Automatic Data Processing, Inc. $ADP Stock Position Lessened by Cliftonlarsonallen Wealth Advisors LLC

Key Points

• Cliftonlarsonallen Wealth Advisors reduced its ADP position by 22.9% in the third quarter, selling 7,323 shares and retaining 24,713 shares valued at approximately $6.4 million. Institutional investors and hedge funds own 80.03% of ADP.
• ADP exceeded quarterly expectations with earnings of $2.64 per share and revenue of $5.47 billion, while revenue rose 6.8% year over year. The company also declared a quarterly dividend of $1.70, equivalent to a 2.4% annualized yield.
• Wall Street maintains a consensus “Hold” rating with an average price target of $273.50; ADP shares recently opened at $280.32. CEO Maria Black and other insiders have sold about $9.45 million of stock over the past 90 days.

Cliftonlarsonallen Wealth Advisors LLC reduced its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 22.9% in the 3rd quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 24,713 shares of the business services provider's stock after selling 7,323 shares during the period. Cliftonlarsonallen Wealth Advisors LLC's holdings in Automatic Data Processing were worth $6,377,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also recently added to or reduced their stakes in ADP. Polaris Financial Partners acquired a new position in shares of Automatic Data Processing during the third quarter worth approximately $25,000. Whipplewood Advisors LLC grew its stake in shares of Automatic Data Processing by 2,740.0% during the first quarter. Whipplewood Advisors LLC now owns 142 shares of the business services provider's stock valued at $29,000 after purchasing an additional 137 shares during the last quarter. Kelly Lawrence W & Associates Inc. CA acquired a new stake in shares of Automatic Data Processing in the second quarter valued at approximately $34,000. Cornerstone Financial Management LLC increased its holdings in shares of Automatic Data Processing by 59.2% in the second quarter. Cornerstone Financial Management LLC now owns 156 shares of the business services provider's stock valued at $35,000 after purchasing an additional 58 shares in the last quarter. Finally, N.E.W. Advisory Services LLC acquired a new stake in shares of Automatic Data Processing in the second quarter valued at approximately $36,000. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Automatic Data Processing Stock Performance

Shares of ADP stock opened at $280.32 on Thursday. The company has a debt-to-equity ratio of 0.82, a current ratio of 1.05 and a quick ratio of 1.05. The stock has a market cap of $111.08 billion, a PE ratio of 25.62, a price-to-earnings-growth ratio of 2.50 and a beta of 0.83. The stock has a 50-day moving average of $272.40 and a 200-day moving average of $241.28. Automatic Data Processing, Inc. has a one year low of $188.16 and a one year high of $288.00.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last posted its earnings results on Wednesday, July 29th. The business services provider reported $2.64 earnings per share for the quarter, topping 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 company had revenue of $5.47 billion for the quarter, compared to analyst estimates of $5.44 billion. During the same period last year, the business posted $2.26 earnings per share. The business's revenue for the quarter was up 6.8% compared to the same quarter last year. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. As a group, sell-side analysts expect that Automatic Data Processing, Inc. will post 12.27 earnings per share for the current year.

Automatic Data Processing Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Friday, September 11th were issued a $1.70 dividend. This represents a $6.80 annualized dividend and a dividend yield of 2.4%. The ex-dividend date was Friday, September 11th. Automatic Data Processing's dividend payout ratio is 62.16%.

Wall Street Analyst Weigh In

A number of brokerages have commented on ADP. Morgan Stanley increased their price objective on Automatic Data Processing from $240.00 to $286.00 and gave the company an "equal weight" rating in a research report on Thursday, July 30th. Weiss Ratings upgraded Automatic Data Processing from a "hold (c)" rating to a "hold (c+)" rating in a research report on Tuesday, September 22nd. Wells Fargo & Company upped their price target on Automatic Data Processing from $248.00 to $283.00 and gave the company an "equal weight" rating in a research note on Thursday, July 30th. TD Cowen upped their price target on Automatic Data Processing from $216.00 to $223.00 and gave the company a "hold" rating in a research note on Monday, July 6th. Finally, Guggenheim raised their price target on Automatic Data Processing from $270.00 to $300.00 and gave the company a "buy" rating in a report on Thursday, July 30th. Three equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Hold" and an average target price of $273.50.

Insider Activity at Automatic Data Processing

In other Automatic Data Processing news, CEO Maria Black sold 29,810 shares of the stock in a transaction dated Wednesday, September 2nd. The stock was sold at an average price of $280.91, for a total transaction of $8,373,927.10. Following the completion of the transaction, the chief executive officer owned 80,624 shares in the company, valued at approximately $22,648,087.84. This represents a 26.99% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Brian L. Michaud sold 120 shares of Automatic Data Processing stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $279.70, for a total value of $33,564.00. Following the completion of the sale, the vice president directly owned 18,442 shares in the company, valued at $5,158,227.40. This represents a 0.65% decrease in their position. 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 33,773 shares of company stock worth $9,450,629 over the last ninety days. 0.15% of the stock is owned by corporate insiders.

Automatic Data Processing Profile

Automatic Data Processing, Inc NASDAQ: ADP is a provider of human capital management and business outsourcing solutions. The company helps organizations manage payroll, tax withholding and compliance, employee benefits, time and attendance, workforce management, talent acquisition, and human resources administration.

ADP offers cloud-based platforms and related services designed for businesses of different sizes, from small companies to large multinational employers. Its offerings include payroll and HR software, workforce analytics, talent management tools, retirement and insurance-related administration, and professional employer organization services through ADP TotalSource.

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