Deutsche Bank AG Trims Stake in Paychex, Inc. (NASDAQ:PAYX)

Key Points

• Deutsche Bank AG reduced its stake in Paychex, Inc. by 4.4%, selling 53,063 shares and owning approximately 0.32% of the company worth $179 million as of the latest quarter.
• Paychex announced a quarterly dividend of $1.08 per share, with a total annualized dividend of $4.32 and a yield of 3.1%, set to be paid on August 29th.
• Several large investors, including Robeco Institutional Asset Management B.V. and Wealth Enhancement Advisory Services LLC, increased their holdings in Paychex during the first quarter, reflecting heightened interest in the stock.

Deutsche Bank AG decreased its position in Paychex, Inc. (NASDAQ:PAYX - Free Report) by 4.4% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 1,161,691 shares of the business services provider's stock after selling 53,063 shares during the period. Deutsche Bank AG owned about 0.32% of Paychex worth $179,226,000 as of its most recent SEC filing.

Several other institutional investors have also bought and sold shares of the company. Chicago Partners Investment Group LLC lifted its stake in Paychex by 50.0% in the first quarter. Chicago Partners Investment Group LLC now owns 13,600 shares of the business services provider's stock valued at $2,044,000 after purchasing an additional 4,533 shares during the last quarter. Charles Schwab Investment Management Inc. lifted its stake in Paychex by 7.3% in the first quarter. Charles Schwab Investment Management Inc. now owns 10,782,173 shares of the business services provider's stock valued at $1,663,474,000 after purchasing an additional 737,542 shares during the last quarter. ASR Vermogensbeheer N.V. purchased a new stake in shares of Paychex during the first quarter worth $3,897,000. Vanguard Group Inc. lifted its position in shares of Paychex by 0.9% during the first quarter. Vanguard Group Inc. now owns 31,807,843 shares of the business services provider's stock worth $4,907,314,000 after acquiring an additional 286,818 shares in the last quarter. Finally, Goldman Sachs Group Inc. lifted its position in shares of Paychex by 25.7% during the first quarter. Goldman Sachs Group Inc. now owns 2,844,949 shares of the business services provider's stock worth $438,919,000 after acquiring an additional 581,410 shares in the last quarter. Hedge funds and other institutional investors own 83.47% of the company's stock.

Paychex Trading Up 1.8%

Shares of NASDAQ:PAYX traded up $2.47 on Wednesday, reaching $137.46. 1,183,010 shares of the company traded hands, compared to its average volume of 2,151,298. The business's 50-day simple moving average is $146.58 and its 200 day simple moving average is $148.30. Paychex, Inc. has a 52 week low of $124.48 and a 52 week high of $161.24. The stock has a market capitalization of $49.52 billion, a P/E ratio of 30.09, a price-to-earnings-growth ratio of 3.17 and a beta of 0.91. The company has a current ratio of 1.28, a quick ratio of 1.28 and a debt-to-equity ratio of 1.10.

Paychex (NASDAQ:PAYX - Get Free Report) last announced its quarterly earnings data on Wednesday, June 25th. The business services provider reported $1.19 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $1.19. Paychex had a return on equity of 45.01% and a net margin of 29.75%. The firm had revenue of $1.43 billion for the quarter, compared to analysts' expectations of $1.38 billion. During the same period last year, the firm earned $1.12 earnings per share. As a group, equities analysts anticipate that Paychex, Inc. will post 4.99 EPS for the current fiscal year.

Paychex Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 29th. Stockholders of record on Monday, July 21st will be paid a dividend of $1.08 per share. This represents a $4.32 dividend on an annualized basis and a dividend yield of 3.1%. The ex-dividend date of this dividend is Monday, July 21st. Paychex's dividend payout ratio (DPR) is 94.53%.

Wall Street Analyst Weigh In

Several research firms have issued reports on PAYX. Royal Bank Of Canada set a $165.00 target price on Paychex and gave the stock a "sector perform" rating in a research report on Tuesday, June 24th. BMO Capital Markets began coverage on Paychex in a research report on Thursday, July 10th. They set a "market perform" rating and a $160.00 target price on the stock. Citigroup set a $158.00 target price on Paychex and gave the stock a "neutral" rating in a research report on Tuesday, June 24th. Stifel Nicolaus dropped their target price on Paychex from $156.00 to $152.00 and set a "hold" rating on the stock in a research report on Thursday, June 26th. Finally, UBS Group dropped their target price on Paychex from $155.00 to $145.00 and set a "neutral" rating on the stock in a research report on Thursday, June 26th. One equities research analyst has rated the stock with a sell rating and ten have issued a hold rating to the company. According to MarketBeat, Paychex currently has an average rating of "Hold" and an average price target of $150.20.

Insider Transactions at Paychex

In related news, CEO John B. Gibson sold 12,370 shares of the firm's stock in a transaction dated Wednesday, July 16th. The stock was sold at an average price of $141.92, for a total value of $1,755,550.40. Following the sale, the chief executive officer directly owned 81,755 shares of the company's stock, valued at $11,602,669.60. This trade represents a 13.14% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Chairman Martin Mucci sold 97,526 shares of the firm's stock in a transaction dated Thursday, July 10th. The stock was sold at an average price of $145.17, for a total value of $14,157,849.42. Following the completion of the sale, the chairman directly owned 446,917 shares in the company, valued at $64,878,940.89. The trade was a 17.91% decrease in their ownership of the stock. The disclosure for this sale can be found here. 11.40% of the stock is currently owned by company insiders.

Paychex Profile

Paychex, Inc, together with its subsidiaries, provides integrated human capital management solutions (HCM) for payroll, benefits, human resources (HR), and insurance services for small to medium-sized businesses in the United States, Europe, and India. It offers payroll processing services; payroll tax administration services; employee payment services; and regulatory compliance services, such as new-hire reporting and garnishment processing.