CBIZ, Inc. (NYSE:CBZ) Given Average Rating of “Hold” by Brokerages

CBIZ, Inc. (NYSE:CBZ) has been given an average rating of “Hold” by the eight analysts that are currently covering the firm, Marketbeat.com reports. Five investment analysts have rated the stock with a hold recommendation and three have given a buy recommendation to the company. The average 12 month price target among analysts that have issued a report on the stock in the last year is $44.50.

Several research firms recently weighed in on CBZ. Barrington Research started coverage on shares of CBIZ in a report on Wednesday, June 24th. They issued an “outperform” rating and a $45.00 target price for the company. Weiss Ratings raised CBIZ from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Tuesday. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and issued a $42.00 price objective on shares of CBIZ in a report on Thursday, April 30th. Stephens set a $37.00 target price on CBIZ in a report on Friday, May 1st. Finally, US Capital Advisors set a $55.00 target price on CBIZ in a research report on Thursday.

CBIZ News Roundup

Here are the key news stories impacting CBIZ this week:

• Positive Sentiment: Grant Thornton Advisors will acquire CBIZ in an all-cash transaction at $55 per share, offering shareholders a substantial premium to CBIZ’s pre-announcement price and providing a clear near-term valuation benchmark. The transaction is supported by New Mountain Capital and would take CBIZ private. Grant Thornton Advisors to Acquire CBIZ for $5 Billion
• Positive Sentiment: CBIZ’s latest quarterly results included adjusted earnings of $0.91 per share, well above the $0.72 analyst consensus. The earnings beat, combined with the takeover premium, strengthened investor interest in the stock. CBIZ Shares Gap Up on Better-Than-Expected Earnings
• Neutral Sentiment: Analysts and Zacks highlighted CBIZ’s growth, value and earnings-estimate characteristics, but these research pieces are largely secondary to the acquisition announcement because the $55 cash offer now determines most of the stock’s near-term upside. 3 Reasons Why Growth Investors Shouldn’t Overlook CBIZ
• Negative Sentiment: CBIZ reported quarterly revenue of $682.2 million, below the $698.0 million consensus estimate, while revenue declined slightly year over year and earnings fell from $0.95 per share in the prior-year quarter. These results could limit the stock’s value if the merger is delayed or fails. CBIZ Misses Q2 Revenue Estimates
• Negative Sentiment: Several law firms are investigating whether the $55 offer and the sale process adequately protect shareholders. Such reviews may create deal uncertainty or delay closing, although no wrongdoing has been established. CBIZ Investor Alert

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in CBZ. Durable Capital Partners LP purchased a new stake in CBIZ during the 3rd quarter worth approximately $207,872,000. 22C Capital LLC purchased a new stake in shares of CBIZ during the fourth quarter worth $161,554,000. Bank of Montreal Can purchased a new stake in shares of CBIZ during the fourth quarter worth $113,596,000. P2 Capital Partners LLC raised its stake in shares of CBIZ by 3.3% in the fourth quarter. P2 Capital Partners LLC now owns 1,773,391 shares of the business services provider’s stock valued at $89,468,000 after acquiring an additional 57,066 shares in the last quarter. Finally, State Street Corp boosted its holdings in CBIZ by 4.6% in the second quarter. State Street Corp now owns 1,210,801 shares of the business services provider’s stock valued at $86,827,000 after purchasing an additional 53,099 shares during the period. Institutional investors and hedge funds own 87.44% of the company’s stock.

CBIZ Trading Down 0.2%

Shares of CBZ stock opened at $55.16 on Friday. CBIZ has a 1-year low of $24.29 and a 1-year high of $76.70. The firm has a market cap of $2.96 billion, a PE ratio of 25.77, a price-to-earnings-growth ratio of 1.16 and a beta of 0.99. The company has a 50-day moving average of $36.74 and a two-hundred day moving average of $33.72. The company has a debt-to-equity ratio of 0.77, a current ratio of 1.63 and a quick ratio of 1.63.

CBIZ (NYSE:CBZ) last released its quarterly earnings results on Wednesday, July 29th. The business services provider reported $0.91 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.72 by $0.19. CBIZ had a net margin of 4.73% and a return on equity of 12.37%. The business had revenue of $682.21 million for the quarter, compared to the consensus estimate of $697.96 million. During the same period in the previous year, the firm earned $0.95 EPS. The business’s revenue was down .2% on a year-over-year basis. On average, analysts predict that CBIZ will post 4.1 EPS for the current year.

About CBIZ

CBIZ, Inc (NYSE: CBZ), founded in 1996 and headquartered in Cleveland, Ohio, is a leading provider of professional business services in the United States. Since its inception, the company has grown through both organic expansion and strategic acquisitions to deliver a broad spectrum of financial, tax and advisory solutions tailored to the needs of small to mid-market organizations.

Through its Financial & Advisory Services segment, CBIZ offers accounting, tax preparation and compliance, audit support, and wealth management services.