Mitchell Mcleod Pugh & Williams Inc. Grows Stock Holdings in Paychex, Inc. (NASDAQ:PAYX)

Mitchell Mcleod Pugh & Williams Inc. lifted its stake in shares of Paychex, Inc. (NASDAQ:PAYX) by 6.6% during the fourth quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 6,438 shares of the business services provider’s stock after acquiring an additional 400 shares during the quarter. Mitchell Mcleod Pugh & Williams Inc.’s holdings in Paychex were worth $767,000 at the end of the most recent reporting period.

A number of other institutional investors have also modified their holdings of the stock. OFI Invest Asset Management bought a new stake in shares of Paychex in the 3rd quarter valued at about $26,000. Carmel Capital Partners LLC purchased a new position in Paychex during the third quarter valued at approximately $28,000. Larson Financial Group LLC raised its stake in Paychex by 91.5% in the third quarter. Larson Financial Group LLC now owns 272 shares of the business services provider’s stock worth $31,000 after buying an additional 130 shares in the last quarter. Fortis Group Advisors LLC purchased a new stake in Paychex during the third quarter worth $34,000. Finally, Gradient Investments LLC boosted its position in Paychex by 39.8% during the 3rd quarter. Gradient Investments LLC now owns 351 shares of the business services provider’s stock valued at $40,000 after acquiring an additional 100 shares in the last quarter. 83.47% of the stock is owned by hedge funds and other institutional investors.

Paychex Price Performance

NASDAQ:PAYX opened at $120.81 on Tuesday. Paychex, Inc. has a 52 week low of $104.09 and a 52 week high of $129.70. The stock has a market capitalization of $43.49 billion, a PE ratio of 26.32, a price-to-earnings-growth ratio of 3.38 and a beta of 0.93. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 0.21. The stock’s 50-day moving average price is $121.89 and its 200-day moving average price is $120.41.

Paychex (NASDAQ:PAYX) last released its quarterly earnings results on Tuesday, April 2nd. The business services provider reported $1.38 earnings per share for the quarter, topping the consensus estimate of $1.37 by $0.01. Paychex had a net margin of 31.86% and a return on equity of 46.14%. The firm had revenue of $1.44 billion during the quarter, compared to the consensus estimate of $1.46 billion. During the same quarter in the prior year, the firm earned $1.29 EPS. The company’s revenue for the quarter was up 4.2% on a year-over-year basis. As a group, equities analysts expect that Paychex, Inc. will post 4.71 EPS for the current fiscal year.

Paychex declared that its board has authorized 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 believes its stock is undervalued.

Analysts Set New Price Targets

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

About Paychex

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.