AIA Group Ltd Sells 63,220 Shares of Automatic Data Processing, Inc. (NASDAQ:ADP)

Key Points

• AIA Group Ltd reduced its stake in Automatic Data Processing, Inc. (NASDAQ:ADP) by 43.5% during Q1, owning 82,103 shares after selling 63,220 shares.
• Several other institutional investors increased their investments in ADP, with 80.03% of the stock now owned by hedge funds and institutional investors.
• ADP has received a consensus rating of "Hold" from analysts, with a target price ranging around $314.33 following various assessments from reputable financial institutions.

AIA Group Ltd cut its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 43.5% during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 82,103 shares of the business services provider's stock after selling 63,220 shares during the period. AIA Group Ltd's holdings in Automatic Data Processing were worth $25,085,000 at the end of the most recent quarter.

A number of other large investors have also bought and sold shares of the business. Financial Engines Advisors L.L.C. boosted its position in Automatic Data Processing by 15.9% in the 1st quarter. Financial Engines Advisors L.L.C. now owns 14,123 shares of the business services provider's stock valued at $4,315,000 after buying an additional 1,941 shares during the last quarter. Linscomb Wealth Inc. lifted its stake in shares of Automatic Data Processing by 4.9% in the 1st quarter. Linscomb Wealth Inc. now owns 4,333 shares of the business services provider's stock valued at $1,324,000 after purchasing an additional 204 shares during the period. SouthState Corp lifted its stake in shares of Automatic Data Processing by 4.1% in the 1st quarter. SouthState Corp now owns 17,605 shares of the business services provider's stock valued at $5,379,000 after purchasing an additional 701 shares during the period. Nuveen LLC acquired a new position in shares of Automatic Data Processing in the 1st quarter valued at $661,771,000. Finally, Aigen Investment Management LP acquired a new position in shares of Automatic Data Processing in the 1st quarter valued at $3,578,000. 80.03% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

ADP has been the topic of a number of analyst reports. TD Securities increased their price target on Automatic Data Processing from $298.00 to $321.00 and gave the company a "hold" rating in a research note on Wednesday, May 21st. Royal Bank Of Canada reissued a "sector perform" rating and issued a $315.00 price target on shares of Automatic Data Processing in a research note on Thursday, June 5th. Morgan Stanley increased their price target on Automatic Data Processing from $310.00 to $311.00 and gave the company an "equal weight" rating in a research note on Thursday, July 31st. UBS Group cut their price target on Automatic Data Processing from $323.00 to $315.00 and set a "neutral" rating on the stock in a research note on Friday, June 13th. Finally, BMO Capital Markets raised Automatic Data Processing to a "hold" rating and set a $340.00 price target on the stock in a research note on Thursday, July 10th. One equities research analyst has rated the stock with a sell rating, ten have assigned a hold rating and two have given a buy rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average price target of $314.33.

Automatic Data Processing Stock Down 1.1%

ADP stock traded down $3.27 during trading hours on Thursday, reaching $301.68. 1,074,372 shares of the stock were exchanged, compared to its average volume of 1,747,024. The firm's 50-day moving average is $306.73 and its 200-day moving average is $305.54. The company has a market cap of $122.19 billion, a price-to-earnings ratio of 30.23, a PEG ratio of 2.75 and a beta of 0.81. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.05 and a quick ratio of 1.05. Automatic Data Processing, Inc. has a 12 month low of $261.86 and a 12 month high of $329.93.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last released its earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.23 by $0.03. The firm had revenue of $5.13 billion during the quarter, compared to analysts' expectations of $5.05 billion. Automatic Data Processing had a return on equity of 72.84% and a net margin of 19.84%. The company's revenue was up 6.3% on a year-over-year basis. During the same quarter in the prior year, the company earned $2.09 EPS. On average, equities research analysts expect that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.

Automatic Data Processing Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Friday, September 12th will be issued a $1.54 dividend. The ex-dividend date is Friday, September 12th. This represents a $6.16 annualized dividend and a dividend yield of 2.0%. Automatic Data Processing's dividend payout ratio (DPR) is presently 61.72%.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc provides cloud-based human capital management solutions worldwide. It operates in two segments, Employer Services and Professional Employer Organization (PEO). The Employer Services segment offers strategic, cloud-based platforms, and human resources (HR) outsourcing solutions.