APG Asset Management N.V. Trims Stake in Automatic Data Processing, Inc. $ADP

Key Points

• APG Asset Management N.V. has reduced its stake in Automatic Data Processing, Inc. by 5.6%, now holding approximately 0.07% of the company valued at $79,675,000 after selling 16,664 shares in the first quarter.
• Automatic Data Processing reported earnings of $2.26 per share for the last quarter, exceeding analysts' estimates, and its revenue rose 6.3% year-over-year to $5.13 billion.
• The company declared a quarterly dividend of $1.54, with an annualized yield of 2.0% and a payout ratio of 61.72%, set to be paid on October 1st.

APG Asset Management N.V. trimmed its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 5.6% in the 1st quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 281,692 shares of the business services provider's stock after selling 16,664 shares during the period. APG Asset Management N.V. owned approximately 0.07% of Automatic Data Processing worth $79,675,000 as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds have also recently made changes to their positions in the stock. von Borstel & Associates Inc. purchased a new stake in Automatic Data Processing during the first quarter valued at approximately $30,000. Main Street Group LTD increased its holdings in Automatic Data Processing by 50.7% during the fourth quarter. Main Street Group LTD now owns 113 shares of the business services provider's stock valued at $33,000 after buying an additional 38 shares during the last quarter. Y.D. More Investments Ltd purchased a new stake in Automatic Data Processing during the first quarter valued at approximately $35,000. Abound Wealth Management increased its holdings in Automatic Data Processing by 58.1% during the first quarter. Abound Wealth Management now owns 117 shares of the business services provider's stock valued at $36,000 after buying an additional 43 shares during the last quarter. Finally, Banque de Luxembourg S.A. purchased a new stake in Automatic Data Processing during the fourth quarter valued at approximately $37,000. 80.03% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of brokerages have commented on ADP. TD Securities upped their target price on shares of Automatic Data Processing from $298.00 to $321.00 and gave the company a "hold" rating in a report on Wednesday, May 21st. Morgan Stanley upped their price target on shares of Automatic Data Processing from $310.00 to $311.00 and gave the stock an "equal weight" rating in a research report on Thursday, July 31st. Royal Bank Of Canada reiterated a "sector perform" rating and issued a $315.00 price target on shares of Automatic Data Processing in a research report on Thursday, June 5th. Dbs Bank upgraded shares of Automatic Data Processing to a "hold" rating in a research report on Thursday, August 21st. Finally, Mizuho upped their price target on shares of Automatic Data Processing from $321.00 to $332.00 and gave the stock an "outperform" rating in a research report on Friday, June 13th. Two investment analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the stock. According to MarketBeat, the company has an average rating of "Hold" and a consensus price target of $317.00.

Automatic Data Processing Price Performance

Automatic Data Processing stock traded down $0.36 during mid-day trading on Wednesday, reaching $303.09. 1,081,510 shares of the company's stock traded hands, compared to its average volume of 1,727,340. The company has a market cap of $122.76 billion, a price-to-earnings ratio of 30.37, a PEG ratio of 2.78 and a beta of 0.81. The stock has a 50 day moving average of $304.94 and a two-hundred day moving average of $305.58. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.64. Automatic Data Processing, Inc. has a 12-month low of $267.79 and a 12-month high of $329.93.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last released its quarterly earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.23 by $0.03. The company had revenue of $5.13 billion for the quarter, compared to the consensus estimate of $5.05 billion. Automatic Data Processing had a net margin of 19.84% and a return on equity of 72.84%. Automatic Data Processing's revenue was up 6.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $2.09 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities analysts forecast that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.

Automatic Data Processing Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Friday, September 12th will be paid a $1.54 dividend. The ex-dividend date of this dividend 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 is currently 61.72%.

Automatic Data Processing 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.