Paychex (NASDAQ:PAYX) Price Target Raised to $130.00

by · The Markets Daily

Paychex (NASDAQ:PAYX – Free Report) had its target price upped by Stifel Nicolaus from $110.00 to $130.00 in a report released on Wednesday morning,Benzinga reports. The brokerage currently has a hold rating on the business services provider’s stock.

PAYX has been the subject of a number of other reports. Wells Fargo & Company increased their target price on shares of Paychex from $95.00 to $111.00 and gave the stock an “underweight” rating in a report on Wednesday. Weiss Ratings upgraded Paychex from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday, July 20th. JPMorgan Chase & Co. upped their price target on Paychex from $100.00 to $105.00 and gave the company an “underweight” rating in a research report on Thursday, June 25th. Morgan Stanley increased their price objective on Paychex from $107.00 to $109.00 and gave the stock an “equal weight” rating in a report on Tuesday, June 30th. Finally, UBS Group lifted their price objective on Paychex from $105.00 to $115.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 22nd. One research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, ten have assigned a Hold rating and four have issued a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $126.76.

Get Our Latest Stock Report on PAYX

Paychex Stock Up 0.5%

Shares of NASDAQ PAYX opened at $115.80 on Wednesday. The firm’s fifty day moving average is $117.92 and its 200 day moving average is $102.80. Paychex has a 52 week low of $85.45 and a 52 week high of $135.97. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 1.22. The company has a market cap of $41.19 billion, a price-to-earnings ratio of 23.68, a PEG ratio of 2.42 and a beta of 0.82.

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

Paychex Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, August 28th. Investors of record on Tuesday, July 28th were given a dividend of $1.19 per share. The ex-dividend date was Tuesday, July 28th. This represents a $4.76 annualized dividend and a dividend yield of 4.1%. Paychex’s payout ratio is currently 97.34%.

Insider Buying and Selling at Paychex

In other Paychex news, Director Joseph M. Tucci sold 3,907 shares of the firm’s stock in a transaction on Friday, June 26th. The stock was sold at an average price of $98.25, for a total transaction of $383,862.75. Following the completion of the transaction, the director owned 67,364 shares of the company’s stock, valued at approximately $6,618,513. This trade represents a 5.48% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CFO Robert L. Schrader sold 2,600 shares of the business’s stock in a transaction on Monday, July 20th. The shares were sold at an average price of $115.09, for a total transaction of $299,234.00. Following the sale, the chief financial officer owned 18,547 shares in the company, valued at approximately $2,134,574.23. This trade represents a 12.29% decrease in their position. The disclosure for this sale is available in the SEC filing. 0.80% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the business. XXEC Inc. purchased a new stake in Paychex in the second quarter worth about $1,123,016,000. California State Teachers Retirement System lifted its holdings in shares of Paychex by 10,017.6% during the second quarter. California State Teachers Retirement System now owns 56,750,570 shares of the business services provider’s stock valued at $5,580,284,000 after purchasing an additional 56,189,662 shares during the last quarter. BlackRock Inc. purchased a new position in shares of Paychex during the second quarter valued at approximately $2,728,970,000. Capital International Investors lifted its holdings in shares of Paychex by 59.1% during the fourth quarter. Capital International Investors now owns 30,265,174 shares of the business services provider’s stock valued at $3,395,583,000 after purchasing an additional 11,243,295 shares during the last quarter. Finally, Bank of America Corp DE bought a new stake in shares of Paychex in the 2nd quarter worth approximately $434,061,000. 83.47% of the stock is currently owned by institutional investors.

Paychex Company Profile

(Get Free Report)

Paychex, Inc is a provider of payroll, human resources, and workforce management solutions for businesses of varying sizes. Its offerings include payroll processing, tax administration, time and attendance tracking, employee benefits administration, retirement services, workers’ compensation and business insurance, recruiting, and compliance support.

The company also provides professional employer organization services, helping businesses manage employment administration and human resources through an integrated platform.

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