Automatic Data Processing, Inc. $ADP Shares Bought by Vanguard Personalized Indexing Management LLC

Key Points

• Vanguard Personalized Indexing Management LLC increased its stake in Automatic Data Processing by 16.5% in the fourth quarter, adding 10,505 shares to bring its total to 74,335 shares worth about $19.1 million.
• ADP reported better-than-expected Q4 results, with EPS of $3.37 versus the $3.30 consensus and revenue of $5.94 billion versus $5.85 billion expected. Quarterly revenue rose 7% year over year.
• The company declared a quarterly dividend of $1.70 per share, equal to a $6.80 annualized payout and a 3.0% yield. Analysts currently have a consensus rating of Hold, with an average price target of $244.29.

Vanguard Personalized Indexing Management LLC raised its stake in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 16.5% in the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 74,335 shares of the business services provider's stock after acquiring an additional 10,505 shares during the period. Vanguard Personalized Indexing Management LLC's holdings in Automatic Data Processing were worth $19,121,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other large investors also recently bought and sold shares of the company. Hilltop Holdings Inc. purchased a new stake in shares of Automatic Data Processing in the third quarter valued at about $5,292,000. Jefferies Financial Group Inc. purchased a new stake in shares of Automatic Data Processing in the third quarter valued at about $2,794,000. Horizon Investments LLC raised its holdings in shares of Automatic Data Processing by 34.1% in the fourth quarter. Horizon Investments LLC now owns 26,144 shares of the business services provider's stock valued at $6,725,000 after buying an additional 6,655 shares during the last quarter. Elevation Point Wealth Partners LLC raised its holdings in shares of Automatic Data Processing by 181.5% in the third quarter. Elevation Point Wealth Partners LLC now owns 16,789 shares of the business services provider's stock valued at $4,950,000 after buying an additional 10,824 shares during the last quarter. Finally, Generali Investments CEE investicni spolecnost a.s. raised its holdings in shares of Automatic Data Processing by 64.0% in the fourth quarter. Generali Investments CEE investicni spolecnost a.s. now owns 14,757 shares of the business services provider's stock valued at $3,796,000 after buying an additional 5,757 shares during the last quarter. Institutional investors and hedge funds own 80.03% of the company's stock.

Automatic Data Processing Stock Performance

NASDAQ ADP opened at $226.21 on Monday. The company has a current ratio of 1.04, a quick ratio of 1.04 and a debt-to-equity ratio of 0.63. The business's 50 day moving average is $212.58 and its two-hundred day moving average is $229.21. Automatic Data Processing, Inc. has a 12-month low of $188.16 and a 12-month high of $315.98. The stock has a market capitalization of $90.42 billion, a price-to-earnings ratio of 21.10 and a beta of 0.84.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last released its earnings results on Wednesday, April 29th. The business services provider reported $3.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.30 by $0.07. Automatic Data Processing had a return on equity of 68.82% and a net margin of 20.12%.The company had revenue of $5.94 billion for the quarter, compared to analysts' expectations of $5.85 billion. During the same quarter in the previous year, the firm posted $3.06 EPS. The firm's quarterly revenue was up 7.0% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. Research analysts expect that Automatic Data Processing, Inc. will post 11.07 EPS for the current year.

Automatic Data Processing Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 1st. Shareholders of record on Friday, June 12th will be given a dividend of $1.70 per share. The ex-dividend date is Friday, June 12th. This represents a $6.80 annualized dividend and a yield of 3.0%. Automatic Data Processing's payout ratio is presently 63.43%.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently commented on the stock. Stifel Nicolaus reduced their target price on shares of Automatic Data Processing from $270.00 to $240.00 in a report on Thursday, April 30th. Morgan Stanley reduced their target price on shares of Automatic Data Processing from $311.00 to $274.00 and set an "equal weight" rating for the company in a report on Tuesday, April 28th. Robert W. Baird reduced their target price on shares of Automatic Data Processing from $300.00 to $270.00 in a report on Thursday, April 30th. Citigroup reduced their target price on shares of Automatic Data Processing from $265.00 to $230.00 and set a "neutral" rating for the company in a report on Thursday, April 30th. Finally, Jefferies Financial Group reduced their target price on shares of Automatic Data Processing from $230.00 to $190.00 in a report on Thursday, April 30th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, nine have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $244.29.

Automatic Data Processing Profile

Automatic Data Processing, Inc (ADP) is a global provider of cloud-based human capital management (HCM) and payroll solutions. Founded in 1949 and headquartered in Roseland, New Jersey, ADP began as a payroll processing company and has evolved into a diversified provider of workforce management, HR, benefits administration, tax and compliance services, and analytics for employers of all sizes.

ADP's product portfolio includes payroll processing and tax filing, time and attendance systems, benefits administration, talent management, and HR outsourcing.

Want to see what other hedge funds are holding ADP? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report).

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.