Rafferty Asset Management LLC Sells 8,384 Shares of Automatic Data Processing, Inc. $ADP

Key Points

• Rafferty Asset Management LLC reduced its stake in Automatic Data Processing, Inc. by 10.3%, selling 8,384 shares during the first quarter and now holding 73,382 shares valued at approximately $22.42 million.
• A number of institutional investors have either increased or reduced their stakes in ADP, with institutional ownership now at 80.03% of the company's stock.
• ADP recently reported quarterly earnings with an EPS of $2.26, surpassing analysts' estimates, and announced a quarterly dividend of $1.54 per share to be paid on October 1st.

Rafferty Asset Management LLC cut its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 10.3% during the 1st quarter, according to the company in its most recent disclosure with the SEC. The firm owned 73,382 shares of the business services provider's stock after selling 8,384 shares during the quarter. Rafferty Asset Management LLC's holdings in Automatic Data Processing were worth $22,420,000 as of its most recent SEC filing.

Several other institutional investors have also recently added to or reduced their stakes in the business. von Borstel & Associates Inc. bought a new stake in Automatic Data Processing during the 1st quarter valued at $30,000. Main Street Group LTD increased its stake in Automatic Data Processing by 50.7% during the 4th 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. Y.D. More Investments Ltd bought a new stake in Automatic Data Processing during the 1st quarter valued at $35,000. Abound Wealth Management increased its stake in Automatic Data Processing by 58.1% during the 1st quarter. Abound Wealth Management now owns 117 shares of the business services provider's stock valued at $36,000 after purchasing an additional 43 shares in the last quarter. Finally, Banque de Luxembourg S.A. bought a new stake in Automatic Data Processing during the 4th quarter valued at $37,000. 80.03% of the stock is owned by institutional investors and hedge funds.

Automatic Data Processing Stock Performance

Shares of Automatic Data Processing stock traded down $0.05 during trading hours on Friday, hitting $304.05. 1,106,856 shares of the company's stock traded hands, compared to its average volume of 1,470,698. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.05 and a quick ratio of 1.05. The stock has a market capitalization of $123.15 billion, a price-to-earnings ratio of 30.47, a PEG ratio of 2.78 and a beta of 0.81. Automatic Data Processing, Inc. has a 12-month low of $267.79 and a 12-month high of $329.93. The company has a fifty day simple moving average of $304.77 and a 200-day simple moving average of $305.52.

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 earnings per share for the quarter, topping the consensus estimate of $2.23 by $0.03. The company 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 firm's quarterly revenue was up 6.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned $2.09 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities research analysts anticipate that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Friday, September 12th will be paid a $1.54 dividend. The ex-dividend date is Friday, September 12th. This represents a $6.16 annualized dividend and a yield of 2.0%. Automatic Data Processing's dividend payout ratio (DPR) is currently 61.72%.

Wall Street Analysts Forecast Growth

A number of analysts have commented on ADP shares. Royal Bank Of Canada restated a "sector perform" rating and set a $315.00 price target on shares of Automatic Data Processing in a research note on Thursday, June 5th. BMO Capital Markets raised Automatic Data Processing to a "hold" rating and set a $340.00 price target for the company in a research report on Thursday, July 10th. TD Securities increased their price target on Automatic Data Processing from $298.00 to $321.00 and gave the company a "hold" rating in a research report on Wednesday, May 21st. Stifel Nicolaus increased their price target on Automatic Data Processing from $305.00 to $318.00 and gave the company a "hold" rating in a research report on Thursday, July 31st. Finally, Dbs Bank raised Automatic Data Processing to a "hold" rating in a research report on Thursday, August 21st. Two research analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, Automatic Data Processing has an average rating of "Hold" and an average target price of $317.00.

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.