Automatic Data Processing, Inc. (NASDAQ:ADP) Declares Quarterly Dividend of $1.70

Key Points

• Automatic Data Processing declared a quarterly dividend of $1.70 per share, payable July 1 to holders of record June 12, implying a 3.4% yield; the company has raised its dividend for 49 consecutive years and the payout ratio is about 62.5%.
• ADP reported Q1 EPS of $2.62 (beat vs. $2.57 consensus) and revenue of $5.36 billion, up 6.2% year-over-year, and set FY2026 guidance of $10.091–$11.011 in EPS.
• Shares trade around $200.78 with a market cap of about $80.8 billion and a P/E of ~19.3, near the 1‑year low of $197.08 versus a 1‑year high of $329.93.

Automatic Data Processing, Inc. (NASDAQ:ADP - Get Free Report) declared a quarterly dividend on Wednesday, April 8th. Stockholders of record on Friday, June 12th will be paid a dividend of 1.70 per share by the business services provider on Wednesday, July 1st. This represents a c) dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date of this dividend is Friday, June 12th.

Automatic Data Processing has raised its dividend payment by an average of 0.1%annually over the last three years and has increased its dividend annually for the last 49 consecutive years. Automatic Data Processing has a payout ratio of 62.5% meaning its dividend is sufficiently covered by earnings. Analysts expect Automatic Data Processing to earn $10.82 per share next year, which means the company should continue to be able to cover its $6.80 annual dividend with an expected future payout ratio of 62.8%.

Automatic Data Processing Stock Down 1.4%

Shares of NASDAQ:ADP opened at $200.78 on Thursday. The company has a market capitalization of $80.84 billion, a price-to-earnings ratio of 19.31 and a beta of 0.85. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.03 and a quick ratio of 1.03. The business's 50-day moving average is $215.21 and its 200-day moving average is $248.42. Automatic Data Processing has a 1 year low of $197.08 and a 1 year high of $329.93.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last announced its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.57 by $0.05. The company had revenue of $5.36 billion for the quarter, compared to the consensus estimate of $5.34 billion. Automatic Data Processing had a return on equity of 68.44% and a net margin of 19.96%.The firm's revenue was up 6.2% compared to the same quarter last year. During the same period in the previous year, the business earned $2.35 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Equities research analysts predict that Automatic Data Processing will post 9.93 earnings per share for the current year.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc (ADP) is a global provider of cloud-based human capital management (HCM) and payroll solutions. Founded in 1949 and headquartered in Roseland, New Jersey, ADP began as a payroll processing company and has evolved into a diversified provider of workforce management, HR, benefits administration, tax and compliance services, and analytics for employers of all sizes.

ADP's product portfolio includes payroll processing and tax filing, time and attendance systems, benefits administration, talent management, and HR outsourcing.

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