Commerce Bank Invests $7.43 Million in Paychex, Inc. $PAYX

Commerce Bank bought a new stake in shares of Paychex, Inc. (NASDAQ:PAYX) during the 2nd quarter, Holdings Channel.com reports. The institutional investor bought 75,599 shares of the business services provider’s stock, valued at approximately $7,434,000.

Other hedge funds have also recently made changes to their positions in the company. Northwestern Mutual Wealth Management Co. bought a new position in shares of Paychex in the 2nd quarter valued at about $4,573,000. Quantbot Technologies LP bought a new stake in Paychex during the second quarter worth approximately $1,507,000. Evolve Private Wealth LLC bought a new stake in Paychex during the second quarter worth approximately $456,000. XXEC Inc. purchased a new stake in Paychex during the second quarter valued at approximately $1,123,016,000. Finally, Westpac Banking Corp bought a new stake in shares of Paychex in the 2nd quarter valued at approximately $1,406,000. 83.47% of the stock is currently owned by hedge funds and other institutional investors.

Paychex Price Performance

Paychex stock opened at $124.47 on Monday. The company has a debt-to-equity ratio of 1.22, a current ratio of 1.26 and a quick ratio of 1.26. The stock has a market cap of $44.27 billion, a price-to-earnings ratio of 25.45 and a beta of 0.81. The firm has a 50-day moving average of $111.08 and a two-hundred day moving average of $99.99. Paychex, Inc. has a 1 year low of $85.45 and a 1 year high of $141.19.

Paychex (NASDAQ:PAYX) last issued its earnings results on Wednesday, June 24th. The business services provider reported $1.32 EPS for the quarter, topping analysts’ consensus estimates of $1.31 by $0.01. Paychex had a net margin of 27.03% and a return on equity of 50.90%. The business had revenue of $1.61 billion for the quarter, compared to analyst estimates of $1.60 billion. During the same period last year, the company posted $1.19 earnings per share. The company’s quarterly revenue was up 12.5% compared to the same quarter last year. Paychex has set its FY 2027 guidance at 5.900-6.010 EPS. On average, research analysts forecast that Paychex, Inc. will post 5.96 earnings per share for the current year.

Paychex Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Tuesday, July 28th will be paid a $1.19 dividend. The ex-dividend date of this dividend is Tuesday, July 28th. This represents a $4.76 annualized dividend and a yield of 3.8%. Paychex’s dividend payout ratio is 97.34%.

Analysts Set New Price Targets

A number of equities analysts have recently commented on PAYX shares. Stifel Nicolaus lifted their target price on Paychex from $105.00 to $110.00 and gave the stock a “hold” rating in a report on Wednesday, June 17th. UBS Group increased their price target on Paychex from $105.00 to $115.00 and gave the company a “neutral” rating in a report on Wednesday, July 22nd. Morgan Stanley raised their price target on Paychex from $107.00 to $109.00 and gave the stock an “equal weight” rating in a research report on Tuesday, June 30th. TD Cowen lifted their price objective on shares of Paychex from $94.00 to $98.00 and gave the stock a “hold” rating in a research note on Monday, June 8th. Finally, Cantor Fitzgerald reaffirmed an “underweight” rating and set a $107.00 price objective on shares of Paychex in a research note on Monday, July 20th. One equities research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, ten have assigned a Hold rating and four have issued a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $109.20.

Insider Buying and Selling at Paychex

In other Paychex news, CFO Robert L. Schrader sold 2,600 shares of the company’s stock in a transaction on Monday, July 20th. The stock was sold at an average price of $115.09, for a total value of $299,234.00. Following the completion of the sale, the chief financial officer directly owned 18,547 shares in the company, valued at approximately $2,134,574.23. This represents a 12.29% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Joseph M. Tucci sold 3,907 shares of the company’s stock in a transaction on Friday, June 26th. The stock was sold at an average price of $98.25, for a total value of $383,862.75. Following the completion of the sale, the director owned 67,364 shares of the company’s stock, valued at $6,618,513. This represents a 5.48% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 0.80% of the company’s stock.

Paychex Company Profile

Paychex, Inc, founded in 1971 by B. Thomas “Tom” Golisano and headquartered in Rochester, New York, is a provider of payroll, human resources, and benefits outsourcing solutions for small- and medium-sized businesses. The company’s core services include payroll processing and tax filing, employee benefits administration, retirement services, and workers’ compensation administration, designed to simplify back-office operations and help clients comply with regulatory and tax requirements.

Paychex offers an integrated technology platform, marketed under the Paychex Flex brand, which delivers cloud-based payroll, HR, time and attendance, and reporting tools.