Danske Bank A S Acquires Shares of 211,446 Paychex, Inc. $PAYX

Danske Bank A S bought a new position in shares of Paychex, Inc. (NASDAQ:PAYX) during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm bought 211,446 shares of the business services provider’s stock, valued at approximately $20,791,000.

A number of other institutional investors have also modified their holdings of the business. Vanguard Group Inc. boosted its stake in shares of Paychex by 12.1% during the fourth quarter. Vanguard Group Inc. now owns 42,348,625 shares of the business services provider’s stock worth $4,750,669,000 after buying an additional 4,583,157 shares during the period. Capital International Investors grew its holdings in shares of Paychex by 59.1% during the fourth quarter. Capital International Investors now owns 30,265,174 shares of the business services provider’s stock worth $3,395,583,000 after buying an additional 11,243,295 shares during the last quarter. BlackRock Inc. acquired a new position in Paychex in the 2nd quarter valued at about $2,728,970,000. State Street Corp increased its position in Paychex by 1.6% in the 4th quarter. State Street Corp now owns 13,988,393 shares of the business services provider’s stock valued at $1,569,218,000 after acquiring an additional 216,045 shares during the period. Finally, Charles Schwab Investment Management Inc. raised its stake in Paychex by 2.3% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 11,550,173 shares of the business services provider’s stock valued at $1,295,698,000 after acquiring an additional 263,152 shares during the last quarter. 83.47% of the stock is owned by institutional investors and hedge funds.

Paychex Trading Up 0.3%

NASDAQ PAYX opened at $122.91 on Friday. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 1.22. The stock has a market capitalization of $43.72 billion, a P/E ratio of 25.14 and a beta of 0.81. Paychex, Inc. has a 52-week low of $85.45 and a 52-week high of $141.19. The firm has a 50-day moving average price of $110.60 and a 200 day moving average price of $99.84.

Paychex (NASDAQ:PAYX) last announced its quarterly earnings data on Wednesday, June 24th. The business services provider reported $1.32 earnings per share for the quarter, beating analysts’ consensus estimates of $1.31 by $0.01. Paychex had a return on equity of 50.90% and a net margin of 27.03%.The company had revenue of $1.61 billion for the quarter, compared to analyst estimates of $1.60 billion. During the same quarter in the previous year, the company earned $1.19 EPS. The firm’s revenue for the quarter 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 research analysts expect that Paychex, Inc. will post 5.96 EPS for the current year.

Paychex Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Stockholders of record on Tuesday, July 28th will be issued a $1.19 dividend. This represents a $4.76 annualized dividend and a dividend yield of 3.9%. The ex-dividend date of this dividend is Tuesday, July 28th. Paychex’s dividend payout ratio (DPR) is currently 97.34%.

Wall Street Analyst Weigh In

A number of analysts have weighed in on PAYX shares. Jefferies Financial Group increased their price objective on Paychex from $105.00 to $120.00 and gave the stock a “hold” rating in a research report on Wednesday, August 12th. JPMorgan Chase & Co. boosted their target price on Paychex from $100.00 to $105.00 and gave the company an “underweight” rating in a report on Thursday, June 25th. Morgan Stanley upped their price target on Paychex from $107.00 to $109.00 and gave the stock an “equal weight” rating in a research note on Tuesday, June 30th. Citigroup increased their price target on Paychex from $140.00 to $150.00 and gave the stock a “buy” rating in a report on Thursday, July 30th. Finally, Royal Bank Of Canada reiterated a “sector perform” rating on shares of Paychex in a research report on Thursday, May 28th. One analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, ten have issued a Hold rating and four have issued a Sell rating to the company. Based on data from MarketBeat.com, Paychex currently has a consensus rating of “Hold” and a consensus price target of $109.20.

Insider Buying and Selling

In related news, Director Joseph M. Tucci sold 3,907 shares of Paychex stock in a transaction that occurred on Friday, June 26th. The stock was sold at an average price of $98.25, for a total value of $383,862.75. Following the sale, the director directly owned 67,364 shares in the company, valued at $6,618,513. The trade was a 5.48% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CFO Robert L. Schrader sold 2,600 shares of the company’s stock in a transaction on Monday, July 20th. The stock was sold at an average price of $115.09, for a total value of $299,234.00. Following the transaction, the chief financial officer directly owned 18,547 shares in the company, valued at $2,134,574.23. This represents a 12.29% decrease in their position. The disclosure for this sale is available in the SEC filing. 0.80% of the stock is owned by insiders.

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.