Form 4: Paychex CFO Sells Shares for Tax Obligations
Insider Transaction Report
Paychex Senior VP and CFO Robert L. Schrader disposed of 116 shares of common stock to cover tax withholding obligations related to restricted stock units.
Summary
- Robert L. Schrader, Senior VP and CFO of Paychex Inc. (PAYX), reported a transaction on October 15, 2025.
- He disposed of 116 shares of Paychex common stock at a price of $127.52 per share.
- This disposition was specifically to satisfy tax withholding obligations arising from the lapse of restrictions on restricted stock units.
- Following this transaction, Mr. Schrader directly beneficially owns 19,165 shares of common stock.
- He also indirectly owns 322 shares of common stock through a 401(k) plan.
- No changes were reported in his derivative securities holdings, which include various stock options with different exercise prices and expiration dates.
Sentiment
Score: 5
Explanation: The transaction is a routine disposition of shares to cover tax withholding obligations upon the vesting of restricted stock units, which is a standard practice and does not reflect a discretionary sale or negative sentiment towards the company.
Positives
- The transaction is a routine disposition for tax purposes, not a discretionary sale, which typically indicates a neutral stance rather than a negative one on the company's future.
Negatives
- No inherently negative aspects are indicated by this routine tax-related transaction.
Future Outlook
NA
Industry Context
NA
Stakeholder Impact
- Shareholders: Minimal impact as it is a routine, non-discretionary transaction for tax purposes, not indicating a change in management's view of the company's prospects.
Key Dates
| Date | Description |
|---|---|
| 07/15/2021 | Date exercisable for stock options with an exercise price of $73.53. |
| 07/15/2022 | Date exercisable for stock options with an exercise price of $112.67. |
| 07/15/2023 | Date exercisable for stock options with an exercise price of $115. |
| 07/15/2024 | Date exercisable for stock options with an exercise price of $120.86. |
| 10/15/2024 | Date exercisable for stock options with an exercise price of $117.98. |
| 07/14/2030 | Expiration date for stock options with an exercise price of $73.53. |
| 07/14/2031 | Expiration date for stock options with an exercise price of $112.67. |
| 07/14/2032 | Expiration date for stock options with an exercise price of $115. |
| 07/14/2033 | Expiration date for stock options with exercise prices of $120.86 and $117.98. |
| 07/14/2034 | Expiration date for stock options with an exercise price of $121.63. |
| 07/14/2035 | Expiration date for stock options with an exercise price of $140.68. |
| 10/15/2025 | Date of the reported transaction (disposition of shares) and date exercisable for stock options with an exercise price of $121.63. |
| 10/17/2025 | Date the Statement of Changes in Beneficial Ownership was signed by the attorney-in-fact. |
| 07/15/2026 | Date exercisable for stock options with an exercise price of $140.68. |
Recommendation
holdThis Form 4 filing reports a routine, non-discretionary sale of shares by a senior executive to cover tax obligations related to equity compensation. Such transactions are common and do not typically signal a change in the company's fundamentals or the executive's long-term outlook. Therefore, it provides no new information to warrant a change in investment recommendation; a 'hold' stance is maintained based solely on this filing.
Keywords
Paychex, PAYX, Form 4, Insider Trading, Robert L. Schrader, CFO, Stock Sale, Tax Withholding, Restricted Stock Units, Equity Compensation
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