XXEC Inc. Makes New Investment in Paychex, Inc. $PAYX

XXEC Inc. bought a new stake in Paychex, Inc. (NASDAQ:PAYX) during the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The fund bought 156,379 shares of the business services provider’s stock, valued at approximately $15,124,000. Paychex makes up approximately 0.0% of XXEC Inc.’s investment portfolio, making the stock its 23rd largest holding.

Other large investors have also made changes to their positions in the company. Cornerstone Planning Group LLC increased its position in shares of Paychex by 957.1% during the 4th quarter. Cornerstone Planning Group LLC now owns 296 shares of the business services provider’s stock worth $30,000 after purchasing an additional 268 shares in the last quarter. Hilton Head Capital Partners LLC bought a new position in Paychex during the 4th quarter valued at about $31,000. Kingdom Financial Group LLC. acquired a new position in Paychex in the fourth quarter valued at about $33,000. Leonteq Securities AG boosted its position in Paychex by 2,669.2% in the first quarter. Leonteq Securities AG now owns 360 shares of the business services provider’s stock valued at $33,000 after buying an additional 347 shares in the last quarter. Finally, Acumen Wealth Advisors LLC bought a new stake in Paychex during the fourth quarter worth about $34,000. Institutional investors own 83.47% of the company’s stock.

Paychex Price Performance

Shares of PAYX stock opened at $126.48 on Friday. The firm has a market cap of $44.99 billion, a price-to-earnings ratio of 25.87 and a beta of 0.81. Paychex, Inc. has a 12 month low of $85.45 and a 12 month high of $139.53. 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 stock has a 50-day moving average price of $113.19 and a 200 day moving average price of $100.77.

Paychex (NASDAQ:PAYX) last issued its earnings results on Wednesday, June 24th. The business services provider reported $1.32 earnings per share (EPS) 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 company had revenue of $1.61 billion for the quarter, compared to analyst estimates of $1.60 billion. During the same quarter last year, the firm earned $1.19 EPS. The company’s revenue for the quarter was up 12.5% on a year-over-year basis. Paychex has set its FY 2027 guidance at 5.900-6.010 EPS. Research analysts expect that Paychex, Inc. will post 5.96 EPS for the current year.

Paychex Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Tuesday, July 28th will be issued a dividend of $1.19 per share. This represents a $4.76 dividend on an annualized basis and a yield of 3.8%. The ex-dividend date of this dividend is Tuesday, July 28th. Paychex’s payout ratio is currently 97.34%.

Insider Buying and Selling at Paychex

In other Paychex news, CFO Robert L. Schrader sold 2,600 shares of the company’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 completion of the sale, the chief financial officer owned 18,547 shares in the company, valued at approximately $2,134,574.23. The trade was a 12.29% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, 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 value of $383,862.75. Following the completion of the transaction, the director owned 67,364 shares in the company, valued at $6,618,513. This represents a 5.48% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 0.80% of the company’s stock.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on PAYX shares. UBS Group raised their price objective on shares of Paychex from $105.00 to $115.00 and gave the stock a “neutral” rating in a report on Wednesday, July 22nd. Weiss Ratings raised Paychex from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday, July 20th. Jefferies Financial Group increased their price target on Paychex from $105.00 to $120.00 and gave the stock a “hold” rating in a research report on Wednesday, August 12th. Stifel Nicolaus raised their price target on Paychex from $105.00 to $110.00 and gave the company a “hold” rating in a report on Wednesday, June 17th. Finally, TD Cowen lifted their price objective on Paychex from $94.00 to $98.00 and gave the company a “hold” rating in a research report on Monday, June 8th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, ten have given a Hold rating and four have issued a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $109.20.

About Paychex

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.