BLI Banque de Luxembourg Investments Sells 5,300 Shares of Automatic Data Processing, Inc. $ADP

Key Points

• BLI Banque de Luxembourg Investments reduced its stake in Automatic Data Processing by 13% in the fourth quarter, selling 5,300 shares and leaving it with 35,400 shares valued at about $9.19 million.
• ADP reported stronger-than-expected quarterly results, with EPS of $3.37 versus estimates of $3.30 and revenue of $5.94 billion, up 7% year over year. The company also raised FY2026 guidance to $11.01–$11.11 EPS.
• The company announced a quarterly dividend of $1.70 per share, payable July 1, implying an annualized yield of 3.0%. Meanwhile, analysts’ consensus rating on the stock remains Hold with an average price target of $244.29.

BLI Banque de Luxembourg Investments lessened its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 13.0% during the 4th quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 35,400 shares of the business services provider's stock after selling 5,300 shares during the period. BLI Banque de Luxembourg Investments' holdings in Automatic Data Processing were worth $9,191,000 at the end of the most recent reporting period.

Other institutional investors have also recently made changes to their positions in the company. Imprint Wealth LLC bought a new stake in Automatic Data Processing during the 3rd quarter worth approximately $25,000. Board of the Pension Protection Fund bought a new stake in Automatic Data Processing during the 4th quarter worth approximately $31,000. Y.D. More Investments Ltd bought a new stake in Automatic Data Processing during the 3rd quarter worth approximately $32,000. High Point Wealth Management LLC bought a new stake in Automatic Data Processing during the 4th quarter worth approximately $34,000. Finally, AlphaQuest LLC bought a new stake in Automatic Data Processing during the 3rd quarter worth approximately $38,000. Institutional investors own 80.03% of the company's stock.

Insider Buying and Selling at Automatic Data Processing

In related news, VP Christopher D'ambrosio sold 543 shares of the firm's stock in a transaction on Monday, March 16th. The shares were sold at an average price of $208.45, for a total value of $113,188.35. Following the completion of the transaction, the vice president directly owned 8,912 shares of the company's stock, valued at approximately $1,857,706.40. This trade represents a 5.74% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Company insiders own 0.20% of the company's stock.

Automatic Data Processing Trading Down 1.2%

Shares of ADP opened at $229.07 on Tuesday. The company has a debt-to-equity ratio of 0.63, a current ratio of 1.04 and a quick ratio of 1.04. Automatic Data Processing, Inc. has a 1 year low of $188.16 and a 1 year high of $325.84. The company has a 50 day simple moving average of $210.51 and a two-hundred day simple moving average of $229.83. The firm has a market cap of $91.57 billion, a P/E ratio of 21.37 and a beta of 0.84.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last announced its quarterly earnings data on Wednesday, April 29th. The business services provider reported $3.37 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $3.30 by $0.07. Automatic Data Processing had a net margin of 20.12% and a return on equity of 68.82%. The business had revenue of $5.94 billion during the quarter, compared to analyst estimates of $5.85 billion. During the same period last year, the firm posted $3.06 EPS. The company's revenue 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. On average, equities analysts expect that Automatic Data Processing, Inc. will post 11.07 earnings per share for the current fiscal year.

Automatic Data Processing Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 1st. Investors of record on Friday, June 12th will be issued a $1.70 dividend. The ex-dividend date of this dividend is Friday, June 12th. This represents a $6.80 dividend on an annualized basis and a dividend yield of 3.0%. Automatic Data Processing's dividend payout ratio (DPR) is 63.43%.

Wall Street Analysts Forecast Growth

A number of research firms have commented on ADP. Wells Fargo & Company upgraded shares of Automatic Data Processing from an "underweight" rating to an "equal weight" rating and set a $214.00 target price on the stock in a research note on Monday, May 18th. Cantor Fitzgerald decreased their target price on shares of Automatic Data Processing from $306.00 to $244.00 and set an "overweight" rating on the stock in a research note on Wednesday, April 29th. UBS Group raised their target price on shares of Automatic Data Processing from $210.00 to $218.00 and gave the stock a "neutral" rating in a research note on Thursday, April 30th. Morgan Stanley decreased their target price on shares of Automatic Data Processing from $311.00 to $274.00 and set an "equal weight" rating on the stock in a research note on Tuesday, April 28th. Finally, Guggenheim assumed coverage on shares of Automatic Data Processing in a report on Thursday, March 19th. They set a "buy" rating and a $270.00 price objective for the company. One equities research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $244.29.

Automatic Data Processing Company Profile

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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