Shares of These 2 Companies See Trading Activity After Earnings

Jefferies Group Inc. (NYSE:JEF) posted a decrease in profit as revenue declined. Net income for Jefferies Group Inc. fell to $48.4 million (21 cents per share) vs. $62.7 million (31 cents per share) a year earlier. This is a decline of 23% from the year earlier quarter. Revenue fell 18.5% to $554 million from the year earlier quarter. JEF reported adjusted net income of 17 cents per share. By that measure, the company beat the mean estimate of 14 cents per share. It fell short of the average revenue estimate of $583.2 million.

“We are proud of our 3,851 employee-partners who successfully navigated an extremely challenging fourth quarter that included continuing global volatility compounded by a November filled with a barrage of misinformation about Jefferies. Our firm responded by reducing our total balance sheet by nearly one quarter, decreasing our leverage to 9.9x from 12.9x, maintaining the already high quality of our inventory, and delivering solid profitability,”commented Richard B. Handler, Chairman and Chief Executive Officer of Jefferies.

Competitors to Watch: Greenhill & Co., Inc. (NYSE:GHL), Piper Jaffray Companies (NYSE:PJC), Rodman & Renshaw Capital Group Inc. (NASDAQ:RODM), Goldman Sachs Group, Inc. (NYSE:GS), JMP Group Inc. (NYSE:JMP), Morgan Stanley (NYSE:MS), Evercore Partners Inc. (NYSE:EVR), Merriman Holdings Inc (NASDAQ:MERR), Bank of America (NYSE:BAC), J.P. Morgan (NYSE:JPM), Citigroup (NYSE:C) and KBW, Inc. (NYSE:KBW).

Paychex Inc. (NASDAQ:PAYX) reported its results for the second quarter. Net income for Paychex Inc. rose to $140.4 million (39 cents per share) vs. $133.9 million (37 cents per share) in the same quarter a year earlier. This marks a rise of 4.9% from the year earlier quarter. Revenue rose 7% to $535 million from the year earlier quarter. PAYX beat the mean analyst estimate of 38 cents per share. It fell short of the average revenue estimate of $551.7 million.

Martin Mucci, President and Chief Executive Officer, commented, “Paychex delivered solid results for the second quarter. We expanded our software-as-a-service (NASDAQ:SAAS) offerings with the introduction of our new single sign-on page for online users and an iPad application. Checks per client continued to improve for the second quarter, but, as anticipated, the 1.5% growth rate for the quarter was lower than the 2.0% experienced for the first quarter. This moderation is expected to continue through the remainder of the fiscal year. We have reiterated our guidance for the fiscal year as we continue to see a slow recovery in the economy with respect to sales from new business formations.”

Competitors to Watch: Automatic Data Processing (NASDAQ:ADP), CBIZ, Inc. (NYSE:CBZ), Equifax Inc. (NYSE:EFX), American Express (NYSE:AXP), McMillan Shakespeare Ltd. (NYSE:MMS), Blue Tax Group SA (NYSE:BTG), and Colliers SA Holdings Ltd. (NYSE:COL).