Mark Anthony Bottini, Senior Vice President of Sales at Paychex Inc . (NASDAQ:PAYX), recently disclosed a series of stock transactions involving the company's common stock. According to a recent SEC filing, Bottini sold a total of 46,875 shares on October 16, 2024, generating approximately $6.65 million. The shares were sold at prices ranging from $141.71 to $142.34.
Additionally, Bottini exercised stock options to acquire 46,875 shares at a price of $47.32 per share, totaling approximately $2.22 million. This exercise was conducted as the options were nearing their expiration date.
Moreover, Bottini disposed of 386 shares to cover tax withholding obligations related to restricted stock units.
Following these transactions, Bottini holds 79,360 shares directly and an additional 1,668 shares indirectly through a 401(k) plan.
In other recent news, Paychex Inc. reported a 3% increase in total revenue to $1.3 billion and a 2% rise in earnings per share to $1.18 in its recent earnings report. The company also held its 2024 Annual Meeting of Stockholders, where all eleven director nominees were re-elected and shareholders ratified the appointment of PricewaterhouseCoopers LLP as the independent auditor for fiscal year 2025. Among recent analyst commentary, Citi maintains a neutral stance on Paychex, while RBC Capital and TD Cowen revised their target prices for Paychex shares, citing strong performance and revenue surpassing estimates. Both firms, however, noted potential risks, including a downward trend in interest rates and uncertainties surrounding employment. In addition to these developments, Paychex has introduced new offerings to aid small and mid-sized businesses, including Paychex Recruiting Copilot, Paychex Flex (NASDAQ:FLEX) Engage, and Paychex Flex Perks. The company projects revenue growth and margin expansion in the coming quarters.
InvestingPro Insights
In light of Mark Anthony Bottini's recent stock transactions, it's worth examining some key financial metrics and insights for Paychex Inc. (NASDAQ:PAYX). According to InvestingPro data, Paychex boasts a market capitalization of $50.94 billion, reflecting its significant presence in the payroll and human resources services industry.
One of the most notable InvestingPro Tips is that Paychex has raised its dividend for 11 consecutive years, demonstrating a strong commitment to shareholder returns. This is particularly relevant given Bottini's recent stock sales, as it suggests the company's financial health remains robust despite insider selling. The current dividend yield stands at 2.75%, which may be attractive to income-focused investors.
Another InvestingPro Tip highlights Paychex's impressive gross profit margins. This is evident in the company's financials, with a gross profit margin of 71.77% for the last twelve months as of Q1 2025. Such high margins indicate Paychex's strong pricing power and operational efficiency.
It's worth noting that Paychex is trading near its 52-week high, with the stock price at 98.15% of its peak. This aligns with the company's strong recent performance, as evidenced by its 24.14% price total return over the past year.
For investors seeking more comprehensive analysis, InvestingPro offers 13 additional tips for Paychex, providing a deeper understanding of the company's financial position and market performance.
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