226,942 Automatic Data Processing, Inc. $ADP Shares Bought by Bank Julius Baer & Co. Ltd Zurich

Key Points

• Bank Julius Baer increased its ADP stake by 57.5% during the third quarter, buying 226,942 shares to own 621,487 shares valued at approximately $160.6 million. Institutional investors and hedge funds collectively own 80.03% of the company.
• ADP reported quarterly earnings of $2.82 per share on $5.49 billion in revenue, exceeding analyst expectations, while revenue grew 6.1% year over year. The company also pays a $1.70 quarterly dividend, representing a 2.3% yield.
• Analyst sentiment remains mixed: ADP has a consensus “Hold” rating and an average price target of $283.27, below the reported share price of $293.84. Insiders sold 31,359 shares worth about $8.8 million during the quarter.

Bank Julius Baer & Co. Ltd Zurich boosted its stake in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 57.5% during the third quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 621,487 shares of the business services provider's stock after buying an additional 226,942 shares during the quarter. Bank Julius Baer & Co. Ltd Zurich owned approximately 0.16% of Automatic Data Processing worth $160,631,000 as of its most recent filing with the SEC.

Other hedge funds also recently added to or reduced their stakes in the company. BlackRock Inc. purchased a new position in shares of Automatic Data Processing during the second quarter valued at $8,097,229,000. Bank of America Corp DE acquired a new stake in shares of Automatic Data Processing during the 2nd quarter worth about $1,231,175,000. Deutsche Bank AG bought a new position in Automatic Data Processing in the second quarter valued at approximately $994,937,000. Bank of New York Mellon Corp acquired a new position in Automatic Data Processing during the 2nd quarter worth about $725,513,000. Finally, Legal & General Group Plc acquired a new stake in shares of Automatic Data Processing in the 2nd quarter valued at about $562,425,000. 80.03% of the stock is owned by institutional investors and hedge funds.

Automatic Data Processing Stock Performance

Automatic Data Processing stock opened at $293.84 on Monday. The business's 50-day simple moving average is $277.25 and its 200-day simple moving average is $240.83. The company has a debt-to-equity ratio of 0.98, a quick ratio of 1.05 and a current ratio of 1.03. Automatic Data Processing, Inc. has a 52 week low of $188.16 and a 52 week high of $309.40. The firm has a market capitalization of $116.43 billion, a PE ratio of 26.05, a PEG ratio of 2.64 and a beta of 0.83.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last issued its quarterly earnings data on Wednesday, October 28th. The business services provider reported $2.82 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.77 by $0.05. Automatic Data Processing had a return on equity of 77.01% and a net margin of 20.33%. The company had revenue of $5.49 billion during the quarter, compared to analysts' expectations of $5.48 billion. During the same period last year, the business earned $2.49 earnings per share. The business's revenue was up 6.1% on a year-over-year basis. Equities research analysts forecast that Automatic Data Processing, Inc. will post 12.36 earnings per share for the current year.

Automatic Data Processing Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Friday, September 11th were paid a $1.70 dividend. The ex-dividend date of this dividend was Friday, September 11th. This represents a $6.80 annualized dividend and a dividend yield of 2.3%. Automatic Data Processing's dividend payout ratio (DPR) is currently 60.28%.

Analysts Set New Price Targets

A number of brokerages recently weighed in on ADP. Weiss Ratings raised Automatic Data Processing from a "hold (c)" rating to a "hold (c+)" rating in a report on Tuesday, September 22nd. BMO Capital Markets lifted their price objective on shares of Automatic Data Processing from $248.00 to $305.00 and gave the stock a "market perform" rating in a research note on Wednesday, July 29th. Cantor Fitzgerald raised their target price on Automatic Data Processing from $295.00 to $310.00 and gave the stock an "overweight" rating in a research note on Monday, August 3rd. Jefferies Financial Group increased their price objective on Automatic Data Processing from $225.00 to $250.00 and gave the company an "underperform" rating in a report on Wednesday, October 28th. Finally, Wells Fargo & Company raised their price objective on shares of Automatic Data Processing from $248.00 to $283.00 and gave the stock an "equal weight" rating in a research note on Thursday, July 30th. Three analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $283.27.

Automatic Data Processing News Summary

Here are the key news stories impacting Automatic Data Processing this week:

• Positive Sentiment: Raised fiscal 2027 outlook: ADP now forecasts 10%–12% growth in adjusted earnings per share and raised its outlook for client-funds interest revenue to $1.59 billion–$1.61 billion. The improved guidance is the clearest near-term catalyst for the stock. ADP forecasts fiscal 2027 adjusted EPS growth
• Positive Sentiment: Quarterly results exceeded expectations: ADP reported earnings of $2.82 per share versus the $2.77 consensus estimate, while revenue of $5.49 billion modestly topped forecasts and increased 6.1% year over year. Management also highlighted AI momentum during the earnings call. ADP fiscal 2027 first-quarter results
• Positive Sentiment: Some analysts see additional upside: Guggenheim reaffirmed a Buy rating with a $340 price target, while Stifel raised its target to $305. Jefferies also lifted its target, although it retained an Underperform rating. Guggenheim ADP rating
• Neutral Sentiment: Expansion in small-business payroll: ADP is broadening its reach among small-business customers, a move that could support long-term client and revenue growth but may require additional investment. ADP small-business payroll expansion
• Negative Sentiment: Valuation and analyst caution: Citi, Morgan Stanley, and RBC maintain neutral or equivalent ratings with targets around $288–$295, while Jefferies remains bearish. A Seeking Alpha analysis also argues that investors should not chase the rally despite ADP’s attractive dividend-growth record. ADP dividend growth and valuation analysis

Insider Buying and Selling at Automatic Data Processing

In other Automatic Data Processing news, CEO Maria Black sold 29,810 shares of the stock in a transaction that occurred on Wednesday, September 2nd. The shares were sold at an average price of $280.91, for a total transaction of $8,373,927.10. Following the transaction, the chief executive officer owned 80,624 shares in the company, valued at $22,648,087.84. This represents a 26.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Brian L. Michaud sold 120 shares of the company's stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $279.70, for a total value of $33,564.00. Following the completion of the transaction, the vice president directly owned 18,442 shares of the company's stock, valued at approximately $5,158,227.40. The trade was a 0.65% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 31,359 shares of company stock valued at $8,809,422 over the last quarter. Insiders own 0.15% of the company's stock.

About Automatic Data Processing

Automatic Data Processing, Inc NASDAQ: ADP is a global provider of human capital management and business outsourcing solutions. The company helps employers manage payroll, human resources, workforce administration, benefits, tax compliance, time and attendance, talent management, and related employment processes.

ADP offers cloud-based platforms and services designed for businesses of various sizes, from small enterprises to large organizations. Its portfolio includes payroll processing, human resources management, employee benefits administration, retirement services, workforce management, data analytics, and professional employer organization services through ADP TotalSource.

Founded in 1949, ADP serves businesses in the United States and international markets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.