Analysts Anticipate Paychex, Inc. (PAYX) to Announce $0.59 Earnings Per Share

Equities analysts predict that Paychex, Inc. (NASDAQ:PAYX) will post earnings per share of $0.59 for the current fiscal quarter, Zacks reports. Fifteen analysts have issued estimates for Paychex’s earnings, with the highest EPS estimate coming in at $0.61 and the lowest estimate coming in at $0.58. Paychex reported earnings per share of $0.56 during the same quarter last year, which would indicate a positive year over year growth rate of 5.4%. The company is expected to announce its next quarterly earnings results before the market opens on Thursday, December 21st.

According to Zacks, analysts expect that Paychex will report full-year earnings of $2.38 per share for the current year, with EPS estimates ranging from $2.35 to $2.40. For the next fiscal year, analysts forecast that the firm will report earnings of $2.56 per share, with EPS estimates ranging from $2.51 to $2.60. Zacks’ earnings per share calculations are an average based on a survey of research analysts that that provide coverage for Paychex.

Paychex (NASDAQ:PAYX) last posted its earnings results on Tuesday, October 3rd. The business services provider reported $0.62 earnings per share for the quarter, beating analysts’ consensus estimates of $0.60 by $0.02. Paychex had a net margin of 26.01% and a return on equity of 43.01%. The firm had revenue of $816.80 million during the quarter, compared to analyst estimates of $816.34 million. During the same period last year, the firm posted $0.60 earnings per share. Paychex’s revenue for the quarter was up 4.0% compared to the same quarter last year.

Several research firms have commented on PAYX. Bank of America lifted their price objective on shares of Paychex from $64.00 to $68.00 and gave the stock a “buy” rating in a research note on Wednesday, October 4th. Royal Bank Of Canada reaffirmed an “underperform” rating and set a $57.00 price objective (up from $54.00) on shares of Paychex in a research note on Wednesday, October 4th. Morgan Stanley reaffirmed an “equal weight” rating and set a $59.00 price objective (up from $55.00) on shares of Paychex in a research note on Wednesday, October 4th. Wells Fargo & Company lifted their price objective on shares of Paychex from $58.00 to $60.00 and gave the stock a “market perform” rating in a research note on Wednesday, October 4th. Finally, Robert W. Baird reaffirmed a “hold” rating and set a $64.00 price objective on shares of Paychex in a research note on Wednesday, October 4th. 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’s stock. Paychex has an average rating of “Hold” and an average target price of $60.07.

Paychex (NASDAQ PAYX) opened at $66.87 on Friday. Paychex has a fifty-two week low of $54.20 and a fifty-two week high of $67.88. The firm has a market cap of $24,186.45, a price-to-earnings ratio of 29.65, a P/E/G ratio of 3.65 and a beta of 0.99.

The firm also recently announced a quarterly dividend, which was paid on Wednesday, November 15th. Stockholders of record on Wednesday, November 1st were given a dividend of $0.50 per share. The ex-dividend date of this dividend was Tuesday, October 31st. This represents a $2.00 annualized dividend and a dividend yield of 2.99%. Paychex’s dividend payout ratio (DPR) is 87.34%.

In other news, VP Jennifer R. Vossler sold 11,155 shares of the business’s stock in a transaction dated Friday, October 6th. The stock was sold at an average price of $63.07, for a total transaction of $703,545.85. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, VP John B. Gibson sold 6,000 shares of the business’s stock in a transaction dated Tuesday, October 31st. The stock was sold at an average price of $63.70, for a total value of $382,200.00. Following the sale, the vice president now owns 21,758 shares in the company, valued at approximately $1,385,984.60. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 94,395 shares of company stock valued at $5,914,383. Corporate insiders own 11.70% of the company’s stock.

Several hedge funds have recently modified their holdings of PAYX. Salem Investment Counselors Inc. grew its stake in shares of Paychex by 0.6% during the second quarter. Salem Investment Counselors Inc. now owns 1,796 shares of the business services provider’s stock worth $102,000 after acquiring an additional 11 shares during the last quarter. Dupont Capital Management Corp purchased a new stake in shares of Paychex during the second quarter worth about $129,000. Sun Life Financial INC grew its stake in shares of Paychex by 23,260.0% during the second quarter. Sun Life Financial INC now owns 2,336 shares of the business services provider’s stock worth $133,000 after acquiring an additional 2,326 shares during the last quarter. San Francisco Sentry Investment Group CA purchased a new stake in Paychex in the second quarter valued at approximately $145,000. Finally, Bank of Nova Scotia Trust Co. purchased a new stake in Paychex in the third quarter valued at approximately $188,000. Institutional investors and hedge funds own 68.02% of the company’s stock.

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About Paychex

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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Earnings History and Estimates for Paychex (NASDAQ:PAYX)

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