Automatic Data Processing, Inc. $ADP Shares Bought by Federation des caisses Desjardins du Quebec

Key Points

• Federation des caisses Desjardins du Quebec increased its stake in Automatic Data Processing, Inc. by 57.9%, owning 71,914 shares valued at approximately $21.98 million after acquiring an additional 26,360 shares in Q1 2023.
• Automatic Data Processing reported a quarterly EPS of $2.26, exceeding expectations, alongside revenue of $5.13 billion, a year-over-year increase of 6.3%.
• The company declared a quarterly dividend of $1.54 per share, leading to an annualized dividend yield of 2.1%, with a payout ratio of 61.72%.

Federation des caisses Desjardins du Quebec lifted its stake in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 57.9% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 71,914 shares of the business services provider's stock after acquiring an additional 26,360 shares during the period. Federation des caisses Desjardins du Quebec's holdings in Automatic Data Processing were worth $21,981,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors also recently made changes to their positions in ADP. Activest Wealth Management lifted its stake in shares of Automatic Data Processing by 2,600.0% in the 1st quarter. Activest Wealth Management now owns 81 shares of the business services provider's stock worth $25,000 after acquiring an additional 78 shares during the period. Clarity Asset Management Inc. acquired a new stake in shares of Automatic Data Processing in the 1st quarter worth approximately $29,000. von Borstel & Associates Inc. acquired a new stake in shares of Automatic Data Processing in the 1st quarter worth approximately $30,000. Main Street Group LTD lifted its stake in shares of Automatic Data Processing by 50.7% in the 4th quarter. Main Street Group LTD now owns 113 shares of the business services provider's stock worth $33,000 after acquiring an additional 38 shares during the period. Finally, Y.D. More Investments Ltd acquired a new stake in shares of Automatic Data Processing in the 1st quarter worth approximately $35,000. 80.03% of the stock is owned by institutional investors and hedge funds.

Automatic Data Processing Stock Down 1.4%

Shares of NASDAQ:ADP opened at $299.77 on Wednesday. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.05 and a current ratio of 1.05. The company has a market cap of $121.42 billion, a PE ratio of 30.04, a price-to-earnings-growth ratio of 2.78 and a beta of 0.82. Automatic Data Processing, Inc. has a 52 week low of $267.79 and a 52 week high of $329.93. The firm has a 50 day simple moving average of $304.41 and a 200 day simple moving average of $305.42.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last issued its quarterly earnings results on Wednesday, July 30th. The business services provider reported $2.26 EPS for the quarter, beating the consensus estimate of $2.23 by $0.03. The business had revenue of $5.13 billion during 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%. The firm's quarterly revenue was up 6.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $2.09 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. As a group, research analysts expect that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.

Automatic Data Processing Dividend Announcement

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

Analysts Set New Price Targets

ADP has been the subject of a number of research analyst reports. 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 note on Friday, June 13th. Morgan Stanley increased their target price on shares of 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. 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 note on Thursday, July 10th. Dbs Bank raised shares of Automatic Data Processing to a "hold" rating in a research note on Thursday, August 21st. Finally, Stifel Nicolaus increased their target price 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. Two equities research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. According to MarketBeat, the company currently has an average rating of "Hold" and an average target price of $317.00.

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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