Automatic Data Processing, Inc. $ADP Shares Bought by Vest Financial LLC

Key Points

• Vest Financial LLC increased its stake in Automatic Data Processing by 4.4% in Q4, adding 14,384 shares to hold 339,023 shares valued at about $87.2 million, making ADP its seventh-largest holding.
• ADP announced a $6.0 billion share repurchase authorization (up to ~5.8% of shares) and declared a quarterly dividend of $1.70 (annualized $6.80, yield ~3.4%), while its latest quarter beat EPS estimates and management set FY2026 guidance of $10.091–$11.011 per share.
• Analysts have a consensus rating of "Hold" with an average target of $273.85, and several firms recently trimmed price targets (e.g., Citigroup, Wells Fargo, Morgan Stanley) amid mixed ratings across brokers.

Vest Financial LLC lifted its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 4.4% in the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 339,023 shares of the business services provider's stock after buying an additional 14,384 shares during the period. Automatic Data Processing comprises about 1.1% of Vest Financial LLC's investment portfolio, making the stock its 7th largest holding. Vest Financial LLC owned 0.08% of Automatic Data Processing worth $87,207,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently modified their holdings of ADP. Wellington Management Group LLP boosted its position in shares of Automatic Data Processing by 47.8% during the third quarter. Wellington Management Group LLP now owns 6,830,294 shares of the business services provider's stock worth $2,004,691,000 after buying an additional 2,208,927 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. boosted its position in shares of Automatic Data Processing by 32.1% during the third quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 3,273,700 shares of the business services provider's stock worth $960,831,000 after buying an additional 796,379 shares during the period. Vanguard Group Inc. boosted its position in shares of Automatic Data Processing by 0.9% during the third quarter. Vanguard Group Inc. now owns 41,689,633 shares of the business services provider's stock worth $12,235,907,000 after buying an additional 389,451 shares during the period. Cardano Risk Management B.V. acquired a new position in shares of Automatic Data Processing during the third quarter worth about $99,591,000. Finally, Credit Agricole S A acquired a new position in shares of Automatic Data Processing during the third quarter worth about $94,021,000. 80.03% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of brokerages have recently weighed in on ADP. Citigroup lowered their target price on Automatic Data Processing from $303.00 to $265.00 and set a "neutral" rating on the stock in a research note on Thursday, January 29th. Weiss Ratings reiterated a "hold (c+)" rating on shares of Automatic Data Processing in a research note on Monday, December 29th. Wells Fargo & Company lowered their target price on Automatic Data Processing from $262.00 to $214.00 and set an "underweight" rating on the stock in a research note on Friday, March 27th. Morgan Stanley lowered their target price on Automatic Data Processing from $311.00 to $274.00 and set an "equal weight" rating on the stock in a research note on Thursday, January 29th. Finally, Cantor Fitzgerald lowered their target price on Automatic Data Processing from $306.00 to $244.00 and set an "overweight" rating on the stock in a research note on Tuesday, April 21st. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $273.85.

Automatic Data Processing Price Performance

Shares of NASDAQ:ADP opened at $197.23 on Tuesday. The firm has a 50 day moving average of $207.07 and a 200-day moving average of $239.60. The stock has a market capitalization of $79.41 billion, a PE ratio of 18.96 and a beta of 0.85. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 0.62. Automatic Data Processing, Inc. has a 12 month low of $188.16 and a 12 month high of $329.93.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last issued its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 earnings per share for the quarter, topping analysts' consensus estimates of $2.57 by $0.05. The business had revenue of $5.36 billion for the quarter, compared to analyst estimates of $5.34 billion. Automatic Data Processing had a return on equity of 68.44% and a net margin of 19.96%.Automatic Data Processing's quarterly revenue was up 6.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $2.35 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. On average, equities research analysts predict that Automatic Data Processing, Inc. will post 10.96 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Investors 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 dividend on an annualized basis and a yield of 3.4%. Automatic Data Processing's payout ratio is currently 65.38%.

Automatic Data Processing declared that its Board of Directors has initiated a share repurchase plan on Wednesday, January 14th that allows the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization allows the business services provider to purchase up to 5.8% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company's board of directors believes its shares are undervalued.

Insider Buying and Selling

In other Automatic Data Processing news, VP Brian L. Michaud sold 1,000 shares of Automatic Data Processing stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $234.18, for a total transaction of $234,180.00. Following the transaction, the vice president directly owned 15,310 shares of the company's stock, valued at approximately $3,585,295.80. The trade was a 6.13% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Christopher D'ambrosio sold 543 shares of Automatic Data Processing stock in a transaction dated Monday, March 16th. The stock was sold at an average price of $208.45, for a total value of $113,188.35. Following the transaction, the vice president directly owned 8,912 shares in the company, valued at $1,857,706.40. The trade was a 5.74% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 1,809 shares of company stock worth $410,410 in the last 90 days. Insiders own 0.20% of the company's stock.

Automatic Data Processing Company 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.