First Nebraska Trust Co Buys New Position in Paychex, Inc. $PAYX

Key Points

• First Nebraska Trust Co. acquired 88,177 Paychex shares during the first quarter, worth approximately $8.1 million. Institutional investors collectively own 83.47% of the company.
• Analysts remain cautious, with Paychex holding a consensus “Hold” rating and an average price target of $108.20, below the stock’s reported $116.84 opening price.
• Paychex recently exceeded quarterly earnings and revenue expectations, while announcing a $1.19 quarterly dividend, equivalent to a 4.1% annualized yield. However, company insiders, including the CFO and a director, recently sold shares.

First Nebraska Trust Co bought a new stake in shares of Paychex, Inc. (NASDAQ:PAYX - Free Report) in the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor bought 88,177 shares of the business services provider's stock, valued at approximately $8,123,000.

Several other institutional investors have also added to or reduced their stakes in the business. 44 Wealth Management LLC boosted its stake in shares of Paychex by 2.7% during the 2nd quarter. 44 Wealth Management LLC now owns 3,290 shares of the business services provider's stock worth $479,000 after acquiring an additional 86 shares during the last quarter. Smartleaf Asset Management LLC increased its stake in shares of Paychex by 3.5% in the 2nd quarter. Smartleaf Asset Management LLC now owns 2,645 shares of the business services provider's stock worth $381,000 after purchasing an additional 89 shares in the last quarter. Greenleaf Trust increased its stake in shares of Paychex by 1.7% in the 4th quarter. Greenleaf Trust now owns 5,834 shares of the business services provider's stock worth $654,000 after purchasing an additional 95 shares in the last quarter. Prosperity Consulting Group LLC raised its holdings in Paychex by 1.4% in the 3rd quarter. Prosperity Consulting Group LLC now owns 7,270 shares of the business services provider's stock worth $922,000 after purchasing an additional 100 shares during the period. Finally, SBI Securities Co. Ltd. lifted its position in Paychex by 14.5% during the fourth quarter. SBI Securities Co. Ltd. now owns 798 shares of the business services provider's stock valued at $90,000 after purchasing an additional 101 shares in the last quarter. 83.47% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

PAYX has been the subject of several recent research reports. UBS Group boosted their price target on Paychex from $105.00 to $115.00 and gave the company a "neutral" rating in a report on Wednesday, July 22nd. Royal Bank Of Canada reaffirmed a "sector perform" rating on shares of Paychex in a research note on Thursday, May 28th. Weiss Ratings raised Paychex from a "hold (c-)" rating to a "hold (c)" rating in a research report on Monday, July 20th. Stifel Nicolaus boosted their price objective on Paychex from $105.00 to $110.00 and gave the company a "hold" rating in a research note on Wednesday, June 17th. Finally, JPMorgan Chase & Co. increased their target price on shares of Paychex from $100.00 to $105.00 and gave the stock an "underweight" rating in a report on Thursday, June 25th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, ten have assigned a Hold rating and four have given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $108.20.

Insider Buying and Selling

In related news, CFO Robert L. Schrader sold 2,600 shares of the business's stock in a transaction that occurred 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 of the company's stock, valued at approximately $2,134,574.23. The trade was a 12.29% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Joseph M. Tucci sold 3,907 shares of the company's 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 completion of the transaction, the director owned 67,364 shares of the company's stock, valued at $6,618,513. The trade was a 5.48% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.80% of the stock is currently owned by insiders.

Paychex Trading Up 0.4%

Shares of PAYX stock opened at $116.84 on Friday. Paychex, Inc. has a 52-week low of $85.45 and a 52-week high of $146.83. The company has a debt-to-equity ratio of 1.22, a quick ratio of 1.26 and a current ratio of 1.26. The firm has a market capitalization of $41.56 billion, a PE ratio of 23.89 and a beta of 0.84. The stock has a fifty day simple moving average of $104.42 and a two-hundred day simple moving average of $98.61.

Paychex (NASDAQ:PAYX - Get Free Report) last posted its quarterly earnings results on Wednesday, June 24th. The business services provider reported $1.32 EPS 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 business had revenue of $1.61 billion for the quarter, compared to analysts' expectations of $1.60 billion. During the same period last year, the firm earned $1.19 earnings per share. The business's quarterly revenue was up 12.5% on a year-over-year basis. Paychex has set its FY 2027 guidance at 5.900-6.010 EPS. On average, analysts predict that Paychex, Inc. will post 5.96 EPS for the current fiscal year.

Paychex Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Tuesday, July 28th will be paid a dividend of $1.19 per share. This represents a $4.76 annualized dividend and a yield of 4.1%. The ex-dividend date of this dividend is Tuesday, July 28th. Paychex's dividend payout ratio (DPR) is 97.34%.

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.

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