Summit Global Investments Purchases New Shares in Paychex, Inc. $PAYX

Summit Global Investments purchased a new stake in Paychex, Inc. (NASDAQ:PAYX) in the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund purchased 2,362 shares of the business services provider’s stock, valued at approximately $344,000.

A number of other hedge funds have also recently added to or reduced their stakes in the stock. Martin Capital Partners LLC increased its position in shares of Paychex by 166.9% during the second quarter. Martin Capital Partners LLC now owns 6,340 shares of the business services provider’s stock worth $922,000 after acquiring an additional 3,965 shares in the last quarter. Arkadios Wealth Advisors boosted its position in shares of Paychex by 8.6% during the second quarter. Arkadios Wealth Advisors now owns 53,974 shares of the business services provider’s stock worth $7,851,000 after buying an additional 4,254 shares during the period. MWA Asset Management grew its holdings in shares of Paychex by 6.5% during the first quarter. MWA Asset Management now owns 4,269 shares of the business services provider’s stock worth $659,000 after buying an additional 262 shares in the last quarter. Two Point Capital Management Inc. bought a new position in shares of Paychex during the second quarter worth about $8,761,000. Finally, Midwest Trust Co acquired a new stake in Paychex in the 2nd quarter valued at approximately $5,202,000. Institutional investors own 83.47% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on PAYX shares. Robert W. Baird reduced their price target on Paychex from $153.00 to $148.00 and set a “neutral” rating for the company in a research report on Wednesday, October 1st. Citigroup began coverage on shares of Paychex in a report on Thursday, October 23rd. They set a “neutral” rating and a $139.00 target price for the company. TD Cowen decreased their target price on shares of Paychex from $140.00 to $126.00 and set a “hold” rating for the company in a research report on Wednesday, October 1st. JPMorgan Chase & Co. cut their price target on shares of Paychex from $153.00 to $140.00 and set an “underweight” rating on the stock in a research report on Wednesday, October 1st. Finally, Jefferies Financial Group set a $130.00 price objective on Paychex in a report on Tuesday, September 30th. Thirteen investment analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Reduce” and a consensus target price of $139.87.

Paychex Stock Down 0.6%

Shares of PAYX stock opened at $111.41 on Thursday. The company has a debt-to-equity ratio of 1.15, a quick ratio of 1.27 and a current ratio of 1.27. The firm’s 50-day moving average is $120.81 and its 200-day moving average is $136.91. The stock has a market cap of $40.10 billion, a price-to-earnings ratio of 25.04, a PEG ratio of 2.68 and a beta of 0.93. Paychex, Inc. has a 52-week low of $108.00 and a 52-week high of $161.24.

Paychex (NASDAQ:PAYX) last posted its quarterly earnings results on Tuesday, September 30th. The business services provider reported $1.22 EPS for the quarter, topping analysts’ consensus estimates of $1.20 by $0.02. The business had revenue of $1.54 billion during the quarter, compared to analysts’ expectations 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% on a year-over-year basis. During the same quarter last year, the company posted $1.16 earnings per share. Paychex has set its FY 2026 guidance at 5.428-5.528 EPS. Sell-side analysts predict that Paychex, Inc. will post 4.99 EPS for the current year.

Paychex Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, November 26th. Shareholders of record on Friday, November 7th were issued a dividend of $1.08 per share. The ex-dividend date of this dividend was Friday, November 7th. This represents a $4.32 annualized dividend and a yield of 3.9%. Paychex’s dividend payout ratio (DPR) is currently 97.08%.

Paychex Company 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.