Paychex (NASDAQ:PAYX) Price Target Cut to $148.00 by Analysts at Robert W. Baird

Paychex (NASDAQ:PAYX) had its price objective reduced by Robert W. Baird from $153.00 to $148.00 in a report released on Wednesday morning,MarketScreener reports. Robert W. Baird currently has a neutral rating on the business services provider’s stock.

A number of other equities analysts have also recently commented on the stock. Jefferies Financial Group set a $130.00 price target on shares of Paychex in a research note on Tuesday. Stifel Nicolaus dropped their price target on shares of Paychex from $142.00 to $137.00 and set a “hold” rating for the company in a research note on Wednesday. BMO Capital Markets dropped their price target on shares of Paychex from $143.00 to $140.00 and set a “market perform” rating for the company in a research note on Wednesday. UBS Group dropped their price target on shares of Paychex from $148.00 to $140.00 and set a “neutral” rating for the company in a research note on Wednesday, September 17th. Finally, TD Cowen dropped their price target on shares of Paychex from $140.00 to $126.00 and set a “hold” rating for the company in a research note on Wednesday. Eleven analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Reduce” and an average target price of $142.83.

Paychex Stock Performance

Shares of NASDAQ:PAYX opened at $124.01 on Wednesday. Paychex has a 52 week low of $119.02 and a 52 week high of $161.24. The stock has a market capitalization of $44.60 billion, a P/E ratio of 27.87, a PEG ratio of 2.90 and a beta of 0.92. The firm has a fifty day simple moving average of $136.59 and a two-hundred day simple moving average of $144.72. The company has a quick ratio of 1.28, a current ratio of 1.27 and a debt-to-equity ratio of 1.15.

Paychex (NASDAQ:PAYX) last issued its quarterly earnings data on Tuesday, September 30th. The business services provider reported $1.22 EPS for the quarter, topping analysts’ consensus estimates of $1.20 by $0.02. Paychex had a net margin of 27.85% and a return on equity of 45.17%. The business had revenue of $1.54 billion during the quarter, compared to analysts’ expectations of $1.54 billion. During the same period last year, the company posted $1.16 EPS. The business’s revenue was up 16.8% on a year-over-year basis. Paychex has set its FY 2026 guidance at 5.428-5.528 EPS. On average, analysts expect that Paychex will post 4.99 earnings per share for the current fiscal year.

Paychex Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 29th. Investors of record on Monday, July 21st were issued a dividend of $1.08 per share. The ex-dividend date was Monday, July 21st. This represents a $4.32 dividend on an annualized basis and a yield of 3.5%. Paychex’s dividend payout ratio (DPR) is presently 94.53%.

Insider Transactions at Paychex

In related news, Chairman Martin Mucci sold 97,526 shares of Paychex stock in a transaction dated 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 completion of the sale, the chairman owned 446,917 shares in the company, valued at $64,878,940.89. This trade represents a 17.91% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO John B. Gibson sold 12,370 shares of Paychex stock in a transaction dated Wednesday, July 16th. The shares were sold at an average price of $141.92, for a total transaction of $1,755,550.40. Following the sale, the chief executive officer owned 81,755 shares of the company’s stock, valued at $11,602,669.60. The trade was a 13.14% decrease in their position. The disclosure for this sale can be found here. Company insiders own 0.80% of the company’s stock.

Institutional Investors Weigh In On Paychex

Several large investors have recently modified their holdings of the business. Summit Wealth Partners LLC raised its holdings in shares of Paychex by 2.4% in the 1st quarter. Summit Wealth Partners LLC now owns 3,027 shares of the business services provider’s stock valued at $467,000 after purchasing an additional 70 shares in the last quarter. LGT Group Foundation raised its holdings in shares of Paychex by 2.8% in the 1st quarter. LGT Group Foundation now owns 2,528 shares of the business services provider’s stock valued at $390,000 after purchasing an additional 70 shares in the last quarter. Golden State Equity Partners raised its holdings in shares of Paychex by 0.9% in the 1st quarter. Golden State Equity Partners now owns 7,623 shares of the business services provider’s stock valued at $1,176,000 after purchasing an additional 71 shares in the last quarter. Brighton Jones LLC raised its holdings in shares of Paychex by 1.0% in the 2nd quarter. Brighton Jones LLC now owns 6,954 shares of the business services provider’s stock valued at $1,012,000 after purchasing an additional 71 shares in the last quarter. Finally, Palumbo Wealth Management LLC raised its holdings in shares of Paychex by 2.4% in the 1st quarter. Palumbo Wealth Management LLC now owns 3,192 shares of the business services provider’s stock valued at $492,000 after purchasing an additional 74 shares in the last quarter. Institutional investors own 83.47% of the company’s stock.

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.