Paychex (NASDAQ:PAYX) Price Target Lowered to $130.00 at Argus

Paychex (NASDAQ:PAYX) had its target price trimmed by Argus from $150.00 to $130.00 in a research report sent to investors on Friday morning,MarketScreener reports. The brokerage currently has a buy rating on the business services provider’s stock.

Other research analysts have also recently issued research reports about the company. Wolfe Research dropped their price objective on Paychex from $130.00 to $115.00 and set an “underperform” rating on the stock in a research note on Wednesday, December 10th. TD Cowen lowered their price objective on shares of Paychex from $126.00 to $114.00 and set a “hold” rating for the company in a research note on Monday, December 1st. Wells Fargo & Company cut their target price on shares of Paychex from $128.00 to $116.00 and set an “underweight” rating on the stock in a research report on Tuesday, December 9th. BMO Capital Markets lowered their price target on shares of Paychex from $140.00 to $121.00 and set a “market perform” rating for the company in a research report on Tuesday, December 9th. Finally, Robert W. Baird cut their price objective on shares of Paychex from $153.00 to $148.00 and set a “neutral” rating on the stock in a report on Wednesday, October 1st. One equities research analyst has rated the stock with a Buy rating, fourteen have given a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of “Reduce” and a consensus price target of $125.67.

Paychex Stock Performance

Shares of Paychex stock opened at $108.60 on Friday. Paychex has a 52 week low of $108.00 and a 52 week high of $161.24. The company has a market capitalization of $38.98 billion, a PE ratio of 24.63 and a beta of 0.91. The stock’s fifty day moving average is $113.40 and its two-hundred day moving average is $129.00. The company has a quick ratio of 1.27, a current ratio of 1.27 and a debt-to-equity ratio of 1.17.

Paychex (NASDAQ:PAYX) last issued its earnings results on Friday, December 19th. The business services provider reported $1.26 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.23 by $0.03. Paychex had a net margin of 26.45% and a return on equity of 46.38%. The firm had revenue of $1.56 billion during the quarter, compared to analyst estimates of $1.55 billion. During the same period in the previous year, the firm earned $1.14 earnings per share. The business’s revenue was up 18.3% on a year-over-year basis. Paychex has set its FY 2026 guidance at 5.480-5.530 EPS. As a group, analysts expect that Paychex will post 4.99 earnings per share for the current year.

Paychex Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, November 26th. Shareholders of record on Friday, November 7th were paid a $1.08 dividend. This represents a $4.32 annualized dividend and a yield of 4.0%. The ex-dividend date was Friday, November 7th. Paychex’s dividend payout ratio (DPR) is 97.96%.

Institutional Trading of Paychex

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Brighton Jones LLC increased its position in Paychex by 1.0% during the 2nd quarter. Brighton Jones LLC now owns 6,954 shares of the business services provider’s stock valued at $1,012,000 after buying an additional 71 shares in the last quarter. Sunflower Bank N.A. increased its holdings in shares of Paychex by 3.4% during the second quarter. Sunflower Bank N.A. now owns 2,305 shares of the business services provider’s stock valued at $335,000 after acquiring an additional 75 shares in the last quarter. Empirical Finance LLC raised its position in shares of Paychex by 0.7% in the 2nd quarter. Empirical Finance LLC now owns 11,267 shares of the business services provider’s stock valued at $1,639,000 after purchasing an additional 75 shares during the last quarter. Quantum Portfolio Management LLC boosted its stake in Paychex by 3.1% in the 2nd quarter. Quantum Portfolio Management LLC now owns 2,464 shares of the business services provider’s stock worth $358,000 after purchasing an additional 75 shares in the last quarter. Finally, GPS Wealth Strategies Group LLC grew its position in 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 purchasing an additional 76 shares during the last quarter. Hedge funds and other institutional investors own 83.47% of the company’s stock.

About Paychex

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.