Bowen Hanes & Co. Inc. Has $12.36 Million Position in Automatic Data Processing, Inc. $ADP

Key Points

• Bowen Hanes & Co. Inc. sharply cut its stake in Automatic Data Processing by 75.5% in the fourth quarter, leaving it with 48,067 shares valued at about $12.36 million.
• ADP reported better-than-expected quarterly results, posting $3.37 EPS on $5.94 billion in revenue, both above analyst estimates, with revenue up 7% year over year. The company also raised/outlined FY 2026 guidance of $11.01-$11.11 EPS.
• ADP declared a quarterly dividend of $1.70 per share to be paid July 1, implying an annualized dividend of $6.80 and a 3.0% yield. Analysts currently rate the stock a consensus "Hold" with an average target price of $249.

Bowen Hanes & Co. Inc. reduced its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 75.5% during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 48,067 shares of the business services provider's stock after selling 147,885 shares during the period. Bowen Hanes & Co. Inc.'s holdings in Automatic Data Processing were worth $12,364,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Mitchell Capital Management Co. increased its stake in shares of Automatic Data Processing by 325.0% during the 3rd quarter. Mitchell Capital Management Co. now owns 6,800 shares of the business services provider's stock worth $1,996,000 after purchasing an additional 5,200 shares during the last quarter. Hilltop Holdings Inc. acquired a new position in shares of Automatic Data Processing during the 3rd quarter worth about $5,292,000. Jefferies Financial Group Inc. acquired a new position in shares of Automatic Data Processing during the 3rd quarter worth about $2,794,000. Cibc World Market Inc. increased its stake in shares of Automatic Data Processing by 86.6% during the 3rd quarter. Cibc World Market Inc. now owns 93,586 shares of the business services provider's stock worth $27,467,000 after purchasing an additional 43,438 shares during the last quarter. Finally, Horizon Investments LLC increased its stake in shares of Automatic Data Processing by 34.1% during the 4th quarter. Horizon Investments LLC now owns 26,144 shares of the business services provider's stock worth $6,725,000 after purchasing an additional 6,655 shares during the last quarter. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling at Automatic Data Processing

In other news, VP Christopher D'ambrosio sold 543 shares of the company's stock in a transaction that occurred on Monday, March 16th. The shares were sold at an average price of $208.45, for a total transaction of $113,188.35. Following the completion of the sale, the vice president owned 8,912 shares of the company's stock, valued at approximately $1,857,706.40. This represents a 5.74% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Company insiders own 0.20% of the company's stock.

Automatic Data Processing Stock Performance

NASDAQ ADP opened at $227.75 on Thursday. The firm has a 50-day moving average price of $208.90 and a two-hundred day moving average price of $230.27. Automatic Data Processing, Inc. has a 12-month low of $188.16 and a 12-month high of $329.93. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.63. The company has a market capitalization of $91.04 billion, a P/E ratio of 21.25 and a beta of 0.84.

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 earnings per share for the quarter, topping 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 company had revenue of $5.94 billion during the quarter, compared to the consensus estimate of $5.85 billion. During the same quarter in the prior year, the firm posted $3.06 EPS. The firm's quarterly 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. Analysts anticipate that Automatic Data Processing, Inc. will post 11.07 earnings per share for the current year.

Automatic Data Processing Dividend Announcement

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

Wall Street Analysts Forecast Growth

Several research firms have recently weighed in on ADP. BMO Capital Markets lowered their price objective on shares of Automatic Data Processing from $281.00 to $234.00 and set a "market perform" rating on the stock in a research note on Tuesday, April 7th. TD Cowen upgraded shares of Automatic Data Processing to a "hold" rating in a research note on Monday, May 18th. Stifel Nicolaus decreased their price target on shares of Automatic Data Processing from $270.00 to $240.00 in a research note on Thursday, April 30th. Jefferies Financial Group decreased their price target on shares of Automatic Data Processing from $230.00 to $190.00 in a research note on Thursday, April 30th. Finally, Morgan Stanley decreased their price target 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. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Automatic Data Processing has a consensus rating of "Hold" and an average target price of $249.00.

Automatic Data Processing 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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