Mcdonald Capital Investors Inc. CA Trims Stock Holdings in Paychex, Inc. $PAYX

Mcdonald Capital Investors Inc. CA lowered its stake in shares of Paychex, Inc. (NASDAQ:PAYX) by 2.8% during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 874,466 shares of the business services provider’s stock after selling 25,010 shares during the period. Paychex makes up 8.0% of Mcdonald Capital Investors Inc. CA’s portfolio, making the stock its 4th biggest position. Mcdonald Capital Investors Inc. CA owned approximately 0.24% of Paychex worth $127,200,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds also recently modified their holdings of the company. Vanguard Group Inc. raised its position in Paychex by 0.9% in the 1st quarter. Vanguard Group Inc. now owns 31,807,843 shares of the business services provider’s stock valued at $4,907,314,000 after buying an additional 286,818 shares during the last quarter. Charles Schwab Investment Management Inc. lifted its stake in Paychex by 7.3% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 10,782,173 shares of the business services provider’s stock valued at $1,663,474,000 after purchasing an additional 737,542 shares during the last quarter. Northern Trust Corp lifted its position in shares of Paychex by 3.8% in the first quarter. Northern Trust Corp now owns 4,989,182 shares of the business services provider’s stock valued at $769,731,000 after buying an additional 181,628 shares during the last quarter. Invesco Ltd. lifted its position in shares of Paychex by 0.7% in the first quarter. Invesco Ltd. now owns 4,135,296 shares of the business services provider’s stock valued at $637,993,000 after buying an additional 30,670 shares during the last quarter. Finally, Select Equity Group L.P. lifted its position in shares of Paychex by 99.0% in the first quarter. Select Equity Group L.P. now owns 3,494,312 shares of the business services provider’s stock valued at $539,102,000 after buying an additional 1,738,372 shares during the last quarter. Institutional investors and hedge funds own 83.47% of the company’s stock.

Paychex Stock Performance

PAYX stock opened at $124.60 on Friday. The stock has a 50-day moving average price of $131.36 and a 200-day moving average price of $142.22. Paychex, Inc. has a 1-year low of $119.02 and a 1-year 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 firm has a market cap of $44.84 billion, a PE ratio of 28.00, a price-to-earnings-growth ratio of 2.85 and a beta of 0.92.

Paychex (NASDAQ:PAYX) last posted its quarterly earnings results on Tuesday, September 30th. The business services provider reported $1.22 earnings per share for the quarter, topping analysts’ consensus estimates of $1.20 by $0.02. Paychex had a return on equity of 45.17% and a net margin of 27.85%.The business had revenue of $1.54 billion for the quarter, compared to the consensus estimate of $1.54 billion. During the same period in the prior year, the business earned $1.16 EPS. The firm’s revenue for the quarter was up 16.8% on a year-over-year basis. Paychex has set its FY 2026 guidance at 5.428-5.528 EPS. As a group, equities research analysts expect that Paychex, Inc. will post 4.99 earnings per share for the current year.

Paychex Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, November 26th. Investors of record on Friday, November 7th will be paid a dividend of $1.08 per share. This represents a $4.32 dividend on an annualized basis and a yield of 3.5%. The ex-dividend date of this dividend is Friday, November 7th. Paychex’s dividend payout ratio is 97.08%.

Wall Street Analyst Weigh In

A number of equities analysts have recently weighed in on PAYX shares. Weiss Ratings reiterated a “buy (b-)” rating on shares of Paychex in a research note on Saturday. Citigroup started coverage on Paychex in a report on Thursday. They set a “neutral” rating and a $139.00 price objective on the stock. Jefferies Financial Group set a $130.00 target price on Paychex in a report on Tuesday, September 30th. Argus cut their target price on Paychex from $170.00 to $150.00 in a report on Thursday, October 2nd. Finally, BMO Capital Markets cut their target price on Paychex from $143.00 to $140.00 and set a “market perform” rating on the stock in a report on Wednesday, October 1st. One research analyst has rated the stock with a Buy rating, twelve have issued a Hold rating and three have issued a Sell rating to the company. According to MarketBeat, Paychex currently has an average rating of “Reduce” and an average target price of $139.87.

About Paychex

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.