Automatic Data Processing, Inc. $ADP Holdings Boosted by Ninety One North America Inc.

Key Points

• Ninety One North America Inc. increased its holdings in Automatic Data Processing by 35.3% during Q2, now owning 165,286 shares valued at approximately $50.97 million.
• Automatic Data Processing reported earnings of $2.26 per share for the last quarter, exceeding analysts' expectations of $2.23, with revenues totaling $5.13 billion.
• ADP announced a quarterly dividend of $1.54 per share, reflecting a 2.1% yield based on its current share price.

Ninety One North America Inc. boosted its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 35.3% during the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 165,286 shares of the business services provider's stock after acquiring an additional 43,125 shares during the period. Automatic Data Processing comprises about 2.5% of Ninety One North America Inc.'s investment portfolio, making the stock its 15th biggest holding. Ninety One North America Inc.'s holdings in Automatic Data Processing were worth $50,974,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other large investors have also recently bought and sold shares of ADP. Bangor Savings Bank lifted its stake in shares of Automatic Data Processing by 0.7% in the 2nd quarter. Bangor Savings Bank now owns 4,907 shares of the business services provider's stock valued at $1,513,000 after purchasing an additional 34 shares during the last quarter. Syntegra Private Wealth Group LLC lifted its stake in shares of Automatic Data Processing by 4.7% in the 1st quarter. Syntegra Private Wealth Group LLC now owns 779 shares of the business services provider's stock valued at $238,000 after purchasing an additional 35 shares during the last quarter. Transamerica Financial Advisors LLC lifted its stake in shares of Automatic Data Processing by 1.0% in the 1st quarter. Transamerica Financial Advisors LLC now owns 3,371 shares of the business services provider's stock valued at $1,030,000 after purchasing an additional 35 shares during the last quarter. Ashton Thomas Securities LLC lifted its stake in shares of Automatic Data Processing by 4.1% in the 1st quarter. Ashton Thomas Securities LLC now owns 883 shares of the business services provider's stock valued at $270,000 after purchasing an additional 35 shares during the last quarter. Finally, CBIZ Investment Advisory Services LLC lifted its stake in shares of Automatic Data Processing by 36.1% in the 1st quarter. CBIZ Investment Advisory Services LLC now owns 132 shares of the business services provider's stock valued at $41,000 after purchasing an additional 35 shares during the last quarter. Institutional investors own 80.03% of the company's stock.

Automatic Data Processing Stock Performance

NASDAQ ADP opened at $293.50 on Wednesday. The stock has a market cap of $118.89 billion, a P/E ratio of 29.41, a PEG ratio of 2.68 and a beta of 0.82. The company's 50-day simple moving average is $300.01 and its 200 day simple moving average is $303.53. Automatic Data Processing, Inc. has a twelve month low of $272.62 and a twelve month high of $329.93. 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 (NASDAQ:ADP - Get Free Report) last posted its earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share for the quarter, beating analysts' consensus estimates of $2.23 by $0.03. The business had revenue of $5.13 billion for the quarter, compared to analysts' expectations of $5.05 billion. Automatic Data Processing had a net margin of 19.84% and a return on equity of 72.84%. The firm's revenue for the quarter was up 6.3% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.09 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. As a group, research analysts forecast that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current fiscal year.

Automatic Data Processing Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Friday, September 12th will be paid a dividend of $1.54 per share. This represents a $6.16 annualized dividend and a yield of 2.1%. The ex-dividend date of this dividend is Friday, September 12th. Automatic Data Processing's dividend payout ratio is currently 61.72%.

Analyst Upgrades and Downgrades

ADP has been the subject of several analyst reports. Stifel Nicolaus lifted their price objective on shares of Automatic Data Processing from $305.00 to $318.00 and gave the company a "hold" rating in a research note on Thursday, July 31st. Morgan Stanley boosted their target price 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. BMO Capital Markets raised shares of Automatic Data Processing to a "hold" rating and set a $340.00 target price for the company in a research report on Thursday, July 10th. Dbs Bank raised shares of Automatic Data Processing to a "hold" rating in a research report on Thursday, August 21st. Finally, UBS Group cut their target price on shares of Automatic Data Processing from $315.00 to $290.00 and set a "neutral" rating for the company in a research report on Wednesday, September 17th. Two analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Automatic Data Processing presently has a consensus rating of "Hold" and a consensus target price of $316.70.

Insider Activity

In other Automatic Data Processing news, VP Michael A. Bonarti sold 8,728 shares of the company's stock in a transaction dated Tuesday, September 9th. The shares were sold at an average price of $298.43, for a total transaction of $2,604,697.04. Following the sale, the vice president directly owned 80,531 shares of the company's stock, valued at approximately $24,032,866.33. This represents a 9.78% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Joseph Desilva sold 4,614 shares of the company's stock in a transaction dated Wednesday, September 3rd. The stock was sold at an average price of $296.57, for a total transaction of $1,368,373.98. Following the sale, the vice president directly owned 17,536 shares in the company, valued at $5,200,651.52. This represents a 20.83% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 52,516 shares of company stock valued at $15,632,410. Corporate insiders own 0.20% of the company's stock.

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.

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