TriNet Group (NYSE:TNET) Shares Gap Down Following Weak Earnings

TriNet Group, Inc. (NYSE:TNET)’s stock price gapped down before the market opened on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $91.63, but opened at $81.65. TriNet Group shares last traded at $77.33, with a volume of 67,382 shares.

The business services provider reported $0.95 earnings per share for the quarter, missing analysts’ consensus estimates of $1.09 by ($0.14). TriNet Group had a return on equity of 397.90% and a net margin of 6.29%. The business had revenue of $288.00 million during the quarter, compared to analyst estimates of $297.94 million.

TriNet Group Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, October 28th. Stockholders of record on Tuesday, October 1st will be paid a dividend of $0.25 per share. The ex-dividend date is Tuesday, October 1st. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.25%. TriNet Group’s payout ratio is 16.89%.

Analyst Ratings Changes

A number of research firms recently commented on TNET. Needham & Company LLC reiterated a “buy” rating and issued a $140.00 target price on shares of TriNet Group in a research note on Wednesday, September 11th. JPMorgan Chase & Co. reiterated an “underweight” rating and set a $103.00 price objective on shares of TriNet Group in a research note on Tuesday, October 22nd. One equities research analyst has rated the stock with a sell rating, two have assigned a hold rating and three have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $118.40.

Insider Buying and Selling

In related news, Director Paul Edward Chamberlain sold 375 shares of the business’s stock in a transaction on Wednesday, July 31st. The shares were sold at an average price of $106.50, for a total transaction of $39,937.50. Following the completion of the transaction, the director now directly owns 37,966 shares in the company, valued at $4,043,379. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. In other TriNet Group news, CFO Kelly L. Tuminelli sold 4,683 shares of the company’s stock in a transaction dated Thursday, August 29th. The shares were sold at an average price of $102.96, for a total value of $482,161.68. Following the completion of the transaction, the chief financial officer now owns 82,409 shares in the company, valued at approximately $8,484,830.64. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Paul Edward Chamberlain sold 375 shares of TriNet Group stock in a transaction dated Wednesday, July 31st. The shares were sold at an average price of $106.50, for a total value of $39,937.50. Following the completion of the transaction, the director now owns 37,966 shares of the company’s stock, valued at approximately $4,043,379. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. 37.10% of the stock is owned by corporate insiders.

Institutional Trading of TriNet Group

A number of institutional investors and hedge funds have recently made changes to their positions in TNET. Jane Street Group LLC raised its position in shares of TriNet Group by 67.7% during the 1st quarter. Jane Street Group LLC now owns 1,149,929 shares of the business services provider’s stock worth $152,354,000 after purchasing an additional 464,289 shares during the last quarter. Price T Rowe Associates Inc. MD lifted its position in shares of TriNet Group by 960.6% in the first quarter. Price T Rowe Associates Inc. MD now owns 236,003 shares of the business services provider’s stock valued at $31,269,000 after acquiring an additional 213,752 shares in the last quarter. Point72 Asset Management L.P. acquired a new stake in shares of TriNet Group in the second quarter worth approximately $20,610,000. Earnest Partners LLC increased its position in shares of TriNet Group by 19.8% during the first quarter. Earnest Partners LLC now owns 898,335 shares of the business services provider’s stock worth $119,020,000 after purchasing an additional 148,779 shares in the last quarter. Finally, Massachusetts Financial Services Co. MA raised its stake in TriNet Group by 9.3% in the 2nd quarter. Massachusetts Financial Services Co. MA now owns 1,217,214 shares of the business services provider’s stock valued at $121,721,000 after purchasing an additional 103,809 shares during the last quarter. 96.81% of the stock is currently owned by hedge funds and other institutional investors.

TriNet Group Stock Down 12.4 %

The company has a current ratio of 1.04, a quick ratio of 1.04 and a debt-to-equity ratio of 9.84. The business has a fifty day simple moving average of $96.79 and a two-hundred day simple moving average of $102.72. The company has a market cap of $3.99 billion, a PE ratio of 13.57 and a beta of 1.17.

About TriNet Group

TriNet Group, Inc provides comprehensive and flexible human capital management services for small and medium size businesses in the United States. The company offers multi-state payroll processing and tax administration; employee benefits programs, including health insurance and retirement plans; workers compensation insurance and claims management; employment and benefits law compliance; and other HR related services.