Commerzbank Aktiengesellschaft FI Sells 11,254 Shares of Automatic Data Processing, Inc. $ADP

Key Points

• Commerzbank Aktiengesellschaft FI reduced its ADP stake by 36.9% in the fourth quarter, selling 11,254 shares and ending with 19,221 shares valued at about $4.94 million.
• ADP reported better-than-expected quarterly results, with EPS of $3.37 versus the $3.30 estimate and revenue of $5.94 billion versus $5.85 billion expected. Revenue rose 7% year over year, and the company reaffirmed FY 2026 EPS guidance of 11.01 to 11.11.
• The company declared a quarterly dividend of $1.70 per share, payable July 1, for an annualized yield of 3.2%. Meanwhile, analysts currently rate the stock a consensus Hold with a target price of $253.50.

Commerzbank Aktiengesellschaft FI decreased its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 36.9% in the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 19,221 shares of the business services provider's stock after selling 11,254 shares during the quarter. Commerzbank Aktiengesellschaft FI's holdings in Automatic Data Processing were worth $4,944,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently modified their holdings of ADP. Northwestern Mutual Wealth Management Co. grew its holdings 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 worth $892,120,000 after purchasing an additional 3,415,576 shares in the last quarter. Wellington Management Group LLP grew its holdings in shares of 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 purchasing an additional 2,208,927 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. grew its holdings in shares of 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 purchasing an additional 796,379 shares in the last quarter. PFA Pension Forsikringsaktieselskab purchased a new position in shares of Automatic Data Processing during the fourth quarter worth about $139,636,000. Finally, Vanguard Group Inc. grew its holdings in shares of Automatic Data Processing by 0.9% during the third quarter. Vanguard Group Inc. now owns 41,689,633 shares of the business services provider's stock worth $12,235,907,000 after purchasing an additional 389,451 shares in the last quarter. Hedge funds and other institutional investors own 80.03% of the company's stock.

Analyst Ratings Changes

Several research analysts have recently commented on ADP shares. Wells Fargo & Company cut their price objective on Automatic Data Processing from $262.00 to $214.00 and set an "underweight" rating for the company in a report on Friday, March 27th. Citigroup cut their price objective on Automatic Data Processing from $265.00 to $230.00 and set a "neutral" rating for the company in a report on Thursday, April 30th. BMO Capital Markets cut their price objective on Automatic Data Processing from $281.00 to $234.00 and set a "market perform" rating for the company in a report on Tuesday, April 7th. Guggenheim started coverage on Automatic Data Processing in a report on Thursday, March 19th. They set a "buy" rating and a $270.00 price objective for the company. Finally, Argus cut their price objective on Automatic Data Processing from $300.00 to $240.00 and set a "buy" rating for the company in a report on Tuesday, May 5th. One investment analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, ten have issued a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat, Automatic Data Processing currently has an average rating of "Hold" and a consensus target price of $253.50.

Automatic Data Processing Stock Up 2.9%

Shares of ADP opened at $214.48 on Friday. The firm has a market cap of $85.73 billion, a P/E ratio of 20.01 and a beta of 0.83. The stock has a 50 day simple moving average of $206.29 and a two-hundred day simple moving average of $233.82. 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 $329.93.

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

Automatic Data Processing Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Stockholders of record on Friday, June 12th will be paid a dividend of $1.70 per share. This represents a $6.80 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date of this dividend is Friday, June 12th. Automatic Data Processing's dividend payout ratio is 63.43%.

Insider Buying and Selling at Automatic Data Processing

In other news, VP Christopher D'ambrosio sold 543 shares of the stock in a transaction that occurred 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 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 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 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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