Paychex, Inc. $PAYX Shares Sold by Nordea Investment Management AB

Nordea Investment Management AB lessened its position in shares of Paychex, Inc. (NASDAQ:PAYX) by 8.2% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 1,157,485 shares of the business services provider’s stock after selling 102,891 shares during the period. Nordea Investment Management AB owned approximately 0.32% of Paychex worth $130,703,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Quantum Portfolio Management LLC grew its holdings in shares of Paychex by 3.1% during 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 during the period. FAS Wealth Partners Inc. raised its holdings in Paychex by 3.3% in the second quarter. FAS Wealth Partners Inc. now owns 2,597 shares of the business services provider’s stock valued at $378,000 after buying an additional 83 shares during the period. Somerset Trust Co lifted its position in Paychex by 0.3% during the third quarter. Somerset Trust Co now owns 32,964 shares of the business services provider’s stock valued at $4,179,000 after buying an additional 84 shares in the last quarter. Suncoast Equity Management lifted its position in Paychex by 0.6% during the third quarter. Suncoast Equity Management now owns 14,055 shares of the business services provider’s stock valued at $1,782,000 after buying an additional 85 shares in the last quarter. Finally, 44 Wealth Management LLC grew its stake in Paychex by 2.7% during the second quarter. 44 Wealth Management LLC now owns 3,290 shares of the business services provider’s stock worth $479,000 after buying an additional 86 shares during the period. 83.47% of the stock is currently owned by institutional investors and hedge funds.

Paychex Trading Up 0.9%

NASDAQ PAYX opened at $92.55 on Monday. The stock has a market cap of $33.22 billion, a P/E ratio of 20.99 and a beta of 0.91. The company’s fifty day simple moving average is $98.48 and its 200-day simple moving average is $112.14. The company has a current ratio of 1.27, a quick ratio of 1.27 and a debt-to-equity ratio of 1.17. Paychex, Inc. has a 52 week low of $86.89 and a 52 week high of $161.24.

Paychex (NASDAQ:PAYX) last released its quarterly earnings results on Friday, December 19th. The business services provider reported $1.26 earnings per share 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 business had revenue of $1.56 billion during the quarter, compared to analyst estimates of $1.55 billion. During the same period last year, the business earned $1.14 EPS. The business’s revenue was up 18.3% on a year-over-year basis. Equities research analysts predict that Paychex, Inc. will post 4.99 EPS for the current fiscal year.

Paychex declared that its board has approved a stock buyback program on Friday, January 16th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the business services provider to reacquire up to 2.5% of its stock through open market purchases. Stock repurchase programs are typically an indication that the company’s board believes its stock is undervalued.

Paychex Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, February 27th. Shareholders of record on Wednesday, January 28th were given a $1.08 dividend. This represents a $4.32 dividend on an annualized basis and a yield of 4.7%. The ex-dividend date of this dividend was Wednesday, January 28th. Paychex’s dividend payout ratio is presently 97.96%.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on the stock. Stephens dropped their price objective on shares of Paychex from $135.00 to $125.00 and set an “equal weight” rating for the company in a research report on Monday, December 22nd. Guggenheim started coverage on shares of Paychex in a report on Thursday. They set a “neutral” rating on the stock. TD Cowen reaffirmed a “hold” rating on shares of Paychex in a research report on Monday, December 1st. JPMorgan Chase & Co. lowered their price target on Paychex from $140.00 to $125.00 and set an “underweight” rating for the company in a report on Monday, December 22nd. Finally, Jefferies Financial Group set a $110.00 price objective on Paychex in a research report on Friday, December 19th. One research analyst has rated the stock with a Buy rating, fourteen have given a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Reduce” and a consensus target price of $121.38.

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.