Texas Permanent School Fund Corp Sells 12,118 Shares of Paychex, Inc. $PAYX

Texas Permanent School Fund Corp cut its position in Paychex, Inc. (NASDAQ:PAYX) by 35.0% in the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 22,528 shares of the business services provider’s stock after selling 12,118 shares during the quarter. Texas Permanent School Fund Corp’s holdings in Paychex were worth $3,277,000 as of its most recent SEC filing.

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

Key Paychex News

Here are the key news stories impacting Paychex this week:

• Positive Sentiment: Q2 results beat expectations — EPS of $1.26 topped estimates and revenue rose 18.3% year-over-year, driven by management solutions and the recent Paycor contribution. Paychex Q2 Earnings & Revenues Surpass Estimates
• Positive Sentiment: Paycor acquisition helping scale revenue and lift the company’s profit outlook, supporting the stronger top-line and the raised FY26 EPS range. Paychex Scales Fast After Paycor Acquisition
• Positive Sentiment: Company raised FY2026 EPS guidance to $5.48–$5.53, slightly above consensus, signaling management confidence in earnings power despite near-term costs. Paychex Reports Second Quarter Results
• Neutral Sentiment: Analysts were active ahead of the release, with some revisions to estimates — reflecting varied views on growth durability and integration risk. Analysts Revise Forecasts Ahead Of Earnings
• Neutral Sentiment: Some brokerages remain cautious (example: Stifel maintained a hold), keeping a range of opinions on valuation and growth vs. execution risk. Stifel Maintains Hold
• Negative Sentiment: Higher quarterly expenses (integration, amortization, or operating costs) were highlighted as offsetting some of the upside and tempered investor reaction to the guidance raise. Reuters: Higher Quarterly Expenses Overshadow Forecast Raise

Paychex Price Performance

Shares of NASDAQ PAYX opened at $112.28 on Friday. The stock has a market capitalization of $40.41 billion, a PE ratio of 25.23 and a beta of 0.91. The business has a fifty day moving average price of $116.08 and a two-hundred day moving average price of $131.99. Paychex, Inc. has a fifty-two week low of $108.00 and a fifty-two week high of $161.24. The company has a debt-to-equity ratio of 1.15, a current ratio of 1.27 and a quick ratio of 1.27.

Paychex (NASDAQ:PAYX) last posted its quarterly earnings data on Friday, December 19th. The business services provider reported $1.26 earnings per share for the quarter, topping the consensus estimate of $1.23 by $0.03. Paychex had a net margin of 27.85% and a return on equity of 45.17%. The business had revenue of $1.56 billion during the quarter, compared to analysts’ expectations of $1.55 billion. During the same quarter in the prior year, the business posted $1.14 earnings per share. Paychex’s revenue was up 18.3% compared to the same quarter last year. Paychex has set its FY 2026 guidance at 5.480-5.530 EPS. As a group, equities analysts predict that Paychex, Inc. will post 4.99 earnings per share for the current fiscal year.

Paychex Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, November 26th. Investors of record on Friday, November 7th were paid a $1.08 dividend. This represents a $4.32 dividend on an annualized basis and a yield of 3.8%. The ex-dividend date of this dividend was Friday, November 7th. Paychex’s dividend payout ratio (DPR) is 97.08%.

Analysts Set New Price Targets

A number of research firms recently weighed in on PAYX. TD Cowen dropped their price target on Paychex from $126.00 to $114.00 and set a “hold” rating on the stock in a research note on Monday, December 1st. Wells Fargo & Company cut their target price on shares of Paychex from $128.00 to $116.00 and set an “underweight” rating for the company in a research note on Tuesday, December 9th. Wolfe Research lowered their price target on shares of Paychex from $130.00 to $115.00 and set an “underperform” rating on the stock in a report on Wednesday, December 10th. BMO Capital Markets lowered their target price on Paychex from $140.00 to $121.00 and set a “market perform” rating on the stock in a research note on Tuesday, December 9th. Finally, UBS Group decreased their price objective on Paychex from $140.00 to $132.00 and set a “neutral” rating on the stock in a report on Thursday, October 2nd. Fourteen investment analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Reduce” and an average target price of $130.60.

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.