Wedge Capital Management L L P NC Has $60.46 Million Stake in Paychex, Inc. $PAYX

Wedge Capital Management L L P NC grew its position in Paychex, Inc. (NASDAQ:PAYX) by 20.2% during the third quarter, HoldingsChannel reports. The firm owned 476,943 shares of the business services provider’s stock after buying an additional 80,046 shares during the period. Paychex comprises approximately 1.0% of Wedge Capital Management L L P NC’s portfolio, making the stock its 27th largest holding. Wedge Capital Management L L P NC’s holdings in Paychex were worth $60,457,000 as of its most recent SEC filing.

A number of other hedge funds have also bought and sold shares of PAYX. Vanguard Group Inc. lifted its holdings in Paychex by 1.3% in the second quarter. Vanguard Group Inc. now owns 32,215,957 shares of the business services provider’s stock valued at $4,686,133,000 after buying an additional 408,114 shares during the period. State Street Corp raised its position in shares of Paychex by 2.6% in the 2nd quarter. State Street Corp now owns 14,066,067 shares of the business services provider’s stock worth $2,046,050,000 after acquiring an additional 355,294 shares in the last quarter. Charles Schwab Investment Management Inc. lifted its stake in shares of Paychex by 2.3% in the 2nd quarter. Charles Schwab Investment Management Inc. now owns 11,033,312 shares of the business services provider’s stock valued at $1,604,906,000 after purchasing an additional 251,139 shares during the period. Geode Capital Management LLC boosted its position in shares of Paychex by 2.8% during the 2nd quarter. Geode Capital Management LLC now owns 10,183,871 shares of the business services provider’s stock valued at $1,481,053,000 after purchasing an additional 274,947 shares in the last quarter. Finally, Invesco Ltd. boosted its position in shares of Paychex by 6.0% during the 2nd quarter. Invesco Ltd. now owns 4,384,846 shares of the business services provider’s stock valued at $637,820,000 after purchasing an additional 249,550 shares in the last quarter. Institutional investors own 83.47% of the company’s stock.

Paychex Price Performance

Shares of PAYX opened at $112.28 on Friday. The business’s fifty day moving average is $116.08 and its 200 day moving average is $131.81. Paychex, Inc. has a 12-month low of $108.00 and a 12-month high of $161.24. The company has a quick ratio of 1.27, a current ratio of 1.27 and a debt-to-equity ratio of 1.15. The stock has a market cap of $40.41 billion, a P/E ratio of 25.46 and a beta of 0.91.

Paychex (NASDAQ:PAYX) last announced its quarterly earnings results on Friday, December 19th. The business services provider reported $1.26 EPS for the quarter, beating analysts’ consensus estimates of $1.23 by $0.03. Paychex had a net margin of 27.85% and a return on equity of 45.17%. The business had revenue of $1.56 billion during the quarter, compared to analyst estimates of $1.55 billion. During the same quarter in the previous year, the business posted $1.14 EPS. Paychex’s quarterly revenue was up 18.3% on a year-over-year basis. Paychex has set its FY 2026 guidance at 5.480-5.530 EPS. Sell-side analysts anticipate that Paychex, Inc. will post 4.99 earnings per share for the current fiscal year.

Paychex Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, November 26th. Investors of record on Friday, November 7th were issued a $1.08 dividend. This represents a $4.32 dividend on an annualized basis and a dividend yield of 3.8%. The ex-dividend date was Friday, November 7th. Paychex’s dividend payout ratio is currently 97.96%.

Key Stores Impacting Paychex

Here are the key news stories impacting Paychex this week:

• Positive Sentiment: Q2 results beat expectations — EPS of $1.26 topped estimates and revenue rose 18.3% year-over-year, driven by management solutions and the recent Paycor contribution. Paychex Q2 Earnings & Revenues Surpass Estimates
• Positive Sentiment: Paycor acquisition helping scale revenue and lift the company’s profit outlook, supporting the stronger top-line and the raised FY26 EPS range. Paychex Scales Fast After Paycor Acquisition
• Positive Sentiment: Company raised FY2026 EPS guidance to $5.48–$5.53, slightly above consensus, signaling management confidence in earnings power despite near-term costs. Paychex Reports Second Quarter Results
• Neutral Sentiment: Analysts were active ahead of the release, with some revisions to estimates — reflecting varied views on growth durability and integration risk. Analysts Revise Forecasts Ahead Of Earnings
• Neutral Sentiment: Some brokerages remain cautious (example: Stifel maintained a hold), keeping a range of opinions on valuation and growth vs. execution risk. Stifel Maintains Hold
• Negative Sentiment: Higher quarterly expenses (integration, amortization, or operating costs) were highlighted as offsetting some of the upside and tempered investor reaction to the guidance raise. Reuters: Higher Quarterly Expenses Overshadow Forecast Raise

Analyst Ratings Changes

A number of equities research analysts have weighed in on the company. Jefferies Financial Group set a $110.00 target price on Paychex in a report on Friday. TD Cowen lowered their price objective on shares of Paychex from $126.00 to $114.00 and set a “hold” rating for the company in a research note on Monday, December 1st. Cowen reissued a “hold” rating on shares of Paychex in a research note on Monday, December 1st. Wolfe Research reduced their price target on shares of Paychex from $130.00 to $115.00 and set an “underperform” rating for the company in a report on Wednesday, December 10th. Finally, Royal Bank Of Canada decreased their price target on shares of Paychex from $150.00 to $125.00 and set a “sector perform” rating for the company in a research note on Friday, December 5th. Fourteen research analysts have rated the stock with a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Reduce” and an average target price of $130.60.

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.