$815.68 Million in Sales Expected for Paychex, Inc. (PAYX) This Quarter
Brokerages predict that Paychex, Inc. (NASDAQ:PAYX) will report $815.68 million in sales for the current quarter, according to Zacks. Thirteen analysts have made estimates for Paychex’s earnings, with the highest sales estimate coming in at $819.96 million and the lowest estimate coming in at $810.20 million. Paychex posted sales of $785.50 million during the same quarter last year, which suggests a positive year over year growth rate of 3.8%. The firm is expected to issue its next quarterly earnings report on Wednesday, September 27th.
According to Zacks, analysts expect that Paychex will report full year sales of $815.68 million for the current fiscal year, with estimates ranging from $3.30 billion to $3.35 billion. For the next year, analysts anticipate that the company will report sales of $3.50 billion per share, with estimates ranging from $3.45 billion to $3.56 billion. Zacks’ sales averages are a mean average based on a survey of analysts that that provide coverage for Paychex.
Paychex (NASDAQ:PAYX) last announced its quarterly earnings data on Wednesday, June 28th. The business services provider reported $0.54 EPS for the quarter, beating the Zacks’ consensus estimate of $0.53 by $0.01. The business had revenue of $799 million during the quarter, compared to analyst estimates of $797.70 million. Paychex had a net margin of 25.93% and a return on equity of 42.65%. The firm’s revenue for the quarter was up 6.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.49 earnings per share.
Several analysts have weighed in on the stock. William Blair cut shares of Paychex from an “outperform” rating to a “market perform” rating in a research note on Friday. BidaskClub lowered shares of Paychex from a “sell” rating to a “strong sell” rating in a report on Saturday, July 1st. J P Morgan Chase & Co reissued a “neutral” rating and issued a $60.00 target price (down from $62.00) on shares of Paychex in a report on Friday, June 30th. Morgan Stanley decreased their target price on shares of Paychex from $56.00 to $55.00 and set an “underweight” rating on the stock in a report on Friday, June 30th. Finally, Robert W. Baird decreased their target price on shares of Paychex from $63.00 to $60.00 and set a “neutral” rating on the stock in a report on Friday, June 30th. Five research analysts have rated the stock with a sell rating, eleven have issued a hold rating and one has assigned a buy rating to the company’s stock. Paychex currently has an average rating of “Hold” and an average price target of $59.16.
Paychex (PAYX) opened at 57.20 on Friday. The stock’s 50 day moving average is $58.50 and its 200-day moving average is $59.49. The firm has a market cap of $20.56 billion, a price-to-earnings ratio of 25.42 and a beta of 0.96. Paychex has a 12 month low of $52.78 and a 12 month high of $63.03.
The firm also recently announced a quarterly dividend, which will be paid on Thursday, August 24th. Shareholders of record on Tuesday, August 1st will be issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 3.50%. This is a positive change from Paychex’s previous quarterly dividend of $0.46. The ex-dividend date is Friday, July 28th.
In other Paychex news, CEO Martin Mucci sold 30,000 shares of the business’s stock in a transaction that occurred on Thursday, July 13th. The shares were sold at an average price of $57.04, for a total transaction of $1,711,200.00. Following the sale, the chief executive officer now directly owns 237,754 shares of the company’s stock, valued at approximately $13,561,488.16. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, VP Jennifer R. Vossler sold 10,000 shares of the business’s stock in a transaction that occurred on Friday, May 5th. The stock was sold at an average price of $58.76, for a total transaction of $587,600.00. Following the sale, the vice president now directly owns 33,483 shares in the company, valued at $1,967,461.08. The disclosure for this sale can be found here. Insiders have sold a total of 148,151 shares of company stock worth $8,604,108 over the last three months. Insiders own 11.60% of the company’s stock.
Hedge funds and other institutional investors have recently modified their holdings of the company. Parkside Financial Bank & Trust increased its position in shares of Paychex by 23.8% in the first quarter. Parkside Financial Bank & Trust now owns 2,935 shares of the business services provider’s stock worth $173,000 after buying an additional 564 shares during the period. Kernodle & Katon Asset Management Group LLC increased its position in shares of Paychex by 37.7% in the first quarter. Kernodle & Katon Asset Management Group LLC now owns 3,166 shares of the business services provider’s stock worth $186,000 after buying an additional 867 shares during the period. Koshinski Asset Management Inc. purchased a new position in shares of Paychex during the second quarter worth about $201,000. Denver Investment Advisors LLC increased its position in shares of Paychex by 7.7% in the first quarter. Denver Investment Advisors LLC now owns 3,791 shares of the business services provider’s stock worth $223,000 after buying an additional 271 shares during the period. Finally, King Wealth Management Group LLC increased its position in shares of Paychex by 0.8% in the first quarter. King Wealth Management Group LLC now owns 3,793 shares of the business services provider’s stock worth $223,000 after buying an additional 30 shares during the period. Hedge funds and other institutional investors own 68.51% of the company’s stock.
Paychex, Inc is a provider of integrated human capital management (HCM) solutions for payroll, human resource (HR), retirement and insurance services for small- to medium-sized businesses in the United States. The Company also has operations in Germany. The Company offers services, including Payroll processing, Human Resource Services, and Accounting and Financial Services.
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