ABC Arbitrage SA Invests $2.54 Million in Paychex, Inc. $PAYX

ABC Arbitrage SA bought a new position in shares of Paychex, Inc. (NASDAQ:PAYX) during the 2nd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm bought 17,482 shares of the business services provider’s stock, valued at approximately $2,543,000.

Several other large investors have also made changes to their positions in PAYX. NewSquare Capital LLC lifted its position in shares of Paychex by 83.8% during the 2nd quarter. NewSquare Capital LLC now owns 215 shares of the business services provider’s stock worth $31,000 after buying an additional 98 shares during the last quarter. Quarry LP acquired a new stake in shares of Paychex during the first quarter worth $34,000. Nova Wealth Management Inc. bought a new stake in shares of Paychex during the 1st quarter valued at about $38,000. GPS Wealth Strategies Group LLC boosted its holdings in shares of Paychex by 40.6% during the 2nd quarter. GPS Wealth Strategies Group LLC now owns 263 shares of the business services provider’s stock worth $38,000 after buying an additional 76 shares in the last quarter. Finally, Whipplewood Advisors LLC grew its holdings in Paychex by 94.0% in the second quarter. Whipplewood Advisors LLC now owns 293 shares of the business services provider’s stock worth $43,000 after purchasing an additional 142 shares during the period. Institutional investors and hedge funds own 83.47% of the company’s stock.

Analysts Set New Price Targets

Several research firms recently issued reports on PAYX. Argus reduced their price target on shares of Paychex from $170.00 to $150.00 in a research report on Thursday, October 2nd. Weiss Ratings downgraded shares of Paychex from a “buy (b-)” rating to a “hold (c)” rating in a report on Friday. UBS Group dropped their price target on Paychex from $140.00 to $132.00 and set a “neutral” rating on the stock in a research report on Thursday, October 2nd. Morgan Stanley lifted their price objective on shares of Paychex from $132.00 to $133.00 and gave the company an “equal weight” rating in a research note on Monday, October 20th. Finally, Stephens raised shares of Paychex to a “hold” rating in a report on Tuesday, October 7th. Thirteen analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, Paychex currently has a consensus rating of “Reduce” and an average price target of $139.87.

Paychex Stock Up 0.1%

NASDAQ PAYX opened at $111.64 on Wednesday. The company has a debt-to-equity ratio of 1.15, a current ratio of 1.27 and a quick ratio of 1.27. Paychex, Inc. has a 1 year low of $110.16 and a 1 year high of $161.24. The stock has a market capitalization of $40.18 billion, a PE ratio of 25.09, a PEG ratio of 2.68 and a beta of 0.93. The business’s 50-day moving average is $126.00 and its 200 day moving average is $139.75.

Paychex (NASDAQ:PAYX) last announced its quarterly earnings results 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 return on equity of 45.17% and a net margin of 27.85%.The company had revenue of $1.54 billion during the quarter, compared to analyst estimates of $1.54 billion. During the same quarter last year, the firm posted $1.16 earnings per share. The firm’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. Sell-side analysts forecast that Paychex, Inc. will post 4.99 earnings per share for the current year.

Paychex Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, November 26th. Shareholders of record on Friday, November 7th will be issued a $1.08 dividend. The ex-dividend date is Friday, November 7th. This represents a $4.32 dividend on an annualized basis and a yield of 3.9%. Paychex’s dividend payout ratio is 97.08%.

Paychex 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.