Automatic Data Processing, Inc. $ADP Shares Sold by InvesTrust

Key Points

• InvesTrust has reduced its holdings in Automatic Data Processing, Inc. (ADP) by 54.7%, now owning 13,361 shares worth approximately $4.12 million.
• ADP recently reported earnings of $2.26 per share, exceeding analyst expectations, with a revenue growth of 6.3% year-over-year.
• The company declared a quarterly dividend of $1.54 per share, yielding 2.1%, with an ex-dividend date of September 12th.

InvesTrust lowered its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 54.7% during the second quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 13,361 shares of the business services provider's stock after selling 16,148 shares during the period. Automatic Data Processing comprises about 1.6% of InvesTrust's holdings, making the stock its 18th largest position. InvesTrust's holdings in Automatic Data Processing were worth $4,121,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Sentinus LLC raised its holdings in Automatic Data Processing by 2.3% in the 4th quarter. Sentinus LLC now owns 1,548 shares of the business services provider's stock valued at $453,000 after acquiring an additional 35 shares during the last quarter. Syntegra Private Wealth Group LLC raised its holdings in 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 acquiring an additional 35 shares during the last quarter. Transamerica Financial Advisors LLC grew its stake in shares of Automatic Data Processing by 1.0% during 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 buying an additional 35 shares during the period. Ashton Thomas Securities LLC grew its stake in shares of Automatic Data Processing by 4.1% during the 1st quarter. Ashton Thomas Securities LLC now owns 883 shares of the business services provider's stock valued at $270,000 after buying an additional 35 shares during the period. Finally, CBIZ Investment Advisory Services LLC grew its stake in shares of Automatic Data Processing by 36.1% during the 1st quarter. CBIZ Investment Advisory Services LLC now owns 132 shares of the business services provider's stock valued at $41,000 after buying an additional 35 shares during the period. Institutional investors and hedge funds own 80.03% of the company's stock.

Automatic Data Processing Stock Down 1.5%

Shares of Automatic Data Processing stock opened at $293.50 on Friday. The company has a fifty day moving average price of $303.00 and a 200 day moving average price of $304.67. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.64. Automatic Data Processing, Inc. has a twelve month low of $272.18 and a twelve month high of $329.93. The stock has a market cap of $118.88 billion, a price-to-earnings ratio of 29.41, a price-to-earnings-growth ratio of 2.73 and a beta of 0.82.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share for the quarter, topping analysts' consensus estimates of $2.23 by $0.03. Automatic Data Processing had a net margin of 19.84% and a return on equity of 72.84%. The firm had revenue of $5.13 billion during the quarter, compared to analysts' expectations of $5.05 billion. During the same period in the prior year, the company earned $2.09 EPS. The firm's revenue was up 6.3% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities research analysts forecast that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current fiscal year.

Automatic Data Processing Announces Dividend

The firm 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 dividend of $1.54 per share. This represents a $6.16 dividend on an annualized basis 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 61.72%.

Analysts Set New Price Targets

Several brokerages have recently issued reports on ADP. BMO Capital Markets raised shares of Automatic Data Processing to a "hold" rating and set a $340.00 price objective for the company in a research note on Thursday, July 10th. Mizuho boosted their price objective on shares of Automatic Data Processing from $321.00 to $332.00 and gave the company an "outperform" rating in a research note on Friday, June 13th. UBS Group lowered their price objective on shares of Automatic Data Processing from $323.00 to $315.00 and set a "neutral" rating for the company in a research note on Friday, June 13th. Stifel Nicolaus boosted 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. Finally, Morgan Stanley boosted their price objective 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. Two analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company's stock. According to MarketBeat, Automatic Data Processing has a consensus rating of "Hold" and an average target price of $317.00.

Insider Activity

In other Automatic Data Processing news, VP Joseph Desilva sold 4,614 shares of the company's stock in a transaction dated Wednesday, September 3rd. The shares were sold at an average price of $296.57, for a total value of $1,368,373.98. Following the completion of the transaction, the vice president directly owned 17,536 shares of the company's stock, valued at $5,200,651.52. This represents a 20.83% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, VP David Foskett sold 1,373 shares of the company's stock in a transaction dated Wednesday, September 3rd. The shares were sold at an average price of $296.57, for a total transaction of $407,190.61. Following the completion of the transaction, the vice president directly owned 11,781 shares of the company's stock, valued at approximately $3,493,891.17. The trade was a 10.44% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 52,516 shares of company stock worth $15,632,410 in the last quarter. Insiders own 0.21% 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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