TriNet Group (NYSE:TNET) Shares Down 13.3% – Should You Sell?

TriNet Group, Inc. (NYSE:TNET)’s stock price traded down 13.3% on Thursday. The company traded as low as $61.51 and last traded at $61.0390. Approximately 110,201 shares changed hands during mid-day trading, a decline of 74% from the average session volume of 429,394 shares. The stock had previously closed at $70.41.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on TNET shares. Truist Financial raised their price target on TriNet Group from $50.00 to $62.00 and gave the stock a “hold” rating in a research report on Wednesday, July 22nd. Weiss Ratings upgraded shares of TriNet Group from a “hold (c-)” rating to a “hold (c)” rating in a research note on Friday, October 9th. JPMorgan Chase & Co. increased their price target on shares of TriNet Group from $45.00 to $50.00 and gave the company an “underweight” rating in a report on Friday, July 31st. Finally, Zacks Research lowered shares of TriNet Group from a “strong-buy” rating to a “hold” rating in a research report on Friday, July 3rd. One research analyst has rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, TriNet Group has a consensus rating of “Hold” and an average target price of $56.80.

TriNet Group Stock Performance

The company has a current ratio of 1.13, a quick ratio of 1.13 and a debt-to-equity ratio of 7.17. The company’s 50-day moving average is $67.92 and its two-hundred day moving average is $53.58. The firm has a market cap of $2.84 billion, a P/E ratio of 16.57 and a beta of 0.99.

TriNet Group (NYSE:TNET) last announced its quarterly earnings data on Thursday, October 29th. The business services provider reported $0.94 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.60 by $0.34. The business had revenue of $1.18 billion for the quarter, compared to analysts’ expectations of $1.18 billion. TriNet Group had a return on equity of 227.28% and a net margin of 3.58%. The firm’s quarterly revenue was down 4.6% compared to the same quarter last year. During the same period in the previous year, the business posted $1.11 EPS. As a group, equities analysts predict that TriNet Group, Inc. will post 3.87 EPS for the current fiscal year.

TriNet Group Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, October 26th. Stockholders of record on Thursday, October 1st were paid a dividend of $0.29 per share. This represents a $1.16 dividend on an annualized basis and a dividend yield of 1.9%. The ex-dividend date of this dividend was Thursday, October 1st. TriNet Group’s dividend payout ratio (DPR) is 31.02%.

Insider Activity

In other TriNet Group news, Director Wayne Lowell sold 5,773 shares of the company’s stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $68.71, for a total transaction of $396,662.83. Following the completion of the transaction, the director owned 86,449 shares of the company’s stock, valued at $5,939,910.79. This represents a 6.26% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, SVP Sidney Majalya sold 775 shares of the firm’s stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $68.53, for a total transaction of $53,110.75. Following the completion of the sale, the senior vice president owned 53,212 shares of the company’s stock, valued at $3,646,618.36. This trade represents a 1.44% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 10,016 shares of company stock worth $691,600. 40.00% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On TriNet Group

Hedge funds and other institutional investors have recently modified their holdings of the company. Essential Partners LLC increased its holdings in TriNet Group by 427.4% during the first quarter. Essential Partners LLC now owns 944 shares of the business services provider’s stock valued at $34,000 after buying an additional 765 shares during the last quarter. Fortitude Family Office LLC grew its holdings in shares of TriNet Group by 473.3% in the third quarter. Fortitude Family Office LLC now owns 602 shares of the business services provider’s stock valued at $38,000 after purchasing an additional 497 shares in the last quarter. Nykredit A S bought a new position in shares of TriNet Group during the 2nd quarter valued at approximately $55,000. IFP Advisors Inc grew its holdings in TriNet Group by 424.3% during the 2nd quarter. IFP Advisors Inc now owns 1,164 shares of the business services provider’s stock valued at $58,000 after purchasing an additional 942 shares during the last quarter. Finally, Sterling Capital Management LLC grew its position in TriNet Group by 851.0% in the 3rd quarter. Sterling Capital Management LLC now owns 932 shares of the business services provider’s stock valued at $58,000 after acquiring an additional 834 shares during the last quarter. 96.81% of the stock is owned by institutional investors.

About TriNet Group

TriNet Group, Inc is a professional employer organization (PEO) that provides human resources services to small and midsize businesses in the United States. The company helps clients manage employment-related administrative responsibilities while supporting their workforce and business operations.

TriNet’s services include payroll processing, employee benefits, human capital management technology, talent management, risk mitigation, and assistance with employment-related compliance. Its offerings are designed to help businesses handle functions such as onboarding, time and attendance, employee development, and regulatory requirements.

Founded in 1988 by Martin Babinec, TriNet serves businesses across the United States through industry-focused solutions and cloud-based platforms.