Analysts Set Paychex, Inc. (NASDAQ:PAYX) Target Price at $132.23

Shares of Paychex, Inc. (NASDAQ:PAYX) have been given an average rating of “Reduce” by the thirteen research firms that are currently covering the firm, Marketbeat Ratings reports. Two equities research analysts have rated the stock with a sell rating and eleven have assigned a hold rating to the company. The average twelve-month target price among brokers that have covered the stock in the last year is $132.23.

A number of equities analysts recently commented on the company. UBS Group lifted their price target on Paychex from $125.00 to $142.00 and gave the stock a “neutral” rating in a report on Wednesday, October 2nd. Jefferies Financial Group boosted their price objective on Paychex from $120.00 to $130.00 and gave the stock a “hold” rating in a report on Wednesday, October 2nd. Royal Bank of Canada restated a “sector perform” rating and set a $148.00 price objective on shares of Paychex in a report on Friday, December 20th. Citigroup boosted their price objective on Paychex from $125.00 to $145.00 and gave the stock a “neutral” rating in a report on Wednesday, September 25th. Finally, Stifel Nicolaus boosted their price objective on Paychex from $130.00 to $141.00 and gave the stock a “hold” rating in a report on Wednesday, October 2nd.

Institutional Investors Weigh In On Paychex

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Mutual Advisors LLC raised its position in Paychex by 2.6% during the fourth quarter. Mutual Advisors LLC now owns 2,881 shares of the business services provider’s stock valued at $423,000 after purchasing an additional 73 shares in the last quarter. CVA Family Office LLC raised its position in Paychex by 5.6% during the third quarter. CVA Family Office LLC now owns 1,388 shares of the business services provider’s stock valued at $186,000 after purchasing an additional 74 shares in the last quarter. Fortitude Family Office LLC raised its position in Paychex by 42.0% during the third quarter. Fortitude Family Office LLC now owns 250 shares of the business services provider’s stock valued at $34,000 after purchasing an additional 74 shares in the last quarter. Kanawha Capital Management LLC raised its position in Paychex by 1.8% during the third quarter. Kanawha Capital Management LLC now owns 4,283 shares of the business services provider’s stock valued at $575,000 after purchasing an additional 75 shares in the last quarter. Finally, Baron Wealth Management LLC raised its position in Paychex by 2.2% during the third quarter. Baron Wealth Management LLC now owns 3,628 shares of the business services provider’s stock valued at $487,000 after purchasing an additional 79 shares in the last quarter. 83.47% of the stock is currently owned by institutional investors and hedge funds.

Paychex Price Performance

NASDAQ:PAYX opened at $146.29 on Tuesday. The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.39 and a current ratio of 1.39. The stock’s 50-day simple moving average is $142.27 and its 200 day simple moving average is $135.43. The company has a market cap of $52.67 billion, a P/E ratio of 30.80, a P/E/G ratio of 3.80 and a beta of 1.00. Paychex has a 52-week low of $114.72 and a 52-week high of $150.71.

Paychex (NASDAQ:PAYX) last released its earnings results on Thursday, December 19th. The business services provider reported $1.14 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.12 by $0.02. The business had revenue of $1.32 billion for the quarter, compared to the consensus estimate of $1.31 billion. Paychex had a return on equity of 45.28% and a net margin of 32.02%. Paychex’s quarterly revenue was up 4.7% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.08 earnings per share. As a group, sell-side analysts forecast that Paychex will post 4.99 EPS for the current fiscal year.

Paychex Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, February 27th. Stockholders of record on Friday, February 7th will be given a $0.98 dividend. The ex-dividend date is Friday, February 7th. This represents a $3.92 dividend on an annualized basis and a dividend yield of 2.68%. Paychex’s payout ratio is 82.53%.

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.