Brokerages Expect Paychex, Inc. (NASDAQ:PAYX) to Post $0.67 Earnings Per Share


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Wall Street brokerages forecast that Paychex, Inc. (NASDAQ:PAYX) will announce earnings of $0.67 per share for the current fiscal quarter, according to Zacks. Eight analysts have provided estimates for Paychex’s earnings, with the lowest EPS estimate coming in at $0.66 and the highest estimate coming in at $0.71. Paychex posted earnings per share of $0.61 in the same quarter last year, which indicates a positive year-over-year growth rate of 9.8%. The business is expected to issue its next earnings results on Tuesday, July 6th.

According to Zacks, analysts expect that Paychex will report full year earnings of $3.00 per share for the current year, with EPS estimates ranging from $2.99 to $3.03. For the next financial year, analysts expect that the company will report earnings of $3.21 per share, with EPS estimates ranging from $3.10 to $3.30. Zacks Investment Research’s earnings per share calculations are a mean average based on a survey of research analysts that follow Paychex.

Paychex (NASDAQ:PAYX) last released its quarterly earnings data on Monday, April 5th. The business services provider reported $0.96 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.92 by $0.04. Paychex had a net margin of 26.66% and a return on equity of 37.99%. The business had revenue of $1.11 billion for the quarter, compared to analysts’ expectations of $1.11 billion. During the same quarter last year, the company earned $0.97 EPS. The company’s revenue for the quarter was down 2.7% compared to the same quarter last year.

PAYX has been the subject of several recent analyst reports. Robert W. Baird raised their target price on shares of Paychex from $82.00 to $94.00 and gave the stock an “outperform” rating in a report on Tuesday, April 13th. Morgan Stanley decreased their price target on shares of Paychex from $91.00 to $90.00 and set an “equal weight” rating for the company in a report on Tuesday, April 13th. Deutsche Bank Aktiengesellschaft raised their price target on shares of Paychex from $81.00 to $98.00 and gave the stock a “hold” rating in a report on Monday, January 4th. Argus raised their price objective on shares of Paychex from $103.00 to $105.00 and gave the company a “buy” rating in a research report on Tuesday, April 13th. Finally, Citigroup Inc. 3% Minimum Coupon Principal Protected Based Upon Russell raised their price objective on shares of Paychex from $93.00 to $105.00 in a research report on Tuesday, January 5th. Three equities research analysts have rated the stock with a sell rating, six have assigned a hold rating and four have issued a buy rating to the stock. The company currently has an average rating of “Hold” and an average target price of $93.00.

In other Paychex news, VP Michael E. Gioja sold 35,294 shares of the business’s stock in a transaction dated Monday, April 12th. The stock was sold at an average price of $95.53, for a total transaction of $3,371,635.82. Following the completion of the sale, the vice president now directly owns 79,015 shares of the company’s stock, valued at approximately $7,548,302.95. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Martin Mucci sold 50,000 shares of the business’s stock in a transaction dated Friday, February 26th. The stock was sold at an average price of $91.09, for a total value of $4,554,500.00. In the last quarter, insiders have sold 89,047 shares of company stock worth $8,289,914. 11.70% of the stock is owned by corporate insiders.

Institutional investors and hedge funds have recently modified their holdings of the stock. JJJ Advisors Inc. grew its position in shares of Paychex by 857.1% in the 4th quarter. JJJ Advisors Inc. now owns 268 shares of the business services provider’s stock valued at $25,000 after purchasing an additional 240 shares during the period. Addison Advisors LLC acquired a new position in shares of Paychex in the 4th quarter valued at approximately $25,000. Reby Advisors LLC acquired a new position in Paychex during the 4th quarter worth approximately $28,000. Pflug Koory LLC acquired a new position in Paychex during the 4th quarter worth approximately $30,000. Finally, International Assets Investment Management LLC acquired a new position in Paychex during the 4th quarter worth approximately $30,000. Institutional investors and hedge funds own 70.00% of the company’s stock.

Paychex stock opened at $99.06 on Friday. The stock has a market cap of $35.70 billion, a price-to-earnings ratio of 33.81, a PEG ratio of 3.81 and a beta of 0.90. The company has a current ratio of 1.28, a quick ratio of 1.28 and a debt-to-equity ratio of 0.28. The company’s 50-day moving average price is $97.72 and its two-hundred day moving average price is $92.25. Paychex has a 52 week low of $60.00 and a 52 week high of $101.15.

The company also recently announced a quarterly dividend, which will be paid on Thursday, May 27th. Stockholders of record on Wednesday, May 12th will be paid a $0.66 dividend. This represents a $2.64 annualized dividend and a dividend yield of 2.67%. The ex-dividend date of this dividend is Tuesday, May 11th. This is an increase from Paychex’s previous quarterly dividend of $0.62. Paychex’s payout ratio is currently 82.67%.

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 and Europe. The company offers payroll processing services; payroll tax administration services; employee payment services; and regulatory compliance services, such as new-hire reporting and garnishment processing.

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Earnings History and Estimates for Paychex (NASDAQ:PAYX)

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