Automatic Data Processing, Inc. $ADP Shares Sold by Private Advisor Group LLC

Key Points

• Private Advisor Group LLC cut its stake in Automatic Data Processing by 31.1% in the first quarter, selling 8,174 shares and leaving it with 18,079 shares worth about $3.67 million.
• ADP reported better-than-expected quarterly results, posting EPS of $3.37 versus $3.30 expected and revenue of $5.94 billion versus $5.85 billion expected. Revenue rose 7.0% year over year.
• Analyst sentiment remains mixed: the stock has an average Hold rating and an average target price of $246.21, even as several firms recently lowered their price targets.

Private Advisor Group LLC reduced its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 31.1% in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 18,079 shares of the business services provider's stock after selling 8,174 shares during the period. Private Advisor Group LLC's holdings in Automatic Data Processing were worth $3,673,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also recently modified their holdings of the company. Northwestern Mutual Wealth Management Co. raised its holdings in 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 worth $892,120,000 after purchasing an additional 3,415,576 shares in the last quarter. Cardano Risk Management B.V. boosted its holdings in shares of Automatic Data Processing by 950.1% in the 4th quarter. Cardano Risk Management B.V. now owns 3,563,180 shares of the business services provider's stock valued at $916,557,000 after buying an additional 3,223,855 shares in the last quarter. Norges Bank acquired a new position in shares of Automatic Data Processing in the 4th quarter valued at $721,738,000. Wellington Management Group LLP grew its position in shares of Automatic Data Processing by 47.8% in the 3rd 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 buying an additional 2,208,927 shares during the last quarter. Finally, Clearbridge Investments LLC grew its position in shares of Automatic Data Processing by 133.3% in the 4th quarter. Clearbridge Investments LLC now owns 1,687,793 shares of the business services provider's stock valued at $434,151,000 after buying an additional 964,405 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 $241.37 on Thursday. The firm's fifty day moving average price is $222.62 and its 200 day moving average price is $225.10. Automatic Data Processing, Inc. has a 1-year low of $188.16 and a 1-year high of $315.98. The company has a debt-to-equity ratio of 0.63, a current ratio of 1.04 and a quick ratio of 1.04. The firm has a market cap of $96.48 billion, a price-to-earnings ratio of 22.52 and a beta of 0.83.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last issued its earnings results on Wednesday, April 29th. The business services provider reported $3.37 earnings per share for the quarter, beating the consensus estimate of $3.30 by $0.07. Automatic Data Processing had a net margin of 20.12% and a return on equity of 68.82%. The business had revenue of $5.94 billion for the quarter, compared to the consensus estimate of $5.85 billion. During the same quarter in the previous year, the firm earned $3.06 earnings per share. The business's quarterly revenue was up 7.0% compared to the same quarter last year. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. On average, sell-side analysts expect that Automatic Data Processing, Inc. will post 11.08 EPS for the current year.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on the stock. Cantor Fitzgerald cut their price target on shares of Automatic Data Processing from $306.00 to $244.00 and set an "overweight" rating on the stock in a research note on Wednesday, April 29th. Robert W. Baird dropped their price objective on Automatic Data Processing from $300.00 to $270.00 in a report on Thursday, April 30th. UBS Group lifted their target price on Automatic Data Processing from $210.00 to $218.00 and gave the stock a "neutral" rating in a research report on Thursday, April 30th. Jefferies Financial Group reduced their target price on Automatic Data Processing from $230.00 to $190.00 in a report on Thursday, April 30th. Finally, TD Cowen upped their target price on Automatic Data Processing from $216.00 to $223.00 and gave the company a "hold" rating in a research report on Monday. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has an average rating of "Hold" and an average target price of $246.21.

About Automatic Data Processing

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.

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