Troy Asset Management Ltd Sells 22,016 Shares of Paychex, Inc. $PAYX

Troy Asset Management Ltd decreased its position in shares of Paychex, Inc. (NASDAQ:PAYX) by 3.6% in the third quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 596,435 shares of the business services provider’s stock after selling 22,016 shares during the period. Paychex makes up approximately 1.9% of Troy Asset Management Ltd’s investment portfolio, making the stock its 12th biggest position. Troy Asset Management Ltd owned 0.17% of Paychex worth $75,604,000 at the end of the most recent reporting period.

A number of other hedge funds also recently bought and sold shares of the business. Uhlmann Price Securities LLC lifted its stake in shares of Paychex by 30.5% during the 3rd quarter. Uhlmann Price Securities LLC now owns 10,996 shares of the business services provider’s stock worth $1,394,000 after acquiring an additional 2,569 shares during the last quarter. Uniting Wealth Partners LLC purchased a new position in Paychex during the 3rd quarter valued at about $876,000. Taylor Hoffman Capital Management LLC increased its holdings in Paychex by 1.2% during the third quarter. Taylor Hoffman Capital Management LLC now owns 40,603 shares of the business services provider’s stock valued at $5,147,000 after buying an additional 480 shares during the period. Pacific Point Advisors LLC boosted its position in Paychex by 3.3% during the 3rd quarter. Pacific Point Advisors LLC now owns 10,773 shares of the business services provider’s stock valued at $1,366,000 after acquiring an additional 341 shares in the last quarter. Finally, Lafayette Investments Inc. increased its holdings in shares of Paychex by 0.9% in the 3rd quarter. Lafayette Investments Inc. now owns 88,897 shares of the business services provider’s stock valued at $11,269,000 after acquiring an additional 833 shares during the period. Hedge funds and other institutional investors own 83.47% of the company’s stock.

Paychex Price Performance

PAYX stock opened at $94.38 on Friday. Paychex, Inc. has a 52-week low of $91.70 and a 52-week high of $161.24. The business has a fifty day moving average of $108.43 and a two-hundred day moving average of $120.29. The stock has a market cap of $33.88 billion, a price-to-earnings ratio of 21.40 and a beta of 0.90. The company has a quick ratio of 1.27, a current ratio of 1.27 and a debt-to-equity ratio of 1.17.

Paychex (NASDAQ:PAYX) last issued its quarterly earnings data on Friday, December 19th. The business services provider reported $1.26 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.23 by $0.03. Paychex had a net margin of 26.45% and a return on equity of 46.38%. The firm had revenue of $1.56 billion for the quarter, compared to analyst estimates of $1.55 billion. During the same period in the previous year, the firm earned $1.14 EPS. Paychex’s revenue was up 18.3% on a year-over-year basis. Paychex has set its FY 2026 guidance at 5.480-5.530 EPS. As a group, research analysts anticipate that Paychex, Inc. will post 4.99 earnings per share for the current year.

Paychex declared that its board has initiated a stock buyback program on Friday, January 16th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the business services provider to reacquire up to 2.5% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s management believes its shares are undervalued.

Paychex Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, February 27th. Investors of record on Wednesday, January 28th will be given a dividend of $1.08 per share. The ex-dividend date of this dividend is Wednesday, January 28th. This represents a $4.32 dividend on an annualized basis and a dividend yield of 4.6%. Paychex’s dividend payout ratio (DPR) is presently 97.96%.

Wall Street Analyst Weigh In

PAYX has been the subject of a number of recent research reports. Citigroup reduced their target price on shares of Paychex from $139.00 to $120.00 and set a “neutral” rating for the company in a report on Monday, December 22nd. Cantor Fitzgerald raised Paychex to a “strong sell” rating in a research report on Tuesday, January 27th. Argus lowered their price objective on shares of Paychex from $150.00 to $130.00 and set a “buy” rating for the company in a research note on Friday, January 2nd. Jefferies Financial Group set a $110.00 price target on shares of Paychex in a report on Friday, December 19th. Finally, Wells Fargo & Company reduced their price objective on Paychex from $128.00 to $116.00 and set an “underweight” rating for the company in a research note on Tuesday, December 9th. One analyst has rated the stock with a Buy rating, thirteen have assigned a Hold rating and four have assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Reduce” and an average price target of $123.94.

Paychex 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.