First Horizon Advisors Inc. Acquires 214 Shares of Paychex, Inc. (NASDAQ:PAYX)

First Horizon Advisors Inc. raised its holdings in shares of Paychex, Inc. (NASDAQ:PAYX) by 0.9% in the 4th quarter, according to its most recent 13F filing with the SEC. The fund owned 23,539 shares of the business services provider’s stock after acquiring an additional 214 shares during the period. First Horizon Advisors Inc.’s holdings in Paychex were worth $2,804,000 at the end of the most recent reporting period.

A number of other large investors also recently made changes to their positions in PAYX. Raymond James Financial Services Advisors Inc. grew its holdings in Paychex by 8.9% during the third quarter. Raymond James Financial Services Advisors Inc. now owns 295,011 shares of the business services provider’s stock valued at $34,024,000 after purchasing an additional 24,082 shares during the period. Stratos Wealth Partners LTD. raised its position in shares of Paychex by 2.5% during the third quarter. Stratos Wealth Partners LTD. now owns 10,999 shares of the business services provider’s stock worth $1,269,000 after purchasing an additional 267 shares during the period. J.W. Cole Advisors Inc. grew its position in shares of Paychex by 2.9% in the 3rd quarter. J.W. Cole Advisors Inc. now owns 4,818 shares of the business services provider’s stock valued at $556,000 after purchasing an additional 134 shares during the period. NorthRock Partners LLC bought a new stake in Paychex during the 3rd quarter worth approximately $236,000. Finally, Mn Services Vermogensbeheer B.V. raised its holdings in Paychex by 1.4% during the 3rd quarter. Mn Services Vermogensbeheer B.V. now owns 156,680 shares of the business services provider’s stock worth $18,070,000 after buying an additional 2,200 shares during the period. Institutional investors and hedge funds own 83.47% of the company’s stock.

Paychex Stock Performance

NASDAQ PAYX opened at $120.10 on Friday. Paychex, Inc. has a 52-week low of $104.09 and a 52-week high of $129.70. The stock has a market cap of $43.23 billion, a PE ratio of 26.17, a P/E/G ratio of 3.34 and a beta of 0.93. The firm has a 50-day moving average of $121.57 and a 200-day moving average of $120.39. The company has a debt-to-equity ratio of 0.21, a quick ratio of 1.24 and a current ratio of 1.24.

Paychex (NASDAQ:PAYX) last announced its earnings results on Tuesday, April 2nd. The business services provider reported $1.38 earnings per share for the quarter, topping analysts’ consensus estimates of $1.37 by $0.01. Paychex had a return on equity of 46.14% and a net margin of 31.86%. The company had revenue of $1.44 billion for the quarter, compared to analyst estimates of $1.46 billion. During the same quarter last year, the company earned $1.29 earnings per share. The firm’s quarterly revenue was up 4.2% compared to the same quarter last year. On average, sell-side analysts anticipate that Paychex, Inc. will post 4.71 EPS for the current year.

Paychex announced that its Board of Directors has initiated a share buyback program on Friday, January 19th that authorizes the company to buyback $400.00 million in outstanding shares. This buyback authorization authorizes the business services provider to reacquire up to 0.9% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s board of directors believes its stock is undervalued.

Paychex Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, May 30th. Shareholders of record on Friday, May 10th will be issued a $0.98 dividend. The ex-dividend date is Thursday, May 9th. This represents a $3.92 dividend on an annualized basis and a yield of 3.26%. This is an increase from Paychex’s previous quarterly dividend of $0.89. Paychex’s payout ratio is currently 77.56%.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on the stock. Wedbush reissued a “neutral” rating and set a $115.00 price objective on shares of Paychex in a research report on Wednesday, April 3rd. Royal Bank of Canada reaffirmed a “sector perform” rating and set a $130.00 price target on shares of Paychex in a research note on Wednesday, April 3rd. Bank of America boosted their price objective on shares of Paychex from $108.00 to $111.00 and gave the stock an “underperform” rating in a research report on Wednesday, April 3rd. Evercore ISI reiterated an “in-line” rating and issued a $118.00 price target on shares of Paychex in a research note on Tuesday, March 26th. Finally, TD Cowen lowered their target price on Paychex from $122.00 to $121.00 and set a “hold” rating on the stock in a research report on Wednesday, April 3rd. Two equities research analysts have rated the stock with a sell rating and ten have issued a hold rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $123.00.

Paychex Company Profile

Paychex, Inc provides integrated human capital management solutions for human resources (HR), payroll, benefits, 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.