TriNet Group (NYSE:TNET) Hits New 12-Month Low - Time to Sell?

Key Points

• TriNet Group's stock reached a new 52-week low of $63.11 and is currently trading around $63.66, reflecting a significant drop from previous values.
• JPMorgan Chase & Co. downgraded TriNet Group's price target from $76.00 to $75.00, indicating an "underweight" rating for the company.
• TriNet Group announced a quarterly dividend of $0.275 per share, which translates to an annualized yield of 1.7% and a dividend payout ratio of 37.80%.

TriNet Group, Inc. (NYSE:TNET - Get Free Report)'s stock price reached a new 52-week low on Monday . The stock traded as low as $63.11 and last traded at $63.66, with a volume of 10055 shares. The stock had previously closed at $63.30.

Analysts Set New Price Targets

Separately, JPMorgan Chase & Co. reduced their price target on TriNet Group from $76.00 to $75.00 and set an "underweight" rating on the stock in a report on Monday, July 28th.

TriNet Group Price Performance

The company has a fifty day moving average of $73.15 and a 200 day moving average of $77.96. The firm has a market capitalization of $3.08 billion, a P/E ratio of 21.77 and a beta of 0.83. The company has a debt-to-equity ratio of 8.36, a current ratio of 1.10 and a quick ratio of 1.10.

TriNet Group (NYSE:TNET - Get Free Report) last announced its earnings results on Friday, July 25th. The business services provider reported $1.15 EPS for the quarter, beating the consensus estimate of $1.03 by $0.12. TriNet Group had a return on equity of 208.35% and a net margin of 2.85%. The business had revenue of $282.90 million for the quarter, compared to analysts' expectations of $278.93 million. During the same period in the prior year, the business posted $1.53 earnings per share. Sell-side analysts predict that TriNet Group, Inc. will post 3.04 earnings per share for the current year.

TriNet Group Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Monday, July 28th. Investors of record on Tuesday, July 1st were issued a $0.275 dividend. The ex-dividend date was Tuesday, July 1st. This represents a $1.10 annualized dividend and a yield of 1.7%. TriNet Group's dividend payout ratio is presently 37.80%.

Insider Activity at TriNet Group

In other TriNet Group news, SVP Sidney A. Majalya sold 500 shares of the business's stock in a transaction that occurred on Wednesday, May 21st. The stock was sold at an average price of $83.14, for a total value of $41,570.00. Following the transaction, the senior vice president directly owned 23,033 shares of the company's stock, valued at approximately $1,914,963.62. The trade was a 2.12% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CTO Jeffery Jon Hayward sold 1,437 shares of the business's stock in a transaction that occurred on Tuesday, May 27th. The shares were sold at an average price of $82.04, for a total value of $117,891.48. Following the completion of the transaction, the chief technology officer directly owned 32,932 shares in the company, valued at approximately $2,701,741.28. This trade represents a 4.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 2,120 shares of company stock worth $175,291 over the last quarter. 37.10% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On TriNet Group

Several institutional investors have recently added to or reduced their stakes in the business. GHP Investment Advisors Inc. lifted its stake in TriNet Group by 4.0% in the second quarter. GHP Investment Advisors Inc. now owns 42,932 shares of the business services provider's stock valued at $3,140,000 after buying an additional 1,648 shares during the period. Arkadios Wealth Advisors acquired a new position in TriNet Group in the second quarter valued at approximately $405,000. Teacher Retirement System of Texas lifted its stake in TriNet Group by 3.7% in the second quarter. Teacher Retirement System of Texas now owns 10,603 shares of the business services provider's stock valued at $776,000 after buying an additional 383 shares during the period. Y Intercept Hong Kong Ltd acquired a new position in shares of TriNet Group during the second quarter worth approximately $1,098,000. Finally, Linden Thomas Advisory Services LLC raised its position in shares of TriNet Group by 86.7% during the second quarter. Linden Thomas Advisory Services LLC now owns 15,826 shares of the business services provider's stock worth $1,158,000 after purchasing an additional 7,350 shares during the period. 96.81% of the stock is owned by institutional investors and hedge funds.

About TriNet Group

TriNet Group, Inc provides comprehensive and flexible human capital management services for small and medium size businesses in the United States. The company offers multi-state payroll processing and tax administration; employee benefits programs, including health insurance and retirement plans; workers compensation insurance and claims management; employment and benefits law compliance; and other HR related services.