SVB Wealth LLC Sells 12,313 Shares of Automatic Data Processing, Inc. $ADP

Key Points

• SVB Wealth LLC has reduced its holdings in Automatic Data Processing, Inc. by 27.9% in the first quarter, now owning 31,744 shares worth approximately $9.69 million.
• Analysts have set a consensus price target of $317.00 for Automatic Data Processing, with most ratings leaning towards a "Hold" status.
• Automatic Data Processing recently announced a quarterly dividend of $1.54, yielding 2.0% annually, set to be paid on October 1.

SVB Wealth LLC trimmed its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 27.9% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 31,744 shares of the business services provider's stock after selling 12,313 shares during the period. SVB Wealth LLC's holdings in Automatic Data Processing were worth $9,699,000 as of its most recent SEC filing.

Several other hedge funds have also made changes to their positions in ADP. GAMMA Investing LLC lifted its stake in shares of Automatic Data Processing by 34,655.1% in the first quarter. GAMMA Investing LLC now owns 2,901,007 shares of the business services provider's stock valued at $886,345,000 after buying an additional 2,892,660 shares during the period. Nuveen LLC acquired a new stake in shares of Automatic Data Processing during the first quarter worth approximately $661,771,000. Northern Trust Corp increased its holdings in shares of Automatic Data Processing by 17.1% during the fourth quarter. Northern Trust Corp now owns 6,174,419 shares of the business services provider's stock worth $1,807,438,000 after buying an additional 902,354 shares in the last quarter. Mackenzie Financial Corp increased its holdings in shares of Automatic Data Processing by 128.1% in the first quarter. Mackenzie Financial Corp now owns 1,585,704 shares of the business services provider's stock valued at $484,480,000 after purchasing an additional 890,440 shares in the last quarter. Finally, Ameriprise Financial Inc. increased its holdings in shares of Automatic Data Processing by 15.7% in the first quarter. Ameriprise Financial Inc. now owns 4,431,478 shares of the business services provider's stock valued at $1,348,805,000 after purchasing an additional 601,400 shares in the last quarter. Institutional investors own 80.03% of the company's stock.

Automatic Data Processing Trading Up 0.3%

Shares of ADP stock traded up $1.05 during trading hours on Thursday, hitting $304.14. 364,143 shares of the company's stock traded hands, compared to its average volume of 1,719,107. The stock's 50 day simple moving average is $304.86 and its 200 day simple moving average is $305.56. The stock has a market cap of $123.19 billion, a PE ratio of 30.48, a price-to-earnings-growth ratio of 2.78 and a beta of 0.81. Automatic Data Processing, Inc. has a 12 month low of $267.79 and a 12 month high of $329.93. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.64.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last posted its quarterly earnings data on Wednesday, July 30th. The business services provider reported $2.26 earnings per share for the quarter, topping the consensus estimate 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 company 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 posted $2.09 earnings per share. Automatic Data Processing's revenue for the quarter was up 6.3% compared to the same quarter last year. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. On average, sell-side analysts anticipate that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing Announces Dividend

The company 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 dividend yield of 2.0%. The ex-dividend date of this dividend is Friday, September 12th. Automatic Data Processing's dividend payout ratio (DPR) is presently 61.72%.

Analysts Set New Price Targets

A number of analysts have commented on the stock. Morgan Stanley lifted their target price on shares of Automatic Data Processing from $310.00 to $311.00 and gave the stock an "equal weight" rating in a report on Thursday, July 31st. UBS Group cut their price objective on shares of Automatic Data Processing from $323.00 to $315.00 and set a "neutral" rating on the stock in a research report on Friday, June 13th. 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 report on Friday, June 13th. TD Securities boosted their price target on shares of Automatic Data Processing from $298.00 to $321.00 and gave the stock a "hold" rating in a research report on Wednesday, May 21st. Finally, Dbs Bank raised shares of Automatic Data Processing to a "hold" rating in a report on Thursday, August 21st. Two equities research analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company's stock. Based on data from MarketBeat, Automatic Data Processing currently has a consensus rating of "Hold" and an average target price of $317.00.

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.