Paychex Target of Unusually High Options Trading (NASDAQ:PAYX)

Paychex, Inc. (NASDAQ:PAYX) saw unusually large options trading activity on Thursday. Stock investors bought 5,017 put options on the company. This represents an increase of approximately 243% compared to the average volume of 1,462 put options.

Paychex Stock Down 0.5 %

PAYX opened at $129.38 on Friday. The company’s 50-day moving average price is $124.75 and its two-hundred day moving average price is $123.07. The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 0.21. Paychex has a twelve month low of $106.27 and a twelve month high of $133.12. The stock has a market cap of $46.59 billion, a price-to-earnings ratio of 27.70, a PEG ratio of 3.47 and a beta of 1.00.

Paychex (NASDAQ:PAYX) last released its earnings results on Wednesday, June 26th. The business services provider reported $1.12 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.10 by $0.02. Paychex had a return on equity of 46.63% and a net margin of 32.03%. The business had revenue of $1.30 billion during the quarter, compared to the consensus estimate of $1.29 billion. During the same period last year, the business posted $0.97 earnings per share. The business’s revenue for the quarter was up 5.3% on a year-over-year basis. As a group, equities analysts expect that Paychex will post 4.99 earnings per share for the current year.

Paychex Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, August 29th. Investors of record on Thursday, August 8th were paid a $0.98 dividend. The ex-dividend date of this dividend was Thursday, August 8th. This represents a $3.92 dividend on an annualized basis and a yield of 3.03%. Paychex’s dividend payout ratio is 83.94%.

Insider Transactions at Paychex

In other Paychex news, Chairman Martin Mucci sold 101,490 shares of the company’s stock in a transaction dated Monday, July 1st. The stock was sold at an average price of $117.27, for a total value of $11,901,732.30. Following the sale, the chairman now owns 437,345 shares in the company, valued at approximately $51,287,448.15. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. In other Paychex news, Director David J. S. Flaschen sold 14,434 shares of the stock in a transaction dated Monday, August 5th. The stock was sold at an average price of $125.21, for a total transaction of $1,807,281.14. Following the completion of the sale, the director now directly owns 5,383 shares in the company, valued at approximately $674,005.43. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Chairman Martin Mucci sold 101,490 shares of the business’s stock in a transaction dated Monday, July 1st. The shares were sold at an average price of $117.27, for a total value of $11,901,732.30. Following the completion of the transaction, the chairman now directly owns 437,345 shares in the company, valued at $51,287,448.15. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 147,163 shares of company stock worth $17,537,817. Company insiders own 11.50% of the company’s stock.

Institutional Investors Weigh In On Paychex

Institutional investors have recently made changes to their positions in the stock. Natixis Advisors L.P. boosted its holdings in Paychex by 34.5% in the 4th quarter. Natixis Advisors L.P. now owns 111,524 shares of the business services provider’s stock valued at $13,283,000 after purchasing an additional 28,616 shares during the period. Lincoln National Corp raised its holdings in shares of Paychex by 23.7% in the 4th quarter. Lincoln National Corp now owns 11,320 shares of the business services provider’s stock valued at $1,348,000 after acquiring an additional 2,166 shares in the last quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management bought a new stake in shares of Paychex during the 4th quarter valued at about $215,000. Everpar Advisors LLC bought a new stake in shares of Paychex during the 4th quarter valued at about $215,000. Finally, National Pension Service increased its position in shares of Paychex by 2.1% in the fourth quarter. National Pension Service now owns 619,589 shares of the business services provider’s stock worth $73,799,000 after purchasing an additional 12,932 shares during the last quarter. Hedge funds and other institutional investors own 83.47% of the company’s stock.

Analyst Ratings Changes

Several equities analysts have issued reports on the company. Royal Bank of Canada reissued a “sector perform” rating and issued a $130.00 price target on shares of Paychex in a research note on Thursday, June 27th. Robert W. Baird reduced their price target on shares of Paychex from $126.00 to $124.00 and set a “neutral” rating for the company in a report on Thursday, June 27th. Barclays decreased their price target on shares of Paychex from $120.00 to $118.00 and set an “equal weight” rating for the company in a research note on Monday, July 1st. Bank of America increased their price objective on shares of Paychex from $111.00 to $113.00 and gave the stock an “underperform” rating in a research report on Thursday, June 27th. Finally, Morgan Stanley decreased their target price on Paychex from $125.00 to $122.00 and set an “equal weight” rating for the company in a research report on Thursday, June 27th. Two equities research analysts have rated the stock with a sell rating and eleven have assigned a hold rating to the stock. According to MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $122.62.

Paychex Company Profile

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.