federal and state compliance. Its cloud-based platform provides clients with centralized access to HR tools, analytics and streamlined workforce management capabilities.

Founded in 1988 and headquartered in Dublin, California, TriNet has grown to support thousands of organizations across the United States.