Automatic Data Processing, Inc. $ADP Shares Sold by HighTower Advisors LLC

Key Points

• HighTower Advisors LLC trimmed its ADP stake by 4.0% in the fourth quarter, selling 11,169 shares and ending with 270,043 shares worth about $69.5 million.
• ADP reported strong quarterly results, with earnings of $3.37 per share and revenue of $5.94 billion, both ahead of estimates, while revenue rose 7% year over year.
• The company also declared a quarterly dividend of $1.70 per share and received a mixed analyst backdrop, including Wells Fargo’s upgrade to Equal Weight but an overall Wall Street consensus of Hold.

HighTower Advisors LLC lowered its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 4.0% during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 270,043 shares of the business services provider's stock after selling 11,169 shares during the quarter. HighTower Advisors LLC owned 0.07% of Automatic Data Processing worth $69,463,000 as of its most recent SEC filing.

A number of other large investors have also made changes to their positions in ADP. Northwestern Mutual Wealth Management Co. raised its holdings in shares of Automatic Data Processing by 6,493.0% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 3,468,180 shares of the business services provider's stock valued at $892,120,000 after acquiring an additional 3,415,576 shares during the period. Wellington Management Group LLP raised its holdings 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 valued at $2,004,691,000 after acquiring an additional 2,208,927 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. raised its holdings 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 valued at $960,831,000 after acquiring an additional 796,379 shares during the period. PFA Pension Forsikringsaktieselskab acquired a new stake in shares of Automatic Data Processing during the fourth quarter valued at approximately $139,636,000. Finally, Vanguard Group Inc. raised its holdings 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 valued at $12,235,907,000 after acquiring an additional 389,451 shares during the period. Institutional investors and hedge funds own 80.03% of the company's stock.

Insiders Place Their Bets

In other Automatic Data Processing news, VP Christopher D'ambrosio sold 543 shares of the firm's stock in a transaction dated Monday, March 16th. The stock was sold at an average price of $208.45, for a total transaction of $113,188.35. Following the transaction, the vice president directly owned 8,912 shares in the company, valued at $1,857,706.40. This trade represents a 5.74% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. 0.20% of the stock is currently owned by company insiders.

Automatic Data Processing News Roundup

Here are the key news stories impacting Automatic Data Processing this week:

• Positive Sentiment: Wells Fargo upgraded Automatic Data Processing (ADP) to Equal Weight, adding to the bullish tone around the stock as analysts become more constructive on its outlook. Wells Fargo upgrades Automatic Data Processing (ADP)
• Positive Sentiment: ADP’s latest earnings-call commentary highlighted AI-related gains and an upgraded outlook, which may be improving investor confidence in future growth and margins. ADP Earnings Call Highlights AI Gains and Upgraded Outlook
• Positive Sentiment: Management has emphasized AI as a “defining moment” for the company, reinforcing the view that automation and product innovation could support longer-term earnings growth. Automatic Data Processing CEO says AI marks 'defining moment' as labor market stays muted
• Neutral Sentiment: ADP also published its weekly employment estimate, showing U.S. private employers added an average of 42,250 jobs per week through May 2. The report is supportive of ADP’s data franchise, but it is not a direct earnings catalyst. ADP National Employment Report Preliminary Estimate for May 2, 2026
• Neutral Sentiment: Other coverage focused on whether Wall Street is broadly bullish or bearish on ADP, but did not add a clearly new fundamental catalyst. Automatic Data Processing stock outlook: Is Wall Street bullish or bearish?
• Negative Sentiment: TD Cowen’s move to Hold suggests some analysts see less upside near term, which could temper enthusiasm despite the recent positive news flow. Automatic Data Processing was upgraded by TD Cowen to "hold"

Automatic Data Processing Trading Up 0.1%

Shares of NASDAQ ADP opened at $220.69 on Thursday. The stock has a market cap of $88.22 billion, a price-to-earnings ratio of 20.59 and a beta of 0.83. The business has a 50 day simple moving average of $206.13 and a 200 day simple moving average of $232.52. Automatic Data Processing, Inc. has a 52 week low of $188.16 and a 52 week high of $329.93. The company has a debt-to-equity ratio of 0.63, a quick ratio of 1.04 and a current ratio of 1.04.

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

Automatic Data Processing Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, July 1st. Shareholders of record on Friday, June 12th will be issued a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a yield of 3.1%. The ex-dividend date is Friday, June 12th. Automatic Data Processing's dividend payout ratio (DPR) is 63.43%.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on ADP shares. Wells Fargo & Company raised Automatic Data Processing from an "underweight" rating to an "equal weight" rating and set a $214.00 price objective for the company in a research note on Monday. Guggenheim started coverage on Automatic Data Processing in a research note on Thursday, March 19th. They issued a "buy" rating and a $270.00 price objective for the company. JPMorgan Chase & Co. reduced their price objective on Automatic Data Processing from $295.00 to $275.00 and set an "underweight" rating for the company in a research note on Thursday, January 29th. Mizuho reduced their price objective on Automatic Data Processing from $332.00 to $305.00 in a research note on Thursday, April 30th. Finally, Jefferies Financial Group reduced their price objective on Automatic Data Processing from $230.00 to $190.00 in a research note on Thursday, April 30th. One investment analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, ten have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Automatic Data Processing currently has a consensus rating of "Hold" and an average price target of $249.00.

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.

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.