Automatic Data Processing, Inc. $ADP Stock Bought by Andrew Hill Investment Advisors Inc.

Key Points

• Andrew Hill Investment Advisors increased its ADP stake by 56.9% in the third quarter, bringing its holdings to 22,450 shares valued at approximately $5.8 million. Institutional investors collectively own 80.03% of the company.
• ADP reported quarterly revenue of $5.47 billion, up 6.8% year over year, and adjusted earnings of $2.64 per share, exceeding analyst expectations. The stock opened at $304.16, near its 52-week high of $309.40.
• ADP paid a quarterly dividend of $1.70 per share, equivalent to an annualized $6.80 dividend and a 2.2% yield. Analysts maintain a consensus “Hold” rating with an average price target of $276.36.

Andrew Hill Investment Advisors Inc. boosted its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 56.9% during the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 22,450 shares of the business services provider's stock after acquiring an additional 8,145 shares during the quarter. Automatic Data Processing comprises about 4.6% of Andrew Hill Investment Advisors Inc.'s investment portfolio, making the stock its 7th biggest position. Andrew Hill Investment Advisors Inc.'s holdings in Automatic Data Processing were worth $5,793,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors have also bought and sold shares of ADP. Polaris Financial Partners bought a new position in shares of Automatic Data Processing during the 3rd quarter worth $25,000. Whipplewood Advisors LLC grew its stake in shares of Automatic Data Processing by 2,740.0% during the 1st quarter. Whipplewood Advisors LLC now owns 142 shares of the business services provider's stock worth $29,000 after purchasing an additional 137 shares during the period. Kelly Lawrence W & Associates Inc. CA acquired a new stake in shares of Automatic Data Processing in the second quarter valued at about $34,000. Cornerstone Financial Management LLC raised its holdings in Automatic Data Processing by 59.2% in the 2nd quarter. Cornerstone Financial Management LLC now owns 156 shares of the business services provider's stock valued at $35,000 after acquiring an additional 58 shares during the last quarter. Finally, N.E.W. Advisory Services LLC acquired a new stake in Automatic Data Processing during the second quarter worth $36,000. Hedge funds and other institutional investors own 80.03% of the company's stock.

Automatic Data Processing Price Performance

Automatic Data Processing stock opened at $304.16 on Friday. Automatic Data Processing, Inc. has a 52 week low of $188.16 and a 52 week high of $309.40. The firm has a market capitalization of $120.52 billion, a PE ratio of 27.80, a P/E/G ratio of 2.79 and a beta of 0.83. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.82. The firm's 50-day simple moving average is $275.45 and its 200 day simple moving average is $245.48.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last released its quarterly earnings results on Wednesday, July 29th. The business services provider reported $2.64 EPS for the quarter, beating the consensus estimate of $2.59 by $0.05. Automatic Data Processing had a net margin of 20.11% and a return on equity of 71.34%. The business had revenue of $5.47 billion for the quarter, compared to analyst estimates of $5.44 billion. During the same period in the prior year, the business earned $2.26 earnings per share. The company's quarterly revenue was up 6.8% on a year-over-year basis. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. On average, equities research analysts predict that Automatic Data Processing, Inc. will post 12.27 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Friday, September 11th were issued a dividend of $1.70 per share. This represents a $6.80 dividend on an annualized basis and a yield of 2.2%. The ex-dividend date was Friday, September 11th. Automatic Data Processing's dividend payout ratio is 62.16%.

Analyst Ratings Changes

A number of equities analysts recently commented on the company. Morgan Stanley raised their target price on Automatic Data Processing from $240.00 to $286.00 and gave the company an "equal weight" rating in a report on Thursday, July 30th. BMO Capital Markets lifted their target price on shares of Automatic Data Processing from $248.00 to $305.00 and gave the company a "market perform" rating in a report on Wednesday, July 29th. UBS Group upped their price target on Automatic Data Processing from $260.00 to $270.00 and gave the stock a "neutral" rating in a research note on Wednesday, July 22nd. Guggenheim boosted their price target on shares of Automatic Data Processing from $300.00 to $340.00 and gave the stock a "buy" rating in a research note on Friday. Finally, Wells Fargo & Company increased their target price on Automatic Data Processing from $248.00 to $283.00 and gave the stock an "equal weight" rating in a research note on Thursday, July 30th. Three research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Automatic Data Processing has a consensus rating of "Hold" and a consensus price target of $276.36.

Insider Buying and Selling

In other Automatic Data Processing news, VP Brian Michaud sold 120 shares of the firm's stock in a transaction on Friday, August 21st. The stock was sold at an average price of $279.70, for a total transaction of $33,564.00. Following the completion of the transaction, the vice president owned 18,442 shares of the company's stock, valued at approximately $5,158,227.40. This trade represents a 0.65% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP David Kwon sold 798 shares of the business's stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $280.00, for a total value of $223,440.00. Following the completion of the transaction, the vice president directly owned 13,193 shares of the company's stock, valued at approximately $3,694,040. This trade represents a 5.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 33,773 shares of company stock worth $9,450,629 in the last 90 days. Corporate insiders own 0.15% of the company's stock.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc NASDAQ: ADP is a global provider of human capital management and business outsourcing solutions. The company helps employers manage payroll, human resources, workforce administration, benefits, tax compliance, time and attendance, talent management, and related employment processes.

ADP offers cloud-based platforms and services designed for businesses of various sizes, from small enterprises to large organizations. Its portfolio includes payroll processing, human resources management, employee benefits administration, retirement services, workforce management, data analytics, and professional employer organization services through ADP TotalSource.

Founded in 1949, ADP serves businesses in the United States and international markets.

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