UBS Group AG Sells 58,067 Shares of TriNet Group, Inc. $TNET

Key Points

• UBS Group AG sharply reduced its TriNet stake in the fourth quarter, selling 58,067 shares and cutting its position by 55.5% to 46,645 shares worth about $2.76 million.
• TriNet beat earnings expectations in its latest quarter, reporting $2.48 EPS versus the $1.84 estimate and revenue of $1.23 billion versus $1.08 billion expected, though revenue still fell 5.1% year over year.
• The company is returning cash to shareholders through a new $400 million share repurchase authorization and a raised quarterly dividend of $0.29 per share, up from $0.28 previously.

UBS Group AG reduced its holdings in shares of TriNet Group, Inc. (NYSE:TNET - Free Report) by 55.5% in the 4th quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 46,645 shares of the business services provider's stock after selling 58,067 shares during the quarter. UBS Group AG owned approximately 0.10% of TriNet Group worth $2,758,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Mirae Asset Global Investments Co. Ltd. boosted its stake in shares of TriNet Group by 106.0% during the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 445 shares of the business services provider's stock worth $30,000 after acquiring an additional 229 shares during the period. Quarry LP boosted its stake in shares of TriNet Group by 524.7% during the 3rd quarter. Quarry LP now owns 456 shares of the business services provider's stock worth $31,000 after acquiring an additional 383 shares during the period. Covestor Ltd boosted its stake in shares of TriNet Group by 402.7% during the 3rd quarter. Covestor Ltd now owns 1,282 shares of the business services provider's stock worth $86,000 after acquiring an additional 1,027 shares during the period. Hikari Tsushin Inc. bought a new position in shares of TriNet Group during the 3rd quarter worth approximately $127,000. Finally, CWM LLC boosted its stake in shares of TriNet Group by 22.6% during the 4th quarter. CWM LLC now owns 2,756 shares of the business services provider's stock worth $163,000 after acquiring an additional 508 shares during the period. 96.81% of the stock is currently owned by institutional investors.

TriNet Group Stock Performance

NYSE:TNET opened at $42.71 on Tuesday. The stock has a fifty day moving average price of $39.39 and a 200-day moving average price of $48.70. The company has a market cap of $1.96 billion, a price-to-earnings ratio of 12.75 and a beta of 1.02. The company has a debt-to-equity ratio of 10.80, a quick ratio of 1.12 and a current ratio of 1.12. TriNet Group, Inc. has a fifty-two week low of $33.60 and a fifty-two week high of $84.08.

TriNet Group (NYSE:TNET - Get Free Report) last released its earnings results on Thursday, April 30th. The business services provider reported $2.48 earnings per share for the quarter, beating analysts' consensus estimates of $1.84 by $0.64. The firm had revenue of $1.23 billion during the quarter, compared to the consensus estimate of $1.08 billion. TriNet Group had a return on equity of 219.54% and a net margin of 3.22%.The company's revenue was down 5.1% compared to the same quarter last year. During the same period in the prior year, the company posted $1.99 EPS. TriNet Group has set its FY 2026 guidance at 3.700-4.700 EPS. As a group, equities analysts anticipate that TriNet Group, Inc. will post 3.55 EPS for the current fiscal year.

TriNet Group announced that its board has authorized a share repurchase plan on Thursday, February 12th that authorizes the company to buyback $400.00 million in shares. This buyback authorization authorizes the business services provider to repurchase up to 18.4% of its stock through open market purchases. Stock buyback plans are often an indication that the company's board believes its stock is undervalued.

TriNet Group Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, April 27th. Stockholders of record on Wednesday, April 1st were given a dividend of $0.29 per share. This represents a $1.16 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date was Wednesday, April 1st. This is a positive change from TriNet Group's previous quarterly dividend of $0.28. TriNet Group's dividend payout ratio is currently 34.63%.

Insider Activity

In other news, SVP Sidney A. Majalya sold 775 shares of the company's stock in a transaction on Wednesday, April 1st. The stock was sold at an average price of $37.02, for a total transaction of $28,690.50. Following the completion of the sale, the senior vice president directly owned 55,750 shares in the company, valued at approximately $2,063,865. This represents a 1.37% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Brian C. Evanko bought 5,000 shares of the business's stock in a transaction dated Wednesday, March 4th. The shares were bought at an average price of $37.70 per share, with a total value of $188,500.00. Following the completion of the transaction, the director owned 9,565 shares in the company, valued at approximately $360,600.50. This trade represents a 109.53% increase in their position. The disclosure for this purchase is available in the SEC filing. Corporate insiders own 40.00% of the company's stock.

Wall Street Analyst Weigh In

TNET has been the subject of several research analyst reports. Weiss Ratings upgraded TriNet Group from a "sell (d)" rating to a "sell (d+)" rating in a research note on Monday, May 4th. TD Cowen boosted their price target on TriNet Group from $40.00 to $46.00 and gave the company a "hold" rating in a research note on Friday, May 1st. Stifel Nicolaus reduced their price target on TriNet Group from $97.00 to $75.00 and set a "buy" rating for the company in a research note on Friday, February 13th. UBS Group reduced their price target on TriNet Group from $62.00 to $48.00 and set a "neutral" rating for the company in a research note on Tuesday, May 5th. Finally, JPMorgan Chase & Co. boosted their price target on TriNet Group from $43.00 to $45.00 and gave the company an "underweight" rating in a research note on Friday, May 1st. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, three have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, TriNet Group has an average rating of "Hold" and an average price target of $55.20.

TriNet Group Company Profile

TriNet Group, Inc is a leading professional employer organization (PEO) that offers integrated human capital management solutions to small and medium-size businesses. Through a bundled suite of services, TriNet manages payroll administration, employee benefits, workers' compensation, risk mitigation and federal and state compliance. Its cloud-based platform provides clients with centralized access to HR tools, analytics and streamlined workforce management capabilities.

Founded in 1988 and headquartered in Dublin, California, TriNet has grown to support thousands of organizations across the United States.

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