Erste Asset Management GmbH Sells 11,471 Shares of Paychex, Inc. $PAYX

Erste Asset Management GmbH decreased its stake in Paychex, Inc. (NASDAQ:PAYX) by 17.0% during the 3rd quarter, HoldingsChannel.com reports. The fund owned 56,107 shares of the business services provider’s stock after selling 11,471 shares during the period. Erste Asset Management GmbH’s holdings in Paychex were worth $7,211,000 as of its most recent filing with the SEC.

A number of other institutional investors and hedge funds have also recently modified their holdings of PAYX. Andra AP fonden raised its holdings in shares of Paychex by 48.1% in the 3rd quarter. Andra AP fonden now owns 163,200 shares of the business services provider’s stock worth $20,687,000 after purchasing an additional 53,021 shares during the period. R Squared Ltd bought a new stake in shares of Paychex in the third quarter valued at $1,148,000. Integrated Advisors Network LLC lifted its position in shares of Paychex by 2.3% during the 3rd quarter. Integrated Advisors Network LLC now owns 4,410 shares of the business services provider’s stock valued at $559,000 after buying an additional 101 shares during the last quarter. Westpac Banking Corp grew its stake in shares of Paychex by 317.3% during the 3rd quarter. Westpac Banking Corp now owns 7,820 shares of the business services provider’s stock worth $991,000 after acquiring an additional 5,946 shares during the period. Finally, Mitsubishi UFJ Asset Management Co. Ltd. increased its holdings in Paychex by 3.9% in the 3rd quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 671,053 shares of the business services provider’s stock worth $85,063,000 after acquiring an additional 25,473 shares during the last quarter. 83.47% of the stock is owned by institutional investors.

Paychex Stock Performance

NASDAQ:PAYX opened at $93.65 on Friday. The stock has a market cap of $33.62 billion, a P/E ratio of 21.24 and a beta of 0.90. The company has a quick ratio of 1.27, a current ratio of 1.27 and a debt-to-equity ratio of 1.17. The business’s 50-day moving average price is $104.01 and its two-hundred day moving average price is $117.05. Paychex, Inc. has a twelve month low of $86.89 and a twelve month high of $161.24.

Paychex (NASDAQ:PAYX) last posted its quarterly earnings data on Friday, December 19th. The business services provider reported $1.26 earnings per share for the quarter, topping the consensus estimate of $1.23 by $0.03. The company had revenue of $1.56 billion for the quarter, compared to analysts’ expectations of $1.55 billion. Paychex had a net margin of 26.45% and a return on equity of 46.38%. Paychex’s revenue for the quarter was up 18.3% compared to the same quarter last year. During the same period in the prior year, the business earned $1.14 earnings per share. Paychex has set its FY 2026 guidance at 5.480-5.530 EPS. As a group, equities analysts predict that Paychex, Inc. will post 4.99 EPS for the current fiscal year.

Paychex announced that its board has authorized a share buyback plan on Friday, January 16th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the business services provider to reacquire up to 2.5% of its stock through open market purchases. Stock buyback plans are typically a sign that the company’s leadership believes its stock is undervalued.

Paychex Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, February 27th. Stockholders of record on Wednesday, January 28th were issued a dividend of $1.08 per share. This represents a $4.32 dividend on an annualized basis and a dividend yield of 4.6%. The ex-dividend date of this dividend was Wednesday, January 28th. Paychex’s payout ratio is currently 97.96%.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on PAYX shares. Morgan Stanley lowered their price objective on Paychex from $133.00 to $123.00 and set an “equal weight” rating on the stock in a research note on Monday, December 22nd. Royal Bank Of Canada dropped their price target on shares of Paychex from $150.00 to $125.00 and set a “sector perform” rating on the stock in a research note on Friday, December 5th. Stephens reduced their price objective on shares of Paychex from $135.00 to $125.00 and set an “equal weight” rating for the company in a research note on Monday, December 22nd. Wolfe Research dropped their target price on Paychex from $130.00 to $115.00 and set an “underperform” rating on the stock in a research report on Wednesday, December 10th. Finally, Argus cut their price target on Paychex from $150.00 to $130.00 and set a “buy” rating for the company in a report on Friday, January 2nd. One research analyst has rated the stock with a Buy rating, thirteen have assigned a Hold rating and four have given a Sell rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Reduce” and an average price target of $123.94.

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.