Oak Thistle LLC Invests $1.89 Million in Paychex, Inc. $PAYX

Oak Thistle LLC acquired a new position in shares of Paychex, Inc. (NASDAQ:PAYX) during the 4th quarter, according to its most recent filing with the SEC. The institutional investor acquired 16,860 shares of the business services provider’s stock, valued at approximately $1,891,000.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Heartwood Wealth Advisors LLC acquired a new stake in Paychex during the 3rd quarter worth approximately $25,000. Vermillion & White Wealth Management Group LLC acquired a new stake in Paychex during the 3rd quarter worth approximately $27,000. Stance Capital LLC acquired a new stake in Paychex during the 3rd quarter worth approximately $31,000. MMA Asset Management LLC acquired a new stake in Paychex during the 3rd quarter worth approximately $32,000. Finally, Westfuller Advisors LLC acquired a new stake in Paychex during the 3rd quarter worth approximately $35,000. Institutional investors and hedge funds own 83.47% of the company’s stock.

Paychex Stock Down 1.9%

Shares of NASDAQ:PAYX opened at $89.89 on Thursday. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 1.13. Paychex, Inc. has a 52-week low of $86.89 and a 52-week high of $161.24. The company has a 50 day moving average of $94.24 and a two-hundred day moving average of $108.50. The company has a market capitalization of $32.21 billion, a price-to-earnings ratio of 19.80 and a beta of 0.88.

Paychex (NASDAQ:PAYX) last issued its quarterly earnings data on Wednesday, March 25th. The business services provider reported $1.71 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.67 by $0.04. Paychex had a net margin of 25.84% and a return on equity of 48.52%. The company had revenue of $1.81 billion during the quarter, compared to the consensus estimate of $1.78 billion. During the same quarter last year, the company earned $1.49 earnings per share. Paychex’s revenue for the quarter was up 19.9% on a year-over-year basis. As a group, analysts forecast that Paychex, Inc. will post 4.99 earnings per share for the current fiscal year.

Paychex announced that its board has authorized a share repurchase program on Friday, January 16th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the business services provider to buy up to 2.5% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s management believes its shares are 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. The ex-dividend date of this dividend was Wednesday, January 28th. This represents a $4.32 annualized dividend and a yield of 4.8%. Paychex’s dividend payout ratio (DPR) is 95.15%.

Wall Street Analyst Weigh In

A number of analysts recently issued reports on the stock. Morgan Stanley dropped their target price on shares of Paychex from $123.00 to $107.00 and set an “equal weight” rating for the company in a research report on Thursday, March 26th. Robert W. Baird dropped their target price on shares of Paychex from $148.00 to $125.00 and set a “neutral” rating for the company in a research report on Thursday, March 26th. Citigroup dropped their target price on shares of Paychex from $120.00 to $99.00 and set a “neutral” rating for the company in a research report on Thursday, March 26th. Royal Bank Of Canada dropped their target price on shares of Paychex from $125.00 to $102.00 and set a “sector perform” rating for the company in a research report on Thursday, March 19th. Finally, Wells Fargo & Company dropped their target price on shares of Paychex from $116.00 to $95.00 and set an “underweight” rating for the company in a research report on Thursday, March 26th. One research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, twelve have assigned a Hold rating and four have given a Sell rating to the company. According to data from MarketBeat, Paychex has an average rating of “Reduce” and an average price target of $108.75.

About Paychex

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.