Automatic Data Processing, Inc. (NASDAQ:ADP) Shares Acquired by Fjarde AP Fonden Fourth Swedish National Pension Fund

Key Points

• The Fourth Swedish National Pension Fund increased its stake in Automatic Data Processing, Inc. by 9.1%, owning a total of 103,417 shares worth approximately $31.6 million after purchasing an additional 8,600 shares.
• Automatic Data Processing reported $2.26 earnings per share for the last quarter, exceeding the expected $2.23, with a revenue of $5.13 billion.
• The company announced a quarterly dividend of $1.54, representing an annualized dividend yield of 2.0%, with a payout ratio of 61.72%.

Fjarde AP Fonden Fourth Swedish National Pension Fund lifted its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 9.1% in the 1st quarter, according to its most recent Form 13F filing with the SEC. The firm owned 103,417 shares of the business services provider's stock after buying an additional 8,600 shares during the period. Fjarde AP Fonden Fourth Swedish National Pension Fund's holdings in Automatic Data Processing were worth $31,597,000 at the end of the most recent quarter.

Several other hedge funds have also made changes to their positions in the business. von Borstel & Associates Inc. acquired a new stake in Automatic Data Processing in the first quarter valued at about $30,000. Main Street Group LTD increased its holdings in Automatic Data Processing by 50.7% in the fourth quarter. Main Street Group LTD now owns 113 shares of the business services provider's stock valued at $33,000 after buying an additional 38 shares in the last quarter. Y.D. More Investments Ltd purchased a new position in Automatic Data Processing in the first quarter valued at about $35,000. Abound Wealth Management increased its stake in shares of Automatic Data Processing by 58.1% during the 1st quarter. Abound Wealth Management now owns 117 shares of the business services provider's stock worth $36,000 after purchasing an additional 43 shares in the last quarter. Finally, Banque de Luxembourg S.A. purchased a new position in shares of Automatic Data Processing during the 4th quarter worth approximately $37,000. Institutional investors and hedge funds own 80.03% of the company's stock.

Automatic Data Processing Trading Up 0.0%

Shares of ADP traded up $0.11 during mid-day trading on Friday, reaching $301.79. The company had a trading volume of 1,362,355 shares, compared to its average volume of 1,535,148. The stock has a market cap of $122.24 billion, a price-to-earnings ratio of 30.24, a price-to-earnings-growth ratio of 2.77 and a beta of 0.81. The firm has a fifty day simple moving average of $305.74 and a 200-day simple moving average of $305.57. Automatic Data Processing, Inc. has a fifty-two week low of $262.21 and a fifty-two week high of $329.93. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.64.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share for the quarter, beating analysts' consensus estimates of $2.23 by $0.03. The company had revenue of $5.13 billion for the quarter, compared to analyst estimates of $5.05 billion. Automatic Data Processing had a net margin of 19.84% and a return on equity of 72.84%. Automatic Data Processing's revenue for the quarter was up 6.3% on a year-over-year basis. During the same quarter last year, the business earned $2.09 EPS. On average, sell-side analysts anticipate that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Friday, September 12th will be issued a dividend of $1.54 per share. The ex-dividend date is Friday, September 12th. This represents a $6.16 annualized dividend and a dividend yield of 2.0%. Automatic Data Processing's payout ratio is presently 61.72%.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on the stock. Royal Bank Of Canada reissued a "sector perform" rating and set a $315.00 price objective on shares of Automatic Data Processing in a research note on Thursday, June 5th. UBS Group dropped their price objective on shares of Automatic Data Processing from $323.00 to $315.00 and set a "neutral" rating for the company in a research note on Friday, June 13th. Stifel Nicolaus raised their price objective on shares of Automatic Data Processing from $305.00 to $318.00 and gave the stock a "hold" rating in a research note on Thursday, July 31st. TD Securities raised their price objective on shares of Automatic Data Processing from $298.00 to $321.00 and gave the stock a "hold" rating in a research note on Wednesday, May 21st. Finally, BMO Capital Markets upgraded shares of Automatic Data Processing to a "hold" rating and set a $340.00 target price on the stock in a research report on Thursday, July 10th. One equities research analyst has rated the stock with a sell rating, ten have issued a hold rating and two have issued a buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average price target of $314.33.

About Automatic Data Processing

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.