Paychex, Inc. (PAYX) Expected to Post Quarterly Sales of $820.96 Million
Analysts expect Paychex, Inc. (NASDAQ:PAYX) to report $820.96 million in sales for the current quarter, Zacks reports. Fourteen analysts have provided estimates for Paychex’s earnings, with the lowest sales estimate coming in at $810.85 million and the highest estimate coming in at $826.40 million. Paychex posted sales of $771.40 million in the same quarter last year, which would indicate a positive year-over-year growth rate of 6.4%. The firm is expected to report its next earnings results on Wednesday, December 20th.
According to Zacks, analysts expect that Paychex will report full year sales of $820.96 million for the current fiscal year, with estimates ranging from $3.31 billion to $3.36 billion. For the next year, analysts expect that the business will post sales of $3.55 billion per share, with estimates ranging from $3.48 billion to $3.58 billion. Zacks Investment Research’s sales calculations are an average based on a survey of analysts that cover Paychex.
Paychex (NASDAQ:PAYX) last issued its earnings results on Tuesday, October 3rd. The business services provider reported $0.62 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.60 by $0.02. The business had revenue of $816.80 million during the quarter, compared to analysts’ expectations of $816.34 million. Paychex had a return on equity of 43.01% and a net margin of 26.01%. Paychex’s revenue was up 4.0% compared to the same quarter last year. During the same quarter last year, the firm posted $0.60 earnings per share.
PAYX has been the subject of a number of recent analyst reports. Bank of America Corporation upped their price objective on shares of Paychex from $64.00 to $68.00 and gave the company a “buy” rating in a research report on Wednesday, October 4th. Morgan Stanley upgraded shares of Paychex from an “underweight” rating to an “equal weight” rating and set a $55.00 price objective for the company in a research report on Wednesday, August 16th. They noted that the move was a valuation call. Stifel Nicolaus restated a “hold” rating and issued a $61.00 price objective on shares of Paychex in a research report on Friday, August 18th. Robert W. Baird restated a “hold” rating and issued a $64.00 price objective on shares of Paychex in a research report on Wednesday, October 4th. Finally, BMO Capital Markets restated a “hold” rating and issued a $60.00 price objective on shares of Paychex in a research report on Thursday, June 29th. Five analysts have rated the stock with a sell rating, twelve have issued a hold rating and two have assigned a buy rating to the company. The stock has an average rating of “Hold” and an average target price of $60.07.
Paychex (NASDAQ PAYX) traded up 0.80% during mid-day trading on Thursday, reaching $64.59. The company had a trading volume of 1,374,208 shares. The firm’s 50-day moving average price is $60.91 and its 200-day moving average price is $58.60. Paychex has a 12 month low of $52.78 and a 12 month high of $64.84. The stock has a market cap of $23.19 billion, a PE ratio of 28.33 and a beta of 0.98.
The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, November 15th. Stockholders of record on Wednesday, November 1st will be paid a dividend of $0.50 per share. The ex-dividend date is Tuesday, October 31st. This represents a $2.00 dividend on an annualized basis and a dividend yield of 3.10%. Paychex’s dividend payout ratio is 87.34%.
In other news, VP Laurie L. Zaucha sold 15,000 shares of the stock in a transaction dated Tuesday, October 3rd. The shares were sold at an average price of $62.00, for a total transaction of $930,000.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, VP Laurie L. Zaucha sold 17,354 shares of the stock in a transaction dated Tuesday, October 10th. The stock was sold at an average price of $64.00, for a total transaction of $1,110,656.00. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 88,395 shares of company stock valued at $5,532,183. Company insiders own 11.70% of the company’s stock.
Several institutional investors have recently bought and sold shares of PAYX. BlackRock Inc. boosted its stake in shares of Paychex by 2,782.5% during the 1st quarter. BlackRock Inc. now owns 25,717,903 shares of the business services provider’s stock worth $1,514,786,000 after buying an additional 24,825,695 shares during the last quarter. Janus Henderson Group PLC boosted its stake in shares of Paychex by 4,105.7% during the 2nd quarter. Janus Henderson Group PLC now owns 1,830,532 shares of the business services provider’s stock worth $104,230,000 after buying an additional 1,787,007 shares during the last quarter. Arrowstreet Capital Limited Partnership boosted its stake in shares of Paychex by 2,391.8% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 1,362,988 shares of the business services provider’s stock worth $77,609,000 after buying an additional 1,308,288 shares during the last quarter. Mawer Investment Management Ltd. acquired a new position in shares of Paychex during the 2nd quarter worth about $45,209,000. Finally, FMR LLC boosted its stake in shares of Paychex by 6.2% during the 2nd quarter. FMR LLC now owns 10,476,188 shares of the business services provider’s stock worth $596,514,000 after buying an additional 610,088 shares during the last quarter. Institutional investors own 67.16% of the company’s stock.
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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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