Mitsubishi UFJ Asset Management Co. Ltd. Has $85.06 Million Stake in Paychex, Inc. $PAYX

Mitsubishi UFJ Asset Management Co. Ltd. increased its stake in Paychex, Inc. (NASDAQ:PAYX) by 3.9% in the 3rd quarter, according to the company in its most recent filing with the SEC. The fund owned 671,053 shares of the business services provider’s stock after purchasing an additional 25,473 shares during the quarter. Mitsubishi UFJ Asset Management Co. Ltd. owned approximately 0.19% of Paychex worth $85,063,000 at the end of the most recent reporting period.

Other large investors have also recently added to or reduced their stakes in the company. Vanguard Group Inc. raised its position in shares of Paychex by 17.2% in the third quarter. Vanguard Group Inc. now owns 37,765,468 shares of the business services provider’s stock valued at $4,787,151,000 after purchasing an additional 5,549,511 shares during the period. Norges Bank acquired a new position in Paychex in the 2nd quarter valued at $302,244,000. Marshall Wace LLP raised its holdings in Paychex by 179.5% in the 2nd quarter. Marshall Wace LLP now owns 1,078,328 shares of the business services provider’s stock worth $156,854,000 after acquiring an additional 692,533 shares during the period. JPMorgan Chase & Co. raised its holdings in Paychex by 29.2% in the 2nd quarter. JPMorgan Chase & Co. now owns 2,542,901 shares of the business services provider’s stock worth $369,901,000 after acquiring an additional 574,337 shares during the period. Finally, Assenagon Asset Management S.A. lifted its position in Paychex by 209.1% during the 3rd quarter. Assenagon Asset Management S.A. now owns 838,679 shares of the business services provider’s stock worth $106,311,000 after acquiring an additional 567,352 shares during the last quarter. Institutional investors own 83.47% of the company’s stock.

Analyst Ratings Changes

PAYX has been the topic of several research analyst reports. BMO Capital Markets lowered their price target on Paychex from $140.00 to $121.00 and set a “market perform” rating on the stock in a research report on Tuesday, December 9th. Royal Bank Of Canada lowered their target price on Paychex from $150.00 to $125.00 and set a “sector perform” rating on the stock in a report on Friday, December 5th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Paychex in a research report on Monday, December 29th. Jefferies Financial Group set a $110.00 price objective on Paychex in a research report on Friday, December 19th. Finally, Wolfe Research dropped their target price on shares of Paychex from $130.00 to $115.00 and set an “underperform” rating on the stock in a research report on Wednesday, December 10th. One analyst has rated the stock with a Buy rating, thirteen have issued a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Reduce” and an average target price of $123.94.

Paychex Stock Performance

NASDAQ:PAYX opened at $93.65 on Friday. The firm has a market capitalization of $33.62 billion, a PE ratio of 21.24 and a beta of 0.90. The company has a quick ratio of 1.27, a current ratio of 1.27 and a debt-to-equity ratio of 1.17. Paychex, Inc. has a 12-month low of $86.89 and a 12-month high of $161.24. The firm has a 50-day moving average price of $104.01 and a 200 day moving average price of $117.05.

Paychex (NASDAQ:PAYX) last released its quarterly earnings data on Friday, December 19th. The business services provider reported $1.26 earnings per share for the quarter, beating the consensus estimate of $1.23 by $0.03. The company had revenue of $1.56 billion for the quarter, compared to analyst estimates of $1.55 billion. Paychex had a return on equity of 46.38% and a net margin of 26.45%.The company’s revenue was up 18.3% compared to the same quarter last year. During the same period in the prior year, the company posted $1.14 EPS. Paychex has set its FY 2026 guidance at 5.480-5.530 EPS. Research analysts anticipate that Paychex, Inc. will post 4.99 earnings per share for the current fiscal year.

Paychex announced that its Board of Directors has initiated a share repurchase program on Friday, January 16th that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the business services provider to buy up to 2.5% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s leadership believes its stock is undervalued.

Paychex Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, February 27th. Shareholders of record on Wednesday, January 28th were issued a dividend of $1.08 per share. The ex-dividend date of this dividend was Wednesday, January 28th. This represents a $4.32 dividend on an annualized basis and a dividend yield of 4.6%. Paychex’s dividend payout ratio (DPR) is presently 97.96%.

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.