Cumberland Partners Ltd Reduces Stock Position in Paychex, Inc. $PAYX

Cumberland Partners Ltd trimmed its holdings in shares of Paychex, Inc. (NASDAQ:PAYX) by 39.6% in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 7,250 shares of the business services provider’s stock after selling 4,750 shares during the quarter. Cumberland Partners Ltd’s holdings in Paychex were worth $1,055,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in PAYX. NewSquare Capital LLC boosted its holdings in shares of Paychex by 83.8% in the second quarter. NewSquare Capital LLC now owns 215 shares of the business services provider’s stock valued at $31,000 after purchasing an additional 98 shares during the period. Quarry LP bought a new stake in shares of Paychex in the 1st quarter valued at about $34,000. Nova Wealth Management Inc. purchased a new position in Paychex during the first quarter valued at approximately $38,000. GPS Wealth Strategies Group LLC lifted its holdings in Paychex by 40.6% during the second 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 during the period. Finally, Whipplewood Advisors LLC raised its position 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 acquiring an additional 142 shares in the last quarter. Institutional investors own 83.47% of the company’s stock.

Paychex Trading Down 1.0%

Shares of Paychex stock opened at $108.46 on Friday. Paychex, Inc. has a 1-year low of $108.00 and a 1-year 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. The stock has a market cap of $39.03 billion, a P/E ratio of 24.37, a P/E/G ratio of 2.68 and a beta of 0.93. The stock’s 50 day simple moving average is $122.53 and its 200-day simple moving average is $138.09.

Paychex (NASDAQ:PAYX) last posted its quarterly earnings results on Tuesday, September 30th. The business services provider reported $1.22 EPS for the quarter, topping the consensus estimate 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 analyst estimates of $1.54 billion. During the same quarter in the previous year, the firm earned $1.16 EPS. The company’s quarterly revenue was up 16.8% compared to the same quarter last year. Paychex has set its FY 2026 guidance at 5.428-5.528 EPS. Analysts predict that Paychex, Inc. will post 4.99 EPS for the current fiscal year.

Paychex Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, November 26th. Stockholders of record on Friday, November 7th will be issued a $1.08 dividend. This represents a $4.32 annualized dividend and a dividend yield of 4.0%. The ex-dividend date is Friday, November 7th. Paychex’s dividend payout ratio is currently 97.08%.

Analyst Ratings Changes

Several equities analysts have issued reports on the stock. BMO Capital Markets cut their price target on shares of Paychex from $143.00 to $140.00 and set a “market perform” rating on the stock in a report on Wednesday, October 1st. Wells Fargo & Company raised shares of Paychex to a “strong sell” rating in a research report on Wednesday, October 22nd. JPMorgan Chase & Co. lowered their price objective on Paychex from $153.00 to $140.00 and set an “underweight” rating on the stock in a research report on Wednesday, October 1st. UBS Group cut their price target on Paychex from $140.00 to $132.00 and set a “neutral” rating for the company in a research note on Thursday, October 2nd. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Paychex in a research report on Wednesday. Thirteen analysts have rated the stock with a Hold rating and three have given a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus 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.