Mizuho Securities USA LLC Sells 6,040 Shares of Automatic Data Processing, Inc. (NASDAQ:ADP)

Key Points

• Mizuho Securities USA LLC has reduced its stake in Automatic Data Processing, Inc. (ADP) by 15.6%, holding 32,578 shares valued at approximately $9.95 million after selling 6,040 shares in the first quarter.
• Despite this reduction in stake from Mizuho, other institutional investors like Golden State Wealth Management and GAMMA Investing increased their positions in ADP, highlighting continued interest from hedge funds.
• Automatic Data Processing reported a quarterly EPS of $2.26 exceeding estimates, alongside a revenue of $5.13 billion, marking a 6.3% year-over-year growth and declaring a dividend of $1.54.

Mizuho Securities USA LLC cut its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 15.6% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 32,578 shares of the business services provider's stock after selling 6,040 shares during the quarter. Mizuho Securities USA LLC's holdings in Automatic Data Processing were worth $9,954,000 at the end of the most recent quarter.

Other institutional investors have also added to or reduced their stakes in the company. Sentinus LLC increased its holdings in shares of Automatic Data Processing by 2.3% during the fourth quarter. Sentinus LLC now owns 1,548 shares of the business services provider's stock worth $453,000 after purchasing an additional 35 shares during the period. Syntegra Private Wealth Group LLC increased its holdings in shares of Automatic Data Processing by 4.7% during the first quarter. Syntegra Private Wealth Group LLC now owns 779 shares of the business services provider's stock worth $238,000 after purchasing an additional 35 shares during the period. Rehmann Capital Advisory Group increased its holdings in shares of Automatic Data Processing by 1.0% during the fourth quarter. Rehmann Capital Advisory Group now owns 3,686 shares of the business services provider's stock worth $1,079,000 after purchasing an additional 36 shares during the period. Detalus Advisors LLC increased its holdings in shares of Automatic Data Processing by 2.4% during the first quarter. Detalus Advisors LLC now owns 1,566 shares of the business services provider's stock worth $478,000 after purchasing an additional 37 shares during the period. Finally, Main Street Group LTD increased its holdings in shares of Automatic Data Processing by 50.7% during the fourth quarter. Main Street Group LTD now owns 113 shares of the business services provider's stock worth $33,000 after purchasing an additional 38 shares during the period. 80.03% of the stock is owned by institutional investors and hedge funds.

Automatic Data Processing Price Performance

Shares of NASDAQ ADP traded down $4.09 during trading hours on Tuesday, hitting $299.63. 1,280,014 shares of the stock were exchanged, compared to its average volume of 1,747,471. Automatic Data Processing, Inc. has a 1-year low of $259.08 and a 1-year high of $329.93. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.05 and a current ratio of 1.05. The company has a market cap of $121.36 billion, a PE ratio of 30.02, a price-to-earnings-growth ratio of 2.80 and a beta of 0.81. The company's fifty day simple moving average is $307.69 and its two-hundred day simple moving average is $305.58.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last issued its earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share for the quarter, beating 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 for the quarter, compared to analyst estimates of $5.05 billion. During the same quarter last year, the business posted $2.09 earnings per share. The company's quarterly revenue was up 6.3% on a year-over-year basis. On average, sell-side analysts predict that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Friday, September 12th will be given a $1.54 dividend. The ex-dividend date is Friday, September 12th. This represents a $6.16 dividend on an annualized basis and a yield of 2.1%. Automatic Data Processing's dividend payout ratio (DPR) is currently 61.72%.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on the stock. Stifel Nicolaus raised their target price on shares of Automatic Data Processing from $305.00 to $318.00 and gave the stock a "hold" rating in a report on Thursday, July 31st. Royal Bank Of Canada reaffirmed a "sector perform" rating and set a $315.00 target price on shares of Automatic Data Processing in a report on Thursday, June 5th. UBS Group lowered their target price on shares of Automatic Data Processing from $323.00 to $315.00 and set a "neutral" rating on the stock in a report on Friday, June 13th. Mizuho raised their target price on shares of Automatic Data Processing from $321.00 to $332.00 and gave the stock an "outperform" rating in a report on Friday, June 13th. Finally, Morgan Stanley increased their price target on shares of Automatic Data Processing from $310.00 to $311.00 and gave the stock an "equal weight" rating in a research report on Thursday, July 31st. One research analyst has rated the stock with a sell rating, ten have assigned a hold rating and two have given a buy rating to the company. According to MarketBeat, Automatic Data Processing has a consensus rating of "Hold" and an average target price of $314.33.

Automatic Data Processing 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.