Focus Partners Wealth Buys 47,219 Shares of Automatic Data Processing, Inc. $ADP

Key Points

• Focus Partners Wealth increased its stake in Automatic Data Processing by 39.8% in the fourth quarter, buying 47,219 additional shares and bringing its total holding to 165,991 shares worth about $42.8 million.
• ADP reported better-than-expected quarterly results, posting EPS of $3.37 versus estimates of $3.30 and revenue of $5.94 billion versus $5.85 billion expected. Revenue rose 7% year over year, and the company reaffirmed FY2026 guidance of $11.01 to $11.11 EPS.
• The company also announced a quarterly dividend of $1.70 per share, implying an annualized payout of $6.80 and a 3.0% yield. Analysts currently have a consensus Hold rating on ADP with a price target of $244.29.

Focus Partners Wealth lifted its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 39.8% in the 4th quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 165,991 shares of the business services provider's stock after acquiring an additional 47,219 shares during the quarter. Focus Partners Wealth's holdings in Automatic Data Processing were worth $42,788,000 as of its most recent filing with the SEC.

Several other large investors also recently made changes to their positions in the stock. Hilltop Holdings Inc. bought a new stake in Automatic Data Processing during the 3rd quarter valued at approximately $5,292,000. Jefferies Financial Group Inc. bought a new stake in Automatic Data Processing during the 3rd quarter valued at approximately $2,794,000. Horizon Investments LLC boosted its stake in 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 valued at $6,725,000 after purchasing an additional 6,655 shares during the period. Elevation Point Wealth Partners LLC boosted its stake in Automatic Data Processing by 181.5% during the 3rd quarter. Elevation Point Wealth Partners LLC now owns 16,789 shares of the business services provider's stock valued at $4,950,000 after purchasing an additional 10,824 shares during the period. Finally, Generali Investments CEE investicni spolecnost a.s. boosted its stake in Automatic Data Processing by 64.0% during the 4th quarter. Generali Investments CEE investicni spolecnost a.s. now owns 14,757 shares of the business services provider's stock valued at $3,796,000 after purchasing an additional 5,757 shares during the period. Institutional investors own 80.03% of the company's stock.

Automatic Data Processing Stock Down 1.3%

Shares of ADP opened at $223.22 on Tuesday. The firm has a market capitalization of $89.23 billion, a price-to-earnings ratio of 20.82 and a beta of 0.84. 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 business's fifty day moving average price is $212.96 and its two-hundred day moving average price is $228.98. Automatic Data Processing, Inc. has a 52 week low of $188.16 and a 52 week high of $315.98.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last announced its quarterly earnings data on Wednesday, April 29th. The business services provider reported $3.37 EPS for the quarter, beating analysts' consensus estimates of $3.30 by $0.07. The firm had revenue of $5.94 billion for 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%.The business's quarterly revenue was up 7.0% compared to the same quarter last year. During the same period last year, the company earned $3.06 EPS. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. On average, analysts predict that Automatic Data Processing, Inc. will post 11.07 earnings per share for the current year.

Automatic Data Processing Dividend Announcement

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

Analysts Set New Price Targets

A number of brokerages have commented on ADP. Wells Fargo & Company upgraded Automatic Data Processing from an "underweight" rating to an "equal weight" rating and set a $214.00 price objective for the company in a research report on Monday, May 18th. UBS Group increased their target price on Automatic Data Processing from $210.00 to $218.00 and gave the stock a "neutral" rating in a report on Thursday, April 30th. Mizuho dropped their price target on Automatic Data Processing from $332.00 to $305.00 in a report on Thursday, April 30th. Citigroup dropped their price target 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. 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 analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, nine have assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Hold" and a consensus price target of $244.29.

Automatic Data Processing Company 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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