Renaissance Technologies LLC Buys 589,000 Shares of Automatic Data Processing, Inc. $ADP

Key Points

• Renaissance Technologies sharply increased its stake in Automatic Data Processing, buying an additional 589,000 shares in Q1 and raising its holding by 1,018.7% to 646,820 shares worth about $131.4 million.
• Other institutional investors also added to ADP, and overall institutional ownership stands at 80.03%, showing continued strong interest from hedge funds and asset managers.
• ADP reported solid quarterly results, with EPS of $3.37 beating estimates and revenue of $5.94 billion topping forecasts; however, analysts remain cautious, with a consensus Hold rating and average target price of $256.

Renaissance Technologies LLC increased its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 1,018.7% in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 646,820 shares of the business services provider's stock after purchasing an additional 589,000 shares during the quarter. Renaissance Technologies LLC owned 0.16% of Automatic Data Processing worth $131,421,000 at the end of the most recent reporting period.

A number of other large investors have also recently bought and sold shares of the company. Brighton Jones LLC increased its stake in Automatic Data Processing by 92.1% in the fourth quarter. Brighton Jones LLC now owns 10,026 shares of the business services provider's stock valued at $2,935,000 after acquiring an additional 4,808 shares during the last quarter. Bison Wealth LLC boosted its holdings in shares of Automatic Data Processing by 22.8% in the 4th quarter. Bison Wealth LLC now owns 3,664 shares of the business services provider's stock valued at $1,073,000 after purchasing an additional 681 shares in the last quarter. Schnieders Capital Management LLC. increased its stake in shares of Automatic Data Processing by 21.8% in the 2nd quarter. Schnieders Capital Management LLC. now owns 1,259 shares of the business services provider's stock valued at $388,000 after purchasing an additional 225 shares during the last quarter. Osterweis Capital Management Inc. acquired a new position in shares of Automatic Data Processing during the 2nd quarter worth $108,000. Finally, Diversify Advisory Services LLC lifted its position in shares of Automatic Data Processing by 17.5% during the 2nd quarter. Diversify Advisory Services LLC now owns 5,477 shares of the business services provider's stock worth $1,641,000 after buying an additional 815 shares during the last quarter. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the company. Citigroup decreased their target price on Automatic Data Processing from $265.00 to $230.00 and set a "neutral" rating on the stock in a research report on Thursday, April 30th. Stifel Nicolaus upped their price objective on shares of Automatic Data Processing from $240.00 to $260.00 and gave the stock a "hold" rating in a research report on Wednesday, July 8th. Mizuho dropped their price objective on shares of Automatic Data Processing from $332.00 to $305.00 in a research note on Thursday, April 30th. Argus cut their target price on shares of Automatic Data Processing from $300.00 to $240.00 and set a "buy" rating on the stock in a research report on Tuesday, May 5th. Finally, Jefferies Financial Group decreased their target price on shares of Automatic Data Processing from $230.00 to $190.00 in a research note on Thursday, April 30th. Three investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $256.00.

Automatic Data Processing Stock Performance

NASDAQ:ADP opened at $250.09 on Friday. The stock's 50-day moving average is $231.61 and its 200-day moving average is $224.52. Automatic Data Processing, Inc. has a 1-year low of $188.16 and a 1-year high of $315.98. The company has a current ratio of 1.04, a quick ratio of 1.04 and a debt-to-equity ratio of 0.63. The stock has a market cap of $99.97 billion, a P/E ratio of 23.33 and a beta of 0.83.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last issued its quarterly earnings data on Wednesday, April 29th. The business services provider reported $3.37 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $3.30 by $0.07. Automatic Data Processing had a net margin of 20.12% and a return on equity of 68.82%. The business had revenue of $5.94 billion during the quarter, compared to analyst estimates of $5.85 billion. During the same quarter last year, the business earned $3.06 EPS. The firm's quarterly revenue was up 7.0% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. Equities research analysts anticipate that Automatic Data Processing, Inc. will post 11.08 earnings per share for the current year.

About Automatic Data Processing

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.

Want to see what other hedge funds are holding ADP? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.