Paychex (NASDAQ:PAYX) Stock Price Breaks Above Fifty Day Moving Average – What’s Next?

Paychex, Inc. (NASDAQ:PAYX)’s share price crossed above its 50-day moving average during trading on Monday. The stock has a 50-day moving average of $112.62 and traded as high as $115.99. Paychex shares last traded at $115.49, with a volume of 2,468,591 shares.

Analysts Set New Price Targets

Several research firms recently weighed in on PAYX. Raymond James Financial upgraded shares of Paychex from a “market perform” rating to an “outperform” rating and set a $210.00 price objective on the stock in a research report on Thursday, July 16th. TD Cowen dropped their price objective on shares of Paychex from $117.00 to $105.00 and set a “hold” rating for the company in a report on Friday, September 25th. Robert W. Baird dropped their target price on Paychex from $125.00 to $110.00 and set a “neutral” rating for the company in a research report on Monday, September 28th. Cantor Fitzgerald cut their price target on shares of Paychex from $112.00 to $96.00 and set an “underweight” rating for the company in a research report on Monday, September 28th. Finally, Wells Fargo & Company lifted their target price on shares of Paychex from $95.00 to $111.00 and gave the stock an “underweight” rating in a research note on Wednesday, September 9th. One investment analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, thirteen have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $127.88.

Paychex Stock Up 3.0%

The firm has a market capitalization of $41.11 billion, a P/E ratio of 22.91, a P/E/G ratio of 2.27 and a beta of 0.86. The company has a fifty day simple moving average of $112.62 and a 200 day simple moving average of $103.62. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 1.23.

Paychex (NASDAQ:PAYX) last released its quarterly earnings data on Wednesday, September 23rd. The business services provider reported $1.34 earnings per share for the quarter, beating analysts’ consensus estimates of $1.32 by $0.02. Paychex had a net margin of 27.35% and a return on equity of 52.78%. The business had revenue of $1.63 billion during the quarter, compared to analyst estimates of $1.63 billion. During the same period last year, the business earned $1.22 EPS. Paychex’s revenue was up 5.9% compared to the same quarter last year. Paychex has set its FY 2027 guidance at 5.896-6.006 EPS. On average, equities analysts expect that Paychex, Inc. will post 5.96 EPS for the current fiscal year.

Paychex Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, November 25th. Stockholders of record on Monday, October 26th will be paid a dividend of $1.19 per share. This represents a $4.76 annualized dividend and a dividend yield of 4.1%. The ex-dividend date is Monday, October 26th. Paychex’s dividend payout ratio (DPR) is currently 94.44%.

Insider Buying and Selling

In related news, Director Joseph Velli sold 7,839 shares of the business’s stock in a transaction that occurred on Wednesday, October 14th. The stock was sold at an average price of $107.68, for a total transaction of $844,103.52. Following the completion of the transaction, the director directly owned 81,725 shares in the company, valued at approximately $8,800,148. The trade was a 8.75% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 0.60% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the company. EFG International AG bought a new position in shares of Paychex during the 2nd quarter valued at approximately $1,494,000. Western Wealth Management LLC bought a new position in Paychex during the first quarter valued at $1,174,000. Oppenheimer Asset Management Inc. bought a new position in Paychex during the second quarter valued at $7,296,000. Callan Family Office LLC purchased a new position in shares of Paychex in the 2nd quarter worth $2,928,000. Finally, Fluent Financial LLC purchased a new position in shares of Paychex in the 2nd quarter worth $2,722,000. Hedge funds and other institutional investors own 83.47% of the company’s stock.

Paychex Company Profile

Paychex, Inc provides payroll, human resources and employee-benefits solutions to small and medium-sized businesses. Its offerings include payroll processing, tax administration, time and attendance management, recruiting, onboarding, human resources administration, compliance support and employee benefits services.

The company also provides retirement-plan services, insurance solutions and professional employer organization services. Through its software and outsourced services, Paychex helps employers manage workforce administration, employee data and regulatory requirements.

Paychex was founded in 1971 by B.