Analyst Jared Levine of TD Cowen maintained a Hold rating on TriNet Group (TNET – Research Report), retaining the price target of $77.00.
Jared Levine has given his Hold rating due to a combination of factors influencing TriNet Group’s stock performance. The company delivered a strong first-quarter earnings per share (EPS) beat and reaffirmed its fiscal year 2025 guidance, which indicates a solid start to its transition year. However, despite these positive developments, there are lingering concerns about macroeconomic uncertainties and the execution of strategic initiatives, which pose downside risks to the stock.
While TriNet Group appears to be well-positioned for improving fundamentals as it exits fiscal year 2025, the fair valuation of its shares suggests that the stock is likely to remain range-bound. Additionally, although there is potential upside from a deceleration in healthcare cost trends, which could positively impact the company’s insurance cost ratio (ICR), the overall outlook remains cautious. Consequently, Levine maintains a Hold rating as the stock is fairly valued and the risks and potential rewards are balanced.
Levine covers the Technology sector, focusing on stocks such as Dayforce Inc, Paycom, and Paylocity. According to TipRanks, Levine has an average return of -5.4% and a 33.33% success rate on recommended stocks.