Carnegie Investment Counsel Raises Position in Paychex, Inc. $PAYX

Carnegie Investment Counsel increased its stake in Paychex, Inc. (NASDAQ:PAYX) by 60.9% in the first quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 22,765 shares of the business services provider’s stock after buying an additional 8,620 shares during the quarter. Carnegie Investment Counsel’s holdings in Paychex were worth $2,097,000 as of its most recent filing with the SEC.

Several other hedge funds have also modified their holdings of PAYX. Citizens Financial Group Inc. RI grew its position in Paychex by 26.3% in the first quarter. Citizens Financial Group Inc. RI now owns 9,797 shares of the business services provider’s stock valued at $903,000 after acquiring an additional 2,037 shares in the last quarter. Fifth Third Bancorp lifted its position in shares of Paychex by 361.3% during the first quarter. Fifth Third Bancorp now owns 162,792 shares of the business services provider’s stock worth $14,996,000 after purchasing an additional 127,503 shares in the last quarter. Van Cleef Asset Management Inc lifted its position in shares of Paychex by 10.3% during the first quarter. Van Cleef Asset Management Inc now owns 227,971 shares of the business services provider’s stock worth $21,001,000 after purchasing an additional 21,330 shares in the last quarter. Simplicity Wealth LLC boosted its stake in shares of Paychex by 76.1% in the first quarter. Simplicity Wealth LLC now owns 4,118 shares of the business services provider’s stock valued at $379,000 after purchasing an additional 1,780 shares during the period. Finally, Sequoia Financial Advisors LLC boosted its stake in shares of Paychex by 2.5% in the first quarter. Sequoia Financial Advisors LLC now owns 18,400 shares of the business services provider’s stock valued at $1,695,000 after purchasing an additional 453 shares during the period. 83.47% of the stock is currently owned by hedge funds and other institutional investors.

Paychex Price Performance

PAYX opened at $110.75 on Tuesday. The company has a market capitalization of $39.68 billion, a P/E ratio of 22.65 and a beta of 0.84. The company has a 50-day moving average of $98.53 and a 200-day moving average of $98.34. The company has a debt-to-equity ratio of 1.22, a quick ratio of 1.26 and a current ratio of 1.26. Paychex, Inc. has a 1-year low of $85.45 and a 1-year high of $148.11.

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

Paychex Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, May 29th. Stockholders of record on Wednesday, May 13th were issued a $1.19 dividend. This is a positive change from Paychex’s previous quarterly dividend of $1.08. The ex-dividend date was Wednesday, May 13th. This represents a $4.76 dividend on an annualized basis and a dividend yield of 4.3%. Paychex’s dividend payout ratio (DPR) is presently 97.34%.

Insider Activity

In related news, Director Joseph M. Tucci sold 3,907 shares of the company’s stock in a transaction that occurred on Friday, June 26th. The stock was sold at an average price of $98.25, for a total transaction of $383,862.75. Following the sale, the director directly owned 67,364 shares of the company’s stock, valued at approximately $6,618,513. This represents a 5.48% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.80% of the company’s stock.

Analyst Ratings Changes

Several equities research analysts recently issued reports on PAYX shares. TD Cowen lifted their price target on shares of Paychex from $94.00 to $98.00 and gave the stock a “hold” rating in a research note on Monday, June 8th. Stifel Nicolaus increased 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. Citigroup upgraded Paychex from a “neutral” rating to a “buy” rating and raised their price objective for the company from $99.00 to $140.00 in a research note on Monday, June 15th. Morgan Stanley lifted their price objective on Paychex from $107.00 to $109.00 and gave the stock an “equal weight” rating in a report on Tuesday, June 30th. Finally, Argus raised Paychex to a “strong-buy” rating in a research report on Friday, March 27th. One equities research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, ten have assigned a Hold rating and four have given a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average price target of $105.80.

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.