Axxcess Wealth Management LLC Increases Stock Holdings in Automatic Data Processing, Inc. $ADP

Key Points

• Axxcess Wealth Management LLC increased its stake in Automatic Data Processing by 319% in the fourth quarter, ending with 138,479 shares valued at about $35.6 million.
• ADP reported better-than-expected quarterly results, with EPS of $3.37 versus estimates of $3.30 and revenue of $5.94 billion versus $5.85 billion expected. The company also raised its FY 2026 EPS guidance to $11.01-$11.11.
• The company announced a quarterly dividend of $1.70 per share, payable July 1, for an annualized yield of about 3.1%. Meanwhile, analysts currently have a consensus rating of Hold with a price target of $249.

Axxcess Wealth Management LLC lifted its stake in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 319.0% in the fourth quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 138,479 shares of the business services provider's stock after purchasing an additional 105,426 shares during the quarter. Axxcess Wealth Management LLC's holdings in Automatic Data Processing were worth $35,621,000 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 ADP. Imprint Wealth LLC bought a new stake in Automatic Data Processing during the 3rd quarter valued at $25,000. Cloud Capital Management LLC bought a new stake in Automatic Data Processing during the 3rd quarter valued at $29,000. Y.D. More Investments Ltd bought a new stake in Automatic Data Processing during the 3rd quarter valued at $32,000. Board of the Pension Protection Fund bought a new stake in Automatic Data Processing during the 4th quarter valued at $31,000. Finally, AlphaQuest LLC bought a new stake in Automatic Data Processing during the 3rd quarter valued at $38,000. Hedge funds and other institutional investors own 80.03% of the company's stock.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on the company. TD Cowen raised Automatic Data Processing to a "hold" rating in a research report on Monday. JPMorgan Chase & Co. decreased their target price on Automatic Data Processing from $295.00 to $275.00 and set an "underweight" rating for the company in a research report on Thursday, January 29th. Stifel Nicolaus cut their price target on Automatic Data Processing from $270.00 to $240.00 in a report on Thursday, April 30th. Morgan Stanley cut their price target on Automatic Data Processing from $311.00 to $274.00 and set an "equal weight" rating on the stock in a report on Tuesday, April 28th. Finally, Cantor Fitzgerald cut their price target on Automatic Data Processing from $306.00 to $244.00 and set an "overweight" rating on the stock in a report on Wednesday, April 29th. One investment analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $249.00.

Automatic Data Processing Stock Performance

NASDAQ ADP opened at $220.07 on Friday. The stock has a market capitalization of $87.97 billion, a price-to-earnings ratio of 20.53 and a beta of 0.83. Automatic Data Processing, Inc. has a twelve month low of $188.16 and a twelve month high of $329.93. The company has a current ratio of 1.04, a quick ratio of 1.04 and a debt-to-equity ratio of 0.63. The stock has a 50-day moving average of $206.18 and a 200 day moving average of $232.24.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last issued its quarterly earnings results on Wednesday, April 29th. The business services provider reported $3.37 EPS for the quarter, topping the consensus estimate of $3.30 by $0.07. Automatic Data Processing had a return on equity of 68.82% and a net margin of 20.12%.The firm had revenue of $5.94 billion during the quarter, compared to analysts' expectations of $5.85 billion. During the same period in the previous year, the business earned $3.06 earnings per share. The firm's revenue for the quarter was up 7.0% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. Sell-side analysts anticipate that Automatic Data Processing, Inc. will post 11.07 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Investors of record on Friday, June 12th will be given a $1.70 dividend. This represents a $6.80 annualized dividend and a yield of 3.1%. The ex-dividend date is Friday, June 12th. Automatic Data Processing's dividend payout ratio is presently 63.43%.

Insiders Place Their Bets

In other news, VP Christopher D'ambrosio sold 543 shares of the firm's stock in a transaction on Monday, March 16th. The stock was sold at an average price of $208.45, for a total transaction of $113,188.35. Following the completion of the transaction, the vice president directly owned 8,912 shares in the company, valued at $1,857,706.40. This trade represents a 5.74% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Insiders own 0.20% of the company's stock.

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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