Paychex (NASDAQ:PAYX) Coverage Initiated at BMO Capital Markets

Analysts at BMO Capital Markets started coverage on shares of Paychex (NASDAQ:PAYX - Get Free Report) in a report released on Thursday, MarketBeat reports. The firm set a "market perform" rating and a $160.00 price target on the business services provider's stock. BMO Capital Markets' target price points to a potential upside of 11.66% from the stock's previous close.

Several other research firms have also recently issued reports on PAYX. Cfra Research raised Paychex to a "hold" rating in a research note on Thursday, March 27th. Morgan Stanley lowered their price objective on shares of Paychex from $150.00 to $148.00 and set an "equal weight" rating for the company in a report on Friday, June 27th. Stifel Nicolaus lowered their price objective on shares of Paychex from $156.00 to $152.00 and set a "hold" rating for the company in a report on Thursday, June 26th. Barclays set a $155.00 price objective on shares of Paychex and gave the stock an "equal weight" rating in a report on Tuesday, June 24th. Finally, Citigroup set a $158.00 price objective on shares of Paychex and gave the stock a "neutral" rating in a report on Tuesday, June 24th. One equities research analyst has rated the stock with a sell rating and ten have assigned a hold rating to the company's stock. According to MarketBeat.com, Paychex presently has an average rating of "Hold" and an average price target of $150.20.

Paychex Trading Down 1.4%

Shares of Paychex stock traded down $2.02 during trading on Thursday, reaching $143.29. The company's stock had a trading volume of 1,910,327 shares, compared to its average volume of 1,979,388. Paychex has a 52-week low of $117.43 and a 52-week high of $161.24. The company has a market cap of $51.61 billion, a price-to-earnings ratio of 31.35, a PEG ratio of 3.33 and a beta of 0.88. The firm's 50-day moving average is $151.92 and its two-hundred day moving average is $148.17. The company has a quick ratio of 1.39, a current ratio of 1.28 and a debt-to-equity ratio of 1.10.

Paychex (NASDAQ:PAYX - Get Free Report) last released 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. The firm had revenue of $1.43 billion for the quarter, compared to analysts' expectations of $1.38 billion. Paychex had a net margin of 29.75% and a return on equity of 45.01%. During the same quarter in the previous year, the company earned $1.12 earnings per share. On average, sell-side analysts anticipate that Paychex will post 4.99 earnings per share for the current year.

Insider Activity at Paychex

In other news, Director Joseph M. Velli sold 3,650 shares of Paychex stock in a transaction that occurred on Tuesday, April 15th. The shares were sold at an average price of $149.25, for a total transaction of $544,762.50. Following the completion of the transaction, the director directly owned 78,455 shares in the company, valued at approximately $11,709,408.75. This trade represents a 4.45% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Chairman Martin Mucci sold 97,526 shares of Paychex stock in a transaction that occurred on Thursday, July 10th. The shares were sold at an average price of $145.17, for a total transaction of $14,157,849.42. Following the transaction, the chairman owned 446,917 shares of the company's stock, 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.

Hedge Funds Weigh In On Paychex

A number of hedge funds have recently added to or reduced their stakes in PAYX. Meeder Asset Management Inc. raised its holdings in Paychex by 220.7% in the 4th quarter. Meeder Asset Management Inc. now owns 186 shares of the business services provider's stock worth $26,000 after acquiring an additional 128 shares during the last quarter. WealthTrak Capital Management LLC purchased a new position in Paychex in the 4th quarter worth approximately $28,000. Millstone Evans Group LLC purchased a new position in Paychex in the 4th quarter worth approximately $33,000. Alpine Bank Wealth Management purchased a new position in Paychex in the 1st quarter worth approximately $34,000. Finally, MorganRosel Wealth Management LLC purchased a new position in Paychex in the 1st quarter worth approximately $34,000. 83.47% of the stock is currently owned by hedge funds and other institutional investors.

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.