Livforsakringsbolaget Skandia Omsesidigt Boosts Holdings in Automatic Data Processing, Inc. $ADP

Key Points

• Livforsakringsbolaget Skandia Omsesidigt significantly increased its stake in Automatic Data Processing, Inc. (ADP) by 1,435.3% during the second quarter, owning 42,359 shares valued at approximately $13.06 million.
• Insiders sold a total of 52,516 shares of ADP stock in the last ninety days, with notable sales from VP David Foskett and VP Christopher D'ambrosio, indicating a potential decrease in insider confidence.
• ADP recently announced a quarterly dividend of $1.54 per share, reflecting a yield of 2.1% and a payout ratio of 61.72%, appealing to income-focused investors.

Livforsakringsbolaget Skandia Omsesidigt grew its position in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 1,435.3% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 42,359 shares of the business services provider's stock after buying an additional 39,600 shares during the period. Livforsakringsbolaget Skandia Omsesidigt's holdings in Automatic Data Processing were worth $13,064,000 as of its most recent SEC filing.

Several other hedge funds have also made changes to their positions in the company. Vanguard Group Inc. grew its stake in shares of Automatic Data Processing by 0.5% in the 1st quarter. Vanguard Group Inc. now owns 40,949,884 shares of the business services provider's stock valued at $12,511,418,000 after buying an additional 218,614 shares during the period. Ameriprise Financial Inc. grew its stake in shares of Automatic Data Processing by 15.7% in the 1st quarter. Ameriprise Financial Inc. now owns 4,431,478 shares of the business services provider's stock valued at $1,348,805,000 after buying an additional 601,400 shares during the period. Invesco Ltd. grew its stake in shares of Automatic Data Processing by 3.7% in the 1st quarter. Invesco Ltd. now owns 4,031,713 shares of the business services provider's stock valued at $1,231,809,000 after buying an additional 145,161 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in shares of Automatic Data Processing by 2.0% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 3,848,307 shares of the business services provider's stock worth $1,175,773,000 after acquiring an additional 77,296 shares during the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its holdings in shares of Automatic Data Processing by 16.4% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,771,011 shares of the business services provider's stock worth $1,103,888,000 after acquiring an additional 532,485 shares during the last quarter. Hedge funds and other institutional investors own 80.03% of the company's stock.

Insider Buying and Selling

In other Automatic Data Processing news, VP Christopher D'ambrosio sold 597 shares of the stock in a transaction that occurred on Wednesday, September 10th. The shares were sold at an average price of $296.90, for a total value of $177,249.30. Following the sale, the vice president directly owned 10,541 shares of the company's stock, valued at approximately $3,129,622.90. This represents a 5.36% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, VP Joseph Desilva sold 4,614 shares of the stock in a transaction that occurred on Wednesday, September 3rd. The shares were sold at an average price of $296.57, for a total transaction of $1,368,373.98. Following the completion of the sale, the vice president directly owned 17,536 shares in the company, valued at approximately $5,200,651.52. This represents a 20.83% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 52,516 shares of company stock worth $15,632,410. Corporate insiders own 0.21% of the company's stock.

Automatic Data Processing Stock Up 0.4%

Automatic Data Processing stock traded up $1.05 during mid-day trading on Friday, reaching $292.00. 4,039,574 shares of the company's stock were exchanged, compared to its average volume of 1,574,773. The company has a market cap of $118.27 billion, a P/E ratio of 29.26, a P/E/G ratio of 2.66 and a beta of 0.82. Automatic Data Processing, Inc. has a twelve month low of $272.18 and a twelve month high of $329.93. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.64. The company has a fifty day moving average of $301.38 and a 200-day moving average of $303.85.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last released its earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share (EPS) for the quarter, topping 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%. The firm's quarterly revenue was up 6.3% on a year-over-year basis. During the same period in the prior year, the business earned $2.09 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Sell-side analysts expect that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing Announces Dividend

The company also recently disclosed 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. The ex-dividend date of this dividend is Friday, September 12th. This represents a $6.16 dividend on an annualized basis and a dividend yield of 2.1%. Automatic Data Processing's dividend payout ratio is currently 61.72%.

Wall Street Analyst Weigh In

Several equities analysts have recently commented on the stock. BMO Capital Markets upgraded shares of Automatic Data Processing to a "hold" rating and set a $340.00 price objective on the stock in a report on Thursday, July 10th. Mizuho upped their price objective on shares of Automatic Data Processing from $321.00 to $332.00 and gave the stock an "outperform" rating in a report on Friday, June 13th. Morgan Stanley upped their price objective on shares of Automatic Data Processing from $310.00 to $311.00 and gave the stock an "equal weight" rating in a report on Thursday, July 31st. Stifel Nicolaus upped their price objective on shares of Automatic Data Processing from $305.00 to $318.00 and gave the stock a "hold" rating in a report on Thursday, July 31st. Finally, UBS Group decreased their price objective on shares of Automatic Data Processing from $315.00 to $290.00 and set a "neutral" rating on the stock in a report on Wednesday. Two research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company's stock. According to MarketBeat.com, Automatic Data Processing has a consensus rating of "Hold" and an average price target of $314.73.

Automatic Data Processing 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.