TriNet Group (NYSE:TNET) Cut to Strong Sell at Zacks Research

Zacks Research lowered shares of TriNet Group (NYSE:TNET) from a hold rating to a strong sell rating in a research note issued to investors on Thursday morning,Zacks.com reports.

Several other equities research analysts have also issued reports on TNET. Weiss Ratings reiterated a “sell (d+)” rating on shares of TriNet Group in a research report on Wednesday, January 21st. UBS Group dropped their price objective on shares of TriNet Group from $69.00 to $63.00 and set a “neutral” rating for the company in a report on Thursday, October 30th. Stifel Nicolaus reduced their target price on TriNet Group from $97.00 to $75.00 and set a “buy” rating on the stock in a research note on Friday, February 13th. JPMorgan Chase & Co. lowered their price target on TriNet Group from $75.00 to $65.00 and set an “underweight” rating on the stock in a research report on Thursday, October 30th. Finally, Truist Financial began coverage on TriNet Group in a report on Friday, December 5th. They issued a “hold” rating and a $62.00 price objective for the company. One research analyst has rated the stock with a Buy rating, four have given a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, TriNet Group presently has a consensus rating of “Reduce” and a consensus price target of $65.80.

TriNet Group Stock Down 9.9%

TNET opened at $38.47 on Thursday. The firm has a market capitalization of $1.82 billion, a P/E ratio of 12.17 and a beta of 0.81. TriNet Group has a one year low of $38.44 and a one year high of $88.56. The company has a fifty day moving average price of $56.83 and a 200-day moving average price of $60.90. The company has a debt-to-equity ratio of 16.57, a current ratio of 1.09 and a quick ratio of 1.09.

TriNet Group (NYSE:TNET) last posted its quarterly earnings data on Thursday, February 12th. The business services provider reported $0.46 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.37 by $0.09. TriNet Group had a return on equity of 215.01% and a net margin of 3.09%.The company had revenue of $1.25 billion during the quarter, compared to analyst estimates of $251.57 million. During the same quarter last year, the company earned $0.44 earnings per share. The firm’s quarterly revenue was down 2.3% on a year-over-year basis. TriNet Group has set its FY 2026 guidance at 3.700-4.700 EPS. Equities research analysts expect that TriNet Group will post 3.04 earnings per share for the current fiscal year.

TriNet Group Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, January 26th. Stockholders of record on Friday, January 2nd were paid a dividend of $0.275 per share. This represents a $1.10 dividend on an annualized basis and a dividend yield of 2.9%. The ex-dividend date of this dividend was Friday, January 2nd. TriNet Group’s dividend payout ratio (DPR) is 34.81%.

TriNet Group declared that its Board of Directors has initiated a share buyback plan on Thursday, February 12th that authorizes the company to buyback $400.00 million in outstanding shares. This buyback authorization authorizes the business services provider to repurchase up to 18.4% of its shares through open market purchases. Shares buyback plans are usually a sign that the company’s management believes its shares are undervalued.

Insider Transactions at TriNet Group

In other news, CTO Jeffery Jon Hayward sold 1,437 shares of the stock in a transaction that occurred on Tuesday, November 25th. The stock was sold at an average price of $57.51, for a total transaction of $82,641.87. Following the completion of the sale, the chief technology officer owned 27,922 shares of the company’s stock, valued at approximately $1,605,794.22. This represents a 4.89% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Sidney A. Majalya sold 775 shares of TriNet Group stock in a transaction on Friday, January 9th. The stock was sold at an average price of $61.86, for a total transaction of $47,941.50. Following the completion of the transaction, the senior vice president directly owned 19,853 shares in the company, valued at approximately $1,228,106.58. The trade was a 3.76% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 2,699 shares of company stock valued at $150,945. 38.10% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On TriNet Group

Hedge funds and other institutional investors have recently made changes to their positions in the business. Massachusetts Financial Services Co. MA boosted its holdings in TriNet Group by 19.7% in the third quarter. Massachusetts Financial Services Co. MA now owns 2,353,004 shares of the business services provider’s stock valued at $157,392,000 after acquiring an additional 387,940 shares in the last quarter. Boston Partners purchased a new stake in shares of TriNet Group in the 3rd quarter worth about $97,712,000. American Century Companies Inc. lifted its position in shares of TriNet Group by 14.4% in the 3rd quarter. American Century Companies Inc. now owns 1,327,636 shares of the business services provider’s stock worth $88,806,000 after purchasing an additional 167,599 shares during the period. Earnest Partners LLC boosted its stake in shares of TriNet Group by 3.4% during the 4th quarter. Earnest Partners LLC now owns 898,319 shares of the business services provider’s stock valued at $53,118,000 after purchasing an additional 29,613 shares in the last quarter. Finally, Dimensional Fund Advisors LP increased its position in shares of TriNet Group by 0.6% during the fourth quarter. Dimensional Fund Advisors LP now owns 893,701 shares of the business services provider’s stock valued at $52,845,000 after buying an additional 5,036 shares during the period. Institutional investors own 96.81% of the company’s stock.

TriNet Group Company Profile

TriNet Group, Inc is a leading professional employer organization (PEO) that offers integrated human capital management solutions to small and medium-size businesses. Through a bundled suite of services, TriNet manages payroll administration, employee benefits, workers’ compensation, risk mitigation and federal and state compliance. Its cloud-based platform provides clients with centralized access to HR tools, analytics and streamlined workforce management capabilities.

Founded in 1988 and headquartered in Dublin, California, TriNet has grown to support thousands of organizations across the United States.