19,051 Shares in Paychex, Inc. $PAYX Purchased by OMERS ADMINISTRATION Corp

Key Points

• OMERS Administration Corp. purchased 19,051 Paychex shares during the second quarter, valued at approximately $1.87 million. Institutional investors collectively own 83.47% of the company.
• Paychex exceeded quarterly expectations with EPS of $1.32 and revenue of $1.61 billion, while revenue rose 12.5% year over year. The company expects fiscal 2027 EPS of $5.90–$6.01.
• Paychex declared a quarterly dividend of $1.19 per share, equivalent to $4.76 annually and a 3.8% yield. Despite the dividend, analysts maintain a consensus “Hold” rating with a $109.20 price target.

OMERS ADMINISTRATION Corp purchased a new stake in Paychex, Inc. (NASDAQ:PAYX - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm purchased 19,051 shares of the business services provider's stock, valued at approximately $1,873,000.

A number of other large investors have also recently modified their holdings of PAYX. Brighton Jones LLC raised its stake in Paychex by 26.3% in the fourth quarter. Brighton Jones LLC now owns 5,710 shares of the business services provider's stock valued at $801,000 after purchasing an additional 1,190 shares in the last quarter. Bison Wealth LLC grew its stake in Paychex by 3.0% in the 4th quarter. Bison Wealth LLC now owns 4,035 shares of the business services provider's stock worth $566,000 after buying an additional 117 shares in the last quarter. Woodline Partners LP bought a new position in shares of Paychex in the 1st quarter worth $3,333,000. NewEdge Advisors LLC raised its position in shares of Paychex by 3.2% during the 2nd quarter. NewEdge Advisors LLC now owns 41,081 shares of the business services provider's stock valued at $5,976,000 after buying an additional 1,290 shares in the last quarter. Finally, Sei Investments Co. lifted its holdings in shares of Paychex by 47.1% during the 2nd quarter. Sei Investments Co. now owns 156,680 shares of the business services provider's stock worth $22,790,000 after acquiring an additional 50,169 shares during the last quarter. Institutional investors own 83.47% of the company's stock.

Paychex Stock Performance

Paychex stock opened at $124.88 on Thursday. 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 company has a market capitalization of $44.42 billion, a PE ratio of 25.54 and a beta of 0.81. The firm has a fifty day simple moving average of $112.62 and a two-hundred day simple moving average of $100.57. Paychex, Inc. has a twelve month low of $85.45 and a twelve month high of $139.53.

Paychex (NASDAQ:PAYX - Get Free Report) last posted its quarterly earnings results on Wednesday, June 24th. The business services provider reported $1.32 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.31 by $0.01. The business had revenue of $1.61 billion during the quarter, compared to analyst estimates of $1.60 billion. Paychex had a net margin of 27.03% and a return on equity of 50.90%. The company's revenue was up 12.5% on a year-over-year basis. During the same period in the prior year, the business posted $1.19 earnings per share. Paychex has set its FY 2027 guidance at 5.900-6.010 EPS. Research analysts expect that Paychex, Inc. will post 5.96 EPS for the current year.

Paychex Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Tuesday, July 28th will be given a dividend of $1.19 per share. This represents a $4.76 annualized dividend and a yield of 3.8%. The ex-dividend date is Tuesday, July 28th. Paychex's dividend payout ratio (DPR) is presently 97.34%.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on PAYX shares. Morgan Stanley upped their target price on shares of Paychex from $107.00 to $109.00 and gave the stock an "equal weight" rating in a research report on Tuesday, June 30th. Jefferies Financial Group lifted their price target on Paychex from $105.00 to $120.00 and gave the stock a "hold" rating in a research note on Wednesday, August 12th. UBS Group upped their price objective on Paychex from $105.00 to $115.00 and gave the stock a "neutral" rating in a report on Wednesday, July 22nd. Weiss Ratings raised Paychex from a "hold (c-)" rating to a "hold (c)" rating in a report on Monday, July 20th. Finally, Stifel Nicolaus boosted their target price on Paychex from $105.00 to $110.00 and gave the stock a "hold" rating in a research report on Wednesday, June 17th. One equities research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, ten have given a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat.com, Paychex currently has an average rating of "Hold" and a consensus price target of $109.20.

Insider Buying and Selling

In other news, Director Joseph M. Tucci sold 3,907 shares of the firm's stock in a transaction that occurred on Friday, June 26th. The shares were sold at an average price of $98.25, for a total value of $383,862.75. Following the transaction, the director owned 67,364 shares in the company, valued at approximately $6,618,513. This trade represents a 5.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Robert L. Schrader sold 2,600 shares of the firm's stock in a transaction on Monday, July 20th. The stock was sold at an average price of $115.09, for a total transaction of $299,234.00. Following the completion of the sale, the chief financial officer directly owned 18,547 shares in the company, valued at approximately $2,134,574.23. This trade 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.

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