Paychex, Inc. (NASDAQ:PAYX) Shares Sold by Howland Capital Management LLC

Key Points

• Howland Capital Management LLC has reduced its stake in Paychex, Inc. by 24.6%, now holding 26,010 shares valued at approximately $4,013,000.
• Paychex is experiencing changes in institutional ownership, with several firms, including Meeder Asset Management and Tsfg LLC, increasing their stakes significantly.
• Paychex recently announced a quarterly dividend of $1.08 per share, representing a yield of 3.0% and bringing the annualized dividend to $4.32.

Howland Capital Management LLC reduced its holdings in shares of Paychex, Inc. (NASDAQ:PAYX - Free Report) by 24.6% during the 1st quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 26,010 shares of the business services provider's stock after selling 8,492 shares during the period. Howland Capital Management LLC's holdings in Paychex were worth $4,013,000 at the end of the most recent reporting period.

Several other institutional investors have also made changes to their positions in PAYX. Summit Wealth Partners LLC lifted its holdings in Paychex by 2.4% in the 1st quarter. Summit Wealth Partners LLC now owns 3,027 shares of the business services provider's stock worth $467,000 after purchasing an additional 70 shares in the last quarter. Golden State Equity Partners lifted its holdings in Paychex by 0.9% in the 1st quarter. Golden State Equity Partners now owns 7,623 shares of the business services provider's stock worth $1,176,000 after purchasing an additional 71 shares in the last quarter. Palumbo Wealth Management LLC lifted its holdings in Paychex by 2.4% in the 1st quarter. Palumbo Wealth Management LLC now owns 3,192 shares of the business services provider's stock worth $492,000 after purchasing an additional 74 shares in the last quarter. King Wealth Management Group increased its stake in Paychex by 4.7% in the 1st quarter. King Wealth Management Group now owns 1,669 shares of the business services provider's stock worth $257,000 after acquiring an additional 75 shares during the last quarter. Finally, Asset Dedication LLC increased its stake in Paychex by 12.1% in the 1st quarter. Asset Dedication LLC now owns 711 shares of the business services provider's stock worth $110,000 after acquiring an additional 77 shares during the last quarter. 83.47% of the stock is currently owned by institutional investors and hedge funds.

Paychex Trading Down 3.5%

PAYX stock traded down $4.99 during midday trading on Friday, reaching $139.34. The company's stock had a trading volume of 4,235,395 shares, compared to its average volume of 2,015,482. Paychex, Inc. has a 1 year low of $122.07 and a 1 year high of $161.24. The company has a debt-to-equity ratio of 1.10, a quick ratio of 1.28 and a current ratio of 1.28. The stock has a fifty day simple moving average of $149.17 and a two-hundred day simple moving average of $148.63. The firm has a market capitalization of $50.20 billion, a price-to-earnings ratio of 30.49, a PEG ratio of 3.19 and a beta of 0.91.

Paychex (NASDAQ:PAYX - Get Free Report) last posted its quarterly earnings results on Wednesday, June 25th. The business services provider reported $1.19 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $1.19. Paychex had a return on equity of 45.01% and a net margin of 29.75%. The business had revenue of $1.43 billion for the quarter, compared to the consensus estimate of $1.38 billion. During the same quarter in the prior year, the company earned $1.12 EPS. On average, equities research analysts predict that Paychex, Inc. will post 4.99 EPS for the current year.

Paychex Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, August 29th. Shareholders of record on Monday, July 21st will be issued a $1.08 dividend. This represents a $4.32 annualized dividend and a yield of 3.1%. The ex-dividend date of this dividend is Monday, July 21st. Paychex's dividend payout ratio (DPR) is currently 94.53%.

Wall Street Analysts Forecast Growth

PAYX has been the topic of a number of research reports. UBS Group reduced their price objective on Paychex from $155.00 to $145.00 and set a "neutral" rating on the stock in a research note on Thursday, June 26th. BMO Capital Markets initiated coverage on Paychex in a research note on Thursday, July 10th. They issued a "market perform" rating and a $160.00 price objective on the stock. Royal Bank Of Canada set a $165.00 price objective on Paychex and gave the stock a "sector perform" rating in a research note on Tuesday, June 24th. Citigroup set a $158.00 target price on Paychex and gave the company a "neutral" rating in a research report on Tuesday, June 24th. Finally, Jefferies Financial Group set a $140.00 price target on Paychex and gave the company a "hold" rating in a report on Thursday, June 26th. One investment analyst has rated the stock with a sell rating and ten have assigned a hold rating to the company. Based on data from MarketBeat, Paychex currently has an average rating of "Hold" and an average target price of $150.20.

Insider Activity

In other Paychex news, 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 owned 446,917 shares of the company's stock, valued at approximately $64,878,940.89. This trade represents a 17.91% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO John B. Gibson sold 12,370 shares of Paychex 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 position. The disclosure for this sale can be found here. 11.40% of the stock is currently owned by company insiders.

Paychex Company 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.