TriNet Group (NYSE:TNET) Shares Gap Up on Earnings Beat

Key Points

• TriNet Group's stock price gapped up from $65.72 to $68.77 after the company reported quarterly earnings of $1.15 per share, exceeding analysts' expectations of $1.03.
• The company declared a quarterly dividend of $0.275 per share, with an annualized yield of 1.61%, payable to investors on July 28th.
• JPMorgan Chase & Co. raised their target price for TriNet Group from $75.00 to $76.00 while maintaining an "underweight" rating on the stock.
• Insiders have recently sold shares, with CTO Jeffery Jon Hayward selling 1,437 shares at an average price of $82.04, indicating a 4.18% decrease in his position.

TriNet Group, Inc. (NYSE:TNET - Get Free Report)'s stock price gapped up before the market opened on Friday after the company announced better than expected quarterly earnings. The stock had previously closed at $65.72, but opened at $68.77. TriNet Group shares last traded at $67.98, with a volume of 138,165 shares.

The business services provider reported $1.15 earnings per share for the quarter, beating the consensus estimate of $1.03 by $0.12. TriNet Group had a return on equity of 237.87% and a net margin of 3.32%. During the same quarter last year, the business earned $1.53 EPS.

TriNet Group Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, July 28th. Investors of record on Tuesday, July 1st will be given a dividend of $0.275 per share. This represents a $1.10 annualized dividend and a yield of 1.61%. The ex-dividend date is Tuesday, July 1st. TriNet Group's payout ratio is 32.84%.

Wall Street Analyst Weigh In

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

Insider Activity

In other TriNet Group news, CTO Jeffery Jon Hayward sold 1,437 shares of the company's stock in a transaction dated Tuesday, May 27th. The stock was sold at an average price of $82.04, for a total value of $117,891.48. Following the transaction, the chief technology officer directly owned 32,932 shares of the company's stock, valued at $2,701,741.28. This represents a 4.18% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, SVP Sidney A. Majalya sold 500 shares of the company's stock in a transaction dated Wednesday, May 21st. The stock was sold at an average price of $83.14, for a total value of $41,570.00. Following the completion of the transaction, the senior vice president directly owned 23,033 shares in the company, valued at approximately $1,914,963.62. The trade was a 2.12% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 2,120 shares of company stock worth $175,291. Insiders own 38.10% of the company's stock.

Institutional Trading of TriNet Group

Several large investors have recently made changes to their positions in the stock. Summit Investment Advisors Inc. boosted its stake in shares of TriNet Group by 4.7% during the 4th quarter. Summit Investment Advisors Inc. now owns 3,344 shares of the business services provider's stock worth $304,000 after acquiring an additional 149 shares in the last quarter. Xponance Inc. boosted its stake in shares of TriNet Group by 6.4% during the 1st quarter. Xponance Inc. now owns 2,613 shares of the business services provider's stock worth $207,000 after acquiring an additional 157 shares in the last quarter. Farther Finance Advisors LLC boosted its stake in shares of TriNet Group by 7.0% during the 2nd quarter. Farther Finance Advisors LLC now owns 4,456 shares of the business services provider's stock worth $326,000 after acquiring an additional 291 shares in the last quarter. US Bancorp DE boosted its stake in TriNet Group by 4.6% during the 1st quarter. US Bancorp DE now owns 7,534 shares of the business services provider's stock valued at $597,000 after purchasing an additional 332 shares during the period. Finally, Mariner LLC boosted its stake in TriNet Group by 13.7% during the 4th quarter. Mariner LLC now owns 2,763 shares of the business services provider's stock valued at $251,000 after purchasing an additional 333 shares during the period. Institutional investors own 96.81% of the company's stock.

TriNet Group Stock Performance

The firm has a 50 day moving average of $75.78 and a two-hundred day moving average of $79.38. The stock has a market cap of $3.32 billion, a P/E ratio of 20.32 and a beta of 0.84. The company has a debt-to-equity ratio of 14.43, a quick ratio of 1.08 and a current ratio of 1.08.

TriNet Group Company Profile

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.

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