Y Intercept Hong Kong Ltd Boosts Stock Holdings in Paychex, Inc. $PAYX

Y Intercept Hong Kong Ltd lifted its position in Paychex, Inc. (NASDAQ:PAYX) by 220.5% in the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 140,662 shares of the business services provider’s stock after acquiring an additional 96,777 shares during the quarter. Paychex makes up approximately 0.4% of Y Intercept Hong Kong Ltd’s portfolio, making the stock its 20th largest position. Y Intercept Hong Kong Ltd’s holdings in Paychex were worth $17,830,000 at the end of the most recent reporting period.

A number of other large investors also recently made changes to their positions in PAYX. Heartwood Wealth Advisors LLC purchased a new position in Paychex during the third quarter worth about $25,000. NewSquare Capital LLC lifted its position 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 buying an additional 98 shares in the last quarter. GPS Wealth Strategies Group LLC lifted its position in shares of 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 in the last quarter. Westfuller Advisors LLC purchased a new position in shares of Paychex in the 3rd quarter worth approximately $35,000. Finally, Whipplewood Advisors LLC boosted its stake in shares of Paychex by 94.0% in the 2nd quarter. Whipplewood Advisors LLC now owns 293 shares of the business services provider’s stock worth $43,000 after buying an additional 142 shares during the last quarter. 83.47% of the stock is owned by institutional investors.

Paychex Trading Down 0.5%

Shares of Paychex stock opened at $106.63 on Friday. Paychex, Inc. has a 52-week low of $106.47 and a 52-week high of $161.24. The stock’s 50-day simple moving average is $111.88 and its 200 day simple moving average is $125.16. The stock has a market capitalization of $38.28 billion, a P/E ratio of 24.18 and a beta of 0.91. The company has a debt-to-equity ratio of 1.17, a quick ratio of 1.27 and a current ratio of 1.27.

Paychex (NASDAQ:PAYX) last issued its earnings results on Friday, December 19th. The business services provider reported $1.26 earnings per share for the quarter, topping analysts’ consensus estimates of $1.23 by $0.03. The firm had revenue of $1.56 billion during the quarter, compared to analyst estimates of $1.55 billion. Paychex had a net margin of 26.45% and a return on equity of 46.38%. The company’s quarterly revenue was up 18.3% on a year-over-year basis. During the same quarter last year, the business earned $1.14 earnings per share. Paychex has set its FY 2026 guidance at 5.480-5.530 EPS. As a group, research analysts anticipate that Paychex, Inc. will post 4.99 EPS for the current year.

Paychex announced that its board has initiated a stock repurchase program on Friday, January 16th that authorizes the company to buyback $1.00 billion in outstanding shares. This buyback authorization authorizes the business services provider to reacquire up to 2.5% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s board of directors believes its stock is undervalued.

Paychex Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, February 27th. Investors of record on Wednesday, January 28th will be paid a $1.08 dividend. This represents a $4.32 dividend on an annualized basis and a yield of 4.1%. The ex-dividend date is Wednesday, January 28th. Paychex’s payout ratio is currently 97.96%.

Wall Street Analysts Forecast Growth

A number of analysts recently commented on PAYX shares. BMO Capital Markets decreased their price target on Paychex from $140.00 to $121.00 and set a “market perform” rating for the company in a research report on Tuesday, December 9th. Robert W. Baird reduced their price objective on Paychex from $153.00 to $148.00 and set a “neutral” rating for the company in a research note on Wednesday, October 1st. TD Cowen restated a “hold” rating on shares of Paychex in a research note on Monday, December 1st. Weiss Ratings reiterated a “hold (c)” rating on shares of Paychex in a research note on Monday, December 29th. Finally, Argus cut their price target on shares of Paychex from $150.00 to $130.00 and set a “buy” rating on the stock in a report on Friday, January 2nd. One equities research analyst has rated the stock with a Buy rating, thirteen have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and an average target price of $125.67.

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.