Zacks Research Downgrades TriNet Group (NYSE:TNET) to Strong Sell

TriNet Group (NYSE:TNET) was downgraded by stock analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a report released on Thursday,Zacks.com reports.

Several other equities research analysts have also recently issued reports on the company. Weiss Ratings restated a “sell (d+)” rating on shares of TriNet Group in a report on Wednesday, January 21st. TD Cowen lowered their target price on shares of TriNet Group from $65.00 to $64.00 and set a “hold” rating for the company in a report on Thursday, January 8th. JPMorgan Chase & Co. dropped their price target on shares of TriNet Group from $75.00 to $65.00 and set an “underweight” rating for the company in a research report on Thursday, October 30th. UBS Group decreased their price target on shares of TriNet Group from $69.00 to $63.00 and set a “neutral” rating on the stock in a report on Thursday, October 30th. Finally, Truist Financial assumed coverage on TriNet Group in a research report on Friday, December 5th. They issued a “hold” rating and a $62.00 target price on the stock. One investment analyst has rated the stock with a Buy rating, four have assigned a Hold rating and three have given a Sell rating to the stock. According to MarketBeat.com, TriNet Group currently has a consensus rating of “Reduce” and a consensus target price of $65.80.

TriNet Group Trading Down 9.9%

TriNet Group stock opened at $38.47 on Thursday. The stock has a market cap of $1.82 billion, a PE ratio of 12.17 and a beta of 0.81. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 16.57. The stock has a 50-day moving average price of $56.83 and a 200 day moving average price of $60.92. TriNet Group has a 52 week low of $38.44 and a 52 week high of $88.56.

TriNet Group (NYSE:TNET) last issued its quarterly earnings results on Thursday, February 12th. The business services provider reported $0.46 EPS for the quarter, topping analysts’ consensus estimates of $0.37 by $0.09. TriNet Group had a net margin of 3.09% and a return on equity of 215.01%. The business had revenue of $1.25 billion during the quarter, compared to the consensus estimate of $251.57 million. During the same period in the previous year, the firm posted $0.44 earnings per share. The company’s quarterly revenue was down 2.3% compared to the same quarter last year. TriNet Group has set its FY 2026 guidance at 3.700-4.700 EPS. Equities research analysts predict that TriNet Group will post 3.04 earnings per share for the current fiscal year.

TriNet Group declared that its Board of Directors has initiated a stock buyback program on Thursday, February 12th that allows the company to buyback $400.00 million in shares. This buyback authorization allows the business services provider to repurchase up to 18.4% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its stock is undervalued.

Insider Buying and Selling at TriNet Group

In other TriNet Group news, CTO Jeffery Jon Hayward sold 1,437 shares of the business’s stock in a transaction on Tuesday, November 25th. The stock was sold at an average price of $57.51, for a total transaction of $82,641.87. Following the completion of the transaction, the chief technology officer owned 27,922 shares in the company, valued at approximately $1,605,794.22. The trade was a 4.89% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, SVP Sidney A. Majalya sold 775 shares of the firm’s stock in a transaction on Friday, January 9th. The shares were sold at an average price of $61.86, for a total value of $47,941.50. Following the transaction, the senior vice president directly owned 19,853 shares in the company, valued at $1,228,106.58. This trade represents a 3.76% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 2,699 shares of company stock worth $150,945 in the last ninety days. 38.10% of the stock is owned by company insiders.

Hedge Funds Weigh In On TriNet Group

Several hedge funds have recently modified their holdings of the company. Boston Partners bought a new stake in TriNet Group in the third quarter worth about $97,712,000. Northwestern Mutual Wealth Management Co. raised its holdings in shares of TriNet Group by 5,911,158.3% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 709,351 shares of the business services provider’s stock worth $41,944,000 after purchasing an additional 709,339 shares in the last quarter. Norges Bank acquired a new stake in TriNet Group during the fourth quarter valued at approximately $28,266,000. Millennium Management LLC boosted its holdings in TriNet Group by 1,047.5% during the fourth quarter. Millennium Management LLC now owns 468,030 shares of the business services provider’s stock worth $27,675,000 after buying an additional 427,242 shares in the last quarter. Finally, Massachusetts Financial Services Co. MA grew its position in TriNet Group by 19.7% in the third quarter. Massachusetts Financial Services Co. MA now owns 2,353,004 shares of the business services provider’s stock worth $157,392,000 after buying an additional 387,940 shares during the last quarter. 96.81% of the stock is currently owned by institutional investors and hedge funds.

About TriNet Group

TriNet Group, Inc is a leading professional employer organization (PEO) that offers integrated human capital management solutions to small and medium-size businesses. Through a bundled suite of services, TriNet manages payroll administration, employee benefits, workers’ compensation, risk mitigation and federal and state compliance. Its cloud-based platform provides clients with centralized access to HR tools, analytics and streamlined workforce management capabilities.

Founded in 1988 and headquartered in Dublin, California, TriNet has grown to support thousands of organizations across the United States.