First Citizens Bank & Trust Co. Cuts Stock Holdings in Automatic Data Processing, Inc. $ADP

Key Points

• First Citizens Bank & Trust Co. has reduced its holdings in Automatic Data Processing, Inc. (ADP) by 40%, decreasing their position to 13,258 shares after selling 8,856 shares in the second quarter.
• Recent insider transactions have seen VP Don Mcguire and VP David Foskett selling significant shares, resulting in a 43.47% and 10.44% decrease in their respective ownership stakes.
• ADP reported a quarterly revenue of $5.13 billion and earnings per share (EPS) of $2.26, exceeding analyst expectations, while also announcing a dividend of $1.54 per share.

First Citizens Bank & Trust Co. decreased its position in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 40.0% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 13,258 shares of the business services provider's stock after selling 8,856 shares during the quarter. First Citizens Bank & Trust Co.'s holdings in Automatic Data Processing were worth $4,089,000 at the end of the most recent reporting period.

A number of other large investors also recently made changes to their positions in ADP. Brighton Jones LLC boosted its stake in shares of Automatic Data Processing by 92.1% in the 4th quarter. Brighton Jones LLC now owns 10,026 shares of the business services provider's stock worth $2,935,000 after buying an additional 4,808 shares during the last quarter. Bison Wealth LLC boosted its position in Automatic Data Processing by 22.8% in the fourth quarter. Bison Wealth LLC now owns 3,664 shares of the business services provider's stock worth $1,073,000 after purchasing an additional 681 shares during the last quarter. GAMMA Investing LLC grew its stake in Automatic Data Processing by 13.8% in the 1st quarter. GAMMA Investing LLC now owns 9,495 shares of the business services provider's stock valued at $2,901,000 after purchasing an additional 1,148 shares during the period. Flagship Harbor Advisors LLC increased its position in shares of Automatic Data Processing by 1.6% during the 1st quarter. Flagship Harbor Advisors LLC now owns 2,736 shares of the business services provider's stock valued at $836,000 after purchasing an additional 43 shares during the last quarter. Finally, Continuum Advisory LLC raised its stake in shares of Automatic Data Processing by 25.7% during the 1st quarter. Continuum Advisory LLC now owns 1,002 shares of the business services provider's stock worth $306,000 after purchasing an additional 205 shares during the period. 80.03% of the stock is owned by institutional investors.

Insider Buying and Selling

In other news, VP Don Mcguire sold 13,599 shares of the company's stock in a transaction dated Wednesday, September 3rd. The stock was sold at an average price of $296.57, for a total value of $4,033,055.43. Following the completion of the transaction, the vice president owned 17,684 shares of the company's stock, valued at $5,244,543.88. This represents a 43.47% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, VP David Foskett sold 1,373 shares of the stock in a transaction dated Wednesday, September 3rd. The stock was sold at an average price of $296.57, for a total value of $407,190.61. Following the sale, the vice president owned 11,781 shares of the company's stock, valued at $3,493,891.17. This represents a 10.44% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 52,516 shares of company stock worth $15,632,410 in the last three months. Corporate insiders own 0.20% of the company's stock.

Automatic Data Processing Stock Performance

NASDAQ:ADP opened at $283.95 on Thursday. The stock has a 50-day simple moving average of $294.18 and a two-hundred day simple moving average of $302.01. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.05 and a current ratio of 1.05. Automatic Data Processing, Inc. has a 52-week low of $272.62 and a 52-week high of $329.93. The firm has a market capitalization of $115.03 billion, a PE ratio of 28.45, a P/E/G ratio of 2.60 and a beta of 0.82.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last announced its quarterly earnings data on Wednesday, July 30th. The business services provider reported $2.26 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.23 by $0.03. Automatic Data Processing had a return on equity of 72.84% and a net margin of 19.84%.The company had revenue of $5.13 billion during the quarter, compared to the consensus estimate of $5.05 billion. During the same period in the previous year, the company posted $2.09 EPS. The firm's revenue was up 6.3% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Analysts forecast that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, October 1st. Investors of record on Friday, September 12th were paid a dividend of $1.54 per share. The ex-dividend date was Friday, September 12th. This represents a $6.16 dividend on an annualized basis and a dividend yield of 2.2%. Automatic Data Processing's payout ratio is 61.72%.

Analyst Ratings Changes

Several equities analysts recently weighed in on ADP shares. Weiss Ratings restated a "buy (b)" rating on shares of Automatic Data Processing in a research report on Wednesday, October 8th. Stifel Nicolaus upped their target price on shares of Automatic Data Processing from $305.00 to $318.00 and gave the stock a "hold" rating in a research report on Thursday, July 31st. UBS Group decreased their price target on Automatic Data Processing from $315.00 to $290.00 and set a "neutral" rating on the stock in a research note on Wednesday, September 17th. Morgan Stanley boosted their price objective on shares of Automatic Data Processing from $310.00 to $311.00 and gave the company an "equal weight" rating in a research report on Thursday, July 31st. Finally, BMO Capital Markets upgraded shares of Automatic Data Processing to a "hold" rating and set a $340.00 price target on the stock in a report on Thursday, July 10th. Three investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, Automatic Data Processing currently has an average rating of "Hold" and an average target price of $314.09.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc provides cloud-based human capital management solutions worldwide. It operates in two segments, Employer Services and Professional Employer Organization (PEO). The Employer Services segment offers strategic, cloud-based platforms, and human resources (HR) outsourcing solutions.

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