Cardano Risk Management B.V. Has $916.56 Million Holdings in Automatic Data Processing, Inc. $ADP

Key Points

• Cardano Risk Management B.V. sharply increased its stake in Automatic Data Processing, boosting holdings by 950.1% to 3.56 million shares valued at about $916.6 million at quarter-end.
• ADP reported better-than-expected quarterly results, with earnings per share of $3.37 versus $3.30 expected and revenue of $5.94 billion versus $5.85 billion expected, while revenue rose 7% year over year.
• The company also announced a quarterly dividend of $1.70 per share, payable July 1, for an annualized yield of about 3.0%; meanwhile, analysts currently rate the stock a consensus Hold with an average price target of $244.29.

Cardano Risk Management B.V. lifted its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 950.1% during the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 3,563,180 shares of the business services provider's stock after buying an additional 3,223,855 shares during the period. Cardano Risk Management B.V. owned about 0.88% of Automatic Data Processing worth $916,557,000 at the end of the most recent quarter.

Several other hedge funds also recently modified their holdings of ADP. Northwestern Mutual Wealth Management Co. boosted its position in shares of Automatic Data Processing by 6,493.0% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 3,468,180 shares of the business services provider's stock valued at $892,120,000 after buying an additional 3,415,576 shares during the last quarter. Norges Bank bought a new stake in Automatic Data Processing during the fourth quarter worth $721,738,000. Wellington Management Group LLP lifted its holdings in Automatic Data Processing by 47.8% during the third quarter. Wellington Management Group LLP now owns 6,830,294 shares of the business services provider's stock worth $2,004,691,000 after acquiring an additional 2,208,927 shares during the period. Clearbridge Investments LLC lifted its holdings in Automatic Data Processing by 133.3% during the fourth quarter. Clearbridge Investments LLC now owns 1,687,793 shares of the business services provider's stock worth $434,151,000 after acquiring an additional 964,405 shares during the period. Finally, Mitsubishi UFJ Asset Management Co. Ltd. lifted its holdings in Automatic Data Processing by 32.1% during the third quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 3,273,700 shares of the business services provider's stock worth $960,831,000 after acquiring an additional 796,379 shares during the period. Hedge funds and other institutional investors own 80.03% of the company's stock.

Insider Buying and Selling

In related news, VP Christopher D'ambrosio sold 543 shares of the business's stock in a transaction dated 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. The trade was a 5.74% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.20% of the stock is currently owned by insiders.

Automatic Data Processing Price Performance

Shares of NASDAQ ADP opened at $226.21 on Friday. The stock has a market cap of $90.42 billion, a PE ratio of 21.10 and a beta of 0.84. Automatic Data Processing, Inc. has a fifty-two week low of $188.16 and a fifty-two week high of $315.98. The company has a debt-to-equity ratio of 0.63, a quick ratio of 1.04 and a current ratio of 1.04. The stock has a fifty day moving average of $212.58 and a 200-day moving average of $229.36.

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

Automatic Data Processing Dividend Announcement

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 given a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a yield of 3.0%. The ex-dividend date is Friday, June 12th. Automatic Data Processing's payout ratio is presently 63.43%.

Wall Street Analysts Forecast Growth

A number of analysts recently commented on the company. TD Cowen upgraded Automatic Data Processing to a "hold" rating in a report on Monday, May 18th. Citigroup dropped their price target on Automatic Data Processing from $265.00 to $230.00 and set a "neutral" rating on the stock in a report on Thursday, April 30th. Guggenheim assumed coverage on Automatic Data Processing in a report on Thursday, March 19th. They set a "buy" rating and a $270.00 price target on the stock. Wells Fargo & Company upgraded Automatic Data Processing from an "underweight" rating to an "equal weight" rating and set a $214.00 price target on the stock in a report on Monday, May 18th. Finally, Stifel Nicolaus dropped their price target on Automatic Data Processing from $270.00 to $240.00 in a report on Thursday, April 30th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, nine have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Automatic Data Processing presently has an average rating of "Hold" and an average price target of $244.29.

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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