Frank Rimerman Advisors LLC Has $2.15 Million Stock Position in Paychex, Inc. $PAYX

Key Points

• Frank Rimerman Advisors LLC dramatically increased its Paychex position in the first quarter, boosting holdings by 1,037.8% to 23,324 shares valued at about $2.15 million.
• Paychex reported solid quarterly results, with EPS of $1.32 beating estimates and revenue of $1.61 billion slightly ahead of expectations, while revenue rose 12.5% year over year.
• The company also raised its quarterly dividend to $1.19 per share, though analysts remain mixed overall with an average rating of Hold and an average target price of $105.80.

Frank Rimerman Advisors LLC grew its holdings in Paychex, Inc. (NASDAQ:PAYX - Free Report) by 1,037.8% in the first quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 23,324 shares of the business services provider's stock after acquiring an additional 21,274 shares during the quarter. Frank Rimerman Advisors LLC's holdings in Paychex were worth $2,149,000 as of its most recent SEC filing.

Other institutional investors also recently modified their holdings of the company. Vermillion & White Wealth Management Group LLC acquired a new stake in Paychex in the 3rd quarter worth about $27,000. Stance Capital LLC acquired a new position in shares of Paychex during the 3rd quarter worth approximately $31,000. Hilton Head Capital Partners LLC acquired a new position in shares of Paychex during the 4th quarter worth approximately $31,000. KERR FINANCIAL PLANNING Corp bought a new position in shares of Paychex during the third quarter worth approximately $37,000. Finally, Cornerstone Planning Group LLC increased its holdings in shares of Paychex by 957.1% during the fourth quarter. Cornerstone Planning Group LLC now owns 296 shares of the business services provider's stock worth $30,000 after purchasing an additional 268 shares during the period. Institutional investors own 83.47% of the company's stock.

Paychex Stock Performance

Shares of Paychex stock opened at $106.58 on Thursday. The company has a current ratio of 1.26, a quick ratio of 1.26 and a debt-to-equity ratio of 1.22. The company has a market cap of $38.19 billion, a PE ratio of 21.80 and a beta of 0.84. The company has a 50 day moving average of $97.59 and a 200-day moving average of $98.46. Paychex, Inc. has a 1-year low of $85.45 and a 1-year high of $148.11.

Paychex (NASDAQ:PAYX - Get Free Report) last announced its quarterly earnings data on Wednesday, June 24th. The business services provider reported $1.32 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.31 by $0.01. Paychex had a net margin of 27.03% and a return on equity of 50.90%. 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 posted $1.19 earnings per share. The firm's quarterly revenue was up 12.5% compared to the same quarter last year. Paychex has set its FY 2027 guidance at 5.900-6.010 EPS. As a group, equities research analysts forecast that Paychex, Inc. will post 5.97 earnings per share for the current fiscal year.

Paychex Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, May 29th. Stockholders of record on Wednesday, May 13th were paid a $1.19 dividend. This represents a $4.76 annualized dividend and a dividend yield of 4.5%. The ex-dividend date was Wednesday, May 13th. This is a positive change from Paychex's previous quarterly dividend of $1.08. Paychex's dividend payout ratio is 97.34%.

Analyst Ratings Changes

Several equities research analysts recently issued reports on PAYX shares. Royal Bank Of Canada reiterated a "sector perform" rating on shares of Paychex in a research note on Thursday, May 28th. Wells Fargo & Company lowered their price objective on Paychex from $116.00 to $95.00 and set an "underweight" rating on the stock in a research note on Thursday, March 26th. Citigroup raised Paychex from a "neutral" rating to a "buy" rating and lifted their price objective for the company from $99.00 to $140.00 in a report on Monday, June 15th. Robert W. Baird cut their target price on Paychex from $148.00 to $125.00 and set a "neutral" rating for the company in a research report on Thursday, March 26th. Finally, UBS Group reduced their target price on Paychex from $100.00 to $98.00 and set a "neutral" rating on the stock in a report on Thursday, June 25th. 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 given a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $105.80.

Insider Activity at Paychex

In other news, Director Joseph M. Tucci sold 3,907 shares of the business's stock in a transaction on Friday, June 26th. The stock was sold at an average price of $98.25, for a total transaction of $383,862.75. Following the completion of the transaction, the director owned 67,364 shares of the company's stock, valued at approximately $6,618,513. The trade was a 5.48% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.80% of the company's stock.

About Paychex

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.