Resona Asset Management Co. Ltd. Boosts Stake in Paychex, Inc. $PAYX

Resona Asset Management Co. Ltd. increased its stake in shares of Paychex, Inc. (NASDAQ:PAYX) by 3.6% during the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 119,873 shares of the business services provider’s stock after buying an additional 4,209 shares during the quarter. Resona Asset Management Co. Ltd.’s holdings in Paychex were worth $17,410,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. NewSquare Capital LLC increased its holdings in shares of Paychex by 83.8% in the second quarter. NewSquare Capital LLC now owns 215 shares of the business services provider’s stock valued at $31,000 after purchasing an additional 98 shares during the period. Quarry LP purchased a new stake in Paychex in the first quarter valued at approximately $34,000. Nova Wealth Management Inc. acquired a new position in Paychex in the 1st quarter worth approximately $38,000. GPS Wealth Strategies Group LLC raised its position in Paychex by 40.6% during the 2nd quarter. GPS Wealth Strategies Group LLC now owns 263 shares of the business services provider’s stock worth $38,000 after buying an additional 76 shares during the last quarter. Finally, Whipplewood Advisors LLC lifted its stake in Paychex by 94.0% during the 2nd quarter. Whipplewood Advisors LLC now owns 293 shares of the business services provider’s stock valued at $43,000 after acquiring an additional 142 shares during the period. Hedge funds and other institutional investors own 83.47% of the company’s stock.

Paychex Stock Performance

NASDAQ PAYX opened at $111.96 on Friday. The stock has a market capitalization of $40.29 billion, a price-to-earnings ratio of 25.16, a PEG ratio of 2.68 and a beta of 0.93. Paychex, Inc. has a twelve month low of $110.70 and a twelve month high of $161.24. The company has a current ratio of 1.27, a quick ratio of 1.27 and a debt-to-equity ratio of 1.15. The stock has a 50-day moving average of $127.05 and a 200 day moving average of $140.25.

Paychex (NASDAQ:PAYX) last issued its quarterly earnings data on Tuesday, September 30th. The business services provider reported $1.22 EPS for the quarter, beating the consensus estimate of $1.20 by $0.02. The company had revenue of $1.54 billion for the quarter, compared to analyst estimates of $1.54 billion. Paychex had a return on equity of 45.17% and a net margin of 27.85%.Paychex’s quarterly revenue was up 16.8% compared to the same quarter last year. During the same period last year, the company earned $1.16 earnings per share. Paychex has set its FY 2026 guidance at 5.428-5.528 EPS. Sell-side analysts anticipate that Paychex, Inc. will post 4.99 EPS for the current fiscal year.

Paychex Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, November 26th. Investors of record on Friday, November 7th will be issued a $1.08 dividend. This represents a $4.32 annualized dividend and a yield of 3.9%. The ex-dividend date of this dividend is Friday, November 7th. Paychex’s payout ratio is presently 97.08%.

Wall Street Analysts Forecast Growth

PAYX has been the topic of a number of research reports. Wolfe Research cut their price objective on shares of Paychex from $145.00 to $140.00 and set an “underperform” rating on the stock in a research note on Friday, September 26th. TD Cowen cut their price target on Paychex from $140.00 to $126.00 and set a “hold” rating on the stock in a research report on Wednesday, October 1st. Morgan Stanley boosted their price objective on Paychex from $132.00 to $133.00 and gave the company an “equal weight” rating in a report on Monday, October 20th. Robert W. Baird lowered their target price on Paychex from $153.00 to $148.00 and set a “neutral” rating on the stock in a research note on Wednesday, October 1st. Finally, BMO Capital Markets reduced their price target on Paychex from $143.00 to $140.00 and set a “market perform” rating for the company in a research report on Wednesday, October 1st. One investment analyst has rated the stock with a Buy rating, twelve have given a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Reduce” and an average price target of $139.87.

Paychex Profile

Paychex, Inc, together with its subsidiaries, provides integrated human capital management solutions (HCM) for payroll, benefits, human resources (HR), 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.