Paychex, Inc. $PAYX Shares Purchased by Independence Bank of Kentucky

Independence Bank of Kentucky raised its holdings in shares of Paychex, Inc. (NASDAQ:PAYX) by 37.7% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 17,711 shares of the business services provider’s stock after acquiring an additional 4,845 shares during the period. Independence Bank of Kentucky’s holdings in Paychex were worth $1,632,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also modified their holdings of PAYX. Vermillion & White Wealth Management Group LLC acquired a new position in Paychex during the third quarter worth about $27,000. Stance Capital LLC acquired a new position in shares of Paychex in the third quarter worth about $31,000. Hilton Head Capital Partners LLC acquired a new position in Paychex in the 4th quarter worth approximately $31,000. KERR FINANCIAL PLANNING Corp purchased a new stake in shares of Paychex in the third quarter valued at $37,000. Finally, Cornerstone Planning Group LLC boosted its position in Paychex by 957.1% during the 4th quarter. Cornerstone Planning Group LLC now owns 296 shares of the business services provider’s stock worth $30,000 after acquiring an additional 268 shares during the period. 83.47% of the stock is currently owned by institutional investors.

Paychex Stock Up 1.2%

PAYX stock traded up $1.28 during mid-day trading on Friday, hitting $107.54. 2,179,668 shares of the company were exchanged, compared to its average volume of 3,609,491. The firm has a market cap of $38.53 billion, a P/E ratio of 21.99 and a beta of 0.84. Paychex, Inc. has a 1-year low of $85.45 and a 1-year high of $148.11. The company has a debt-to-equity ratio of 1.22, a quick ratio of 1.26 and a current ratio of 1.26. The firm’s 50 day simple moving average is $98.16 and its 200 day simple moving average is $98.48.

Paychex (NASDAQ:PAYX) last released its earnings results on Wednesday, June 24th. The business services provider reported $1.32 EPS for the quarter, beating the consensus estimate of $1.31 by $0.01. The firm had revenue of $1.61 billion for the quarter, compared to analysts’ expectations of $1.60 billion. Paychex had a return on equity of 50.90% and a net margin of 27.03%.The business’s quarterly revenue was up 12.5% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.19 EPS. Paychex has set its FY 2027 guidance at 5.900-6.010 EPS. On average, sell-side analysts predict that Paychex, Inc. will post 5.96 EPS for the current fiscal year.

Paychex Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, May 29th. Investors of record on Wednesday, May 13th were paid a $1.19 dividend. This is an increase from Paychex’s previous quarterly dividend of $1.08. The ex-dividend date was Wednesday, May 13th. This represents a $4.76 annualized dividend and a yield of 4.4%. Paychex’s dividend payout ratio (DPR) is 97.34%.

Wall Street Analysts Forecast Growth

A number of brokerages have recently commented on PAYX. TD Cowen increased their price objective on Paychex from $94.00 to $98.00 and gave the company a “hold” rating in a report on Monday, June 8th. Weiss Ratings reiterated a “hold (c-)” rating on shares of Paychex in a research report on Friday, April 24th. Stifel Nicolaus raised their target price on Paychex from $105.00 to $110.00 and gave the company a “hold” rating in a research note on Wednesday, June 17th. Stephens decreased their price objective on Paychex from $125.00 to $105.00 and set an “equal weight” rating on the stock in a research report on Thursday, March 26th. Finally, JPMorgan Chase & Co. raised their price target on Paychex from $100.00 to $105.00 and gave the company an “underweight” rating in a report on Thursday, June 25th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, ten have assigned a Hold rating and four have assigned a Sell rating to the company’s stock. According to data from MarketBeat, Paychex currently has a consensus rating of “Hold” and an average price target of $105.80.

Paychex News Roundup

Here are the key news stories impacting Paychex this week:

• Positive Sentiment: Zacks Research lifted multiple earnings estimates for Paychex (PAYX), including FY2027 and FY2029, signaling improved profit expectations and a potentially supportive outlook for the stock.
• Positive Sentiment: Paychex was highlighted among the Nasdaq 100’s highest-yielding stocks, which may attract income-focused investors looking for defensive dividend names.
• Neutral Sentiment: Short-interest data showed no reported short interest, so there is no clear evidence of a meaningful bearish positioning shift in the shares.
• Negative Sentiment: A separate article said Paychex (PAYX) could be as much as 38% below fair value after removal from the Russell Growth Index, suggesting the recent move may be partly tied to index-related repricing and raising valuation concerns. Article Title

Insider Buying and Selling at Paychex

In related news, Director Joseph M. Tucci sold 3,907 shares of the company’s stock in a transaction dated Friday, June 26th. The shares were sold at an average price of $98.25, for a total value of $383,862.75. Following the transaction, the director owned 67,364 shares in the company, valued at approximately $6,618,513. This represents a 5.48% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. 0.80% of the stock is owned by insiders.

Paychex 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.