Guggenheim Capital LLC Trims Holdings in Automatic Data Processing, Inc. $ADP

Key Points

• Guggenheim Capital LLC reduced its holdings in Automatic Data Processing, Inc. by 8.8%, selling 16,483 shares during the 1st quarter, leaving them with 170,922 shares valued at approximately $52.22 million.
• Automatic Data Processing reported earnings of $2.26 per share for the quarter, exceeding analyst estimates, and has set its FY 2026 guidance at $10.811-$11.011 EPS.
• The company declared a quarterly dividend of $1.54 per share, representing an annualized yield of 2.0%, with the ex-dividend date set for September 12th.

Guggenheim Capital LLC lowered its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 8.8% during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 170,922 shares of the business services provider's stock after selling 16,483 shares during the period. Guggenheim Capital LLC's holdings in Automatic Data Processing were worth $52,222,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also bought and sold shares of the company. 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 valued at $2,935,000 after purchasing an additional 4,808 shares during the last quarter. Bank Pictet & Cie Europe AG bought a new position in Automatic Data Processing during the fourth quarter worth $957,000. Capital Analysts LLC raised its stake in Automatic Data Processing by 32.6% during the fourth quarter. Capital Analysts LLC now owns 781 shares of the business services provider's stock worth $228,000 after buying an additional 192 shares during the last quarter. AQR Capital Management LLC boosted its position in Automatic Data Processing by 10.4% during the fourth quarter. AQR Capital Management LLC now owns 515,570 shares of the business services provider's stock valued at $150,923,000 after acquiring an additional 48,422 shares during the last quarter. Finally, Evergreen Wealth Solutions LLC bought a new stake in Automatic Data Processing during the fourth quarter valued at $275,000. Institutional investors own 80.03% of the company's stock.

Automatic Data Processing Stock Down 0.0%

ADP stock traded down $0.05 during trading on Friday, reaching $304.05. 1,106,856 shares of the stock were exchanged, compared to its average volume of 1,470,698. The firm's 50 day moving average is $304.77 and its 200 day moving average is $305.52. Automatic Data Processing, Inc. has a twelve month low of $267.79 and a twelve month 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. The firm has a market cap of $123.15 billion, a P/E ratio of 30.47, a price-to-earnings-growth ratio of 2.78 and a beta of 0.81.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last released its quarterly earnings results 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. The business had revenue of $5.13 billion during the quarter, compared to the consensus estimate of $5.05 billion. Automatic Data Processing had a return on equity of 72.84% and a net margin of 19.84%.The company's quarterly revenue was up 6.3% on a year-over-year basis. During the same quarter in the previous year, the business earned $2.09 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. As a group, research 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 will be paid on Wednesday, October 1st. Shareholders of record on Friday, September 12th will be given a $1.54 dividend. This represents a $6.16 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date of this dividend is Friday, September 12th. Automatic Data Processing's dividend payout ratio (DPR) is currently 61.72%.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on ADP. Royal Bank Of Canada reissued a "sector perform" rating and issued a $315.00 price objective on shares of Automatic Data Processing in a research report on Thursday, June 5th. Dbs Bank raised Automatic Data Processing to a "hold" rating in a research report on Thursday, August 21st. Mizuho lifted their price objective on Automatic Data Processing from $321.00 to $332.00 and gave the stock an "outperform" rating in a research report on Friday, June 13th. BMO Capital Markets raised Automatic Data Processing to a "hold" rating and set a $340.00 price objective for the company in a research report on Thursday, July 10th. Finally, Stifel Nicolaus lifted their price objective on Automatic Data Processing from $305.00 to $318.00 and gave the stock a "hold" rating in a research report on Thursday, July 31st. Two analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. Based on data from MarketBeat.com, Automatic Data Processing currently has a consensus rating of "Hold" and a consensus target price of $317.00.

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.