Picton Mahoney Asset Management Makes New Investment in Automatic Data Processing, Inc. (NASDAQ:ADP)

Key Points

• Picton Mahoney Asset Management made a significant investment in Automatic Data Processing, acquiring 3,756 shares valued at approximately $1,147,000 in the first quarter of 2023.
• Institutional investors hold a substantial 80.03% of ADP's stock, indicating strong interest from hedge funds and investment firms.
• The company reported earnings of $2.26 per share, surpassing expectations, with revenue rising 6.3% compared to the same quarter last year.

Picton Mahoney Asset Management bought a new position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund bought 3,756 shares of the business services provider's stock, valued at approximately $1,147,000.

A number of other institutional investors also recently bought and sold shares of ADP. von Borstel & Associates Inc. acquired a new stake in shares of Automatic Data Processing during the first quarter valued at about $30,000. Main Street Group LTD grew its holdings in shares of 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 purchasing an additional 38 shares in the last quarter. Abound Wealth Management grew its stake in shares of Automatic Data Processing by 58.1% in the first quarter. Abound Wealth Management now owns 117 shares of the business services provider's stock worth $36,000 after acquiring an additional 43 shares in the last quarter. Banque de Luxembourg S.A. acquired a new position in shares of Automatic Data Processing in the fourth quarter worth $37,000. Finally, Point72 Asia Singapore Pte. Ltd. acquired a new position in shares of Automatic Data Processing in the fourth quarter worth $37,000. 80.03% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several research firms have commented on ADP. TD Securities boosted their price target 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. Morgan Stanley boosted their price target on shares of Automatic Data Processing from $310.00 to $311.00 and gave the stock an "equal weight" rating in a research note on Thursday. UBS Group lowered their price target on shares of Automatic Data Processing from $323.00 to $315.00 and set a "neutral" rating for the company in a report on Friday, June 13th. Royal Bank Of Canada reiterated a "sector perform" rating and set a $315.00 price target on shares of Automatic Data Processing in a report on Thursday, June 5th. Finally, BMO Capital Markets upgraded shares of Automatic Data Processing to a "hold" rating and set a $340.00 price target for the company in a report on Thursday, July 10th. One analyst has rated the stock with a sell rating, ten have given a hold rating and two have given a buy rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $314.33.

Automatic Data Processing Trading Down 2.9%

NASDAQ ADP traded down $9.06 during mid-day trading on Friday, hitting $300.44. The company's stock had a trading volume of 1,791,558 shares, compared to its average volume of 1,385,865. Automatic Data Processing, Inc. has a 52-week low of $256.47 and a 52-week high of $329.93. The stock's fifty day simple moving average is $310.28 and its two-hundred day simple moving average is $305.18. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.05 and a quick ratio of 1.02. The firm has a market capitalization of $121.95 billion, a P/E ratio of 30.10, a price-to-earnings-growth ratio of 2.75 and a beta of 0.81.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last posted its quarterly earnings results on Wednesday, July 30th. The business services provider reported $2.26 EPS for the quarter, beating the consensus estimate of $2.23 by $0.03. The firm 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% compared to the same quarter last year. During the same quarter last year, the firm posted $2.09 earnings per share. Research analysts expect that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

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.