Roberts Capital Advisors LLC Buys Shares of 1,967 Automatic Data Processing, Inc. (NASDAQ:ADP)

Key Points

• Roberts Capital Advisors LLC acquired a new stake in Automatic Data Processing, Inc. by purchasing 1,967 shares valued at approximately $601,000. This investment is part of a broader trend where institutional investors have increased their holdings in ADP.
• Automatic Data Processing reported quarterly earnings of $2.26 per share, exceeding estimates, and saw a revenue increase of 6.3% year-over-year, totaling $5.13 billion for the quarter.
• ADP has declared a quarterly dividend of $1.54 per share, with a dividend yield of 2.0%, showcasing the company's commitment to returning value to its shareholders.

Roberts Capital Advisors LLC bought a new stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund bought 1,967 shares of the business services provider's stock, valued at approximately $601,000.

Several other large investors have also modified their holdings of the business. Vanguard Group Inc. boosted its position in shares of Automatic Data Processing by 0.5% during the first 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. Northern Trust Corp boosted its holdings in shares of Automatic Data Processing by 17.1% in the fourth quarter. Northern Trust Corp now owns 6,174,419 shares of the business services provider's stock valued at $1,807,438,000 after purchasing an additional 902,354 shares during the period. Capital Research Global Investors boosted its holdings in shares of Automatic Data Processing by 26.9% in the fourth quarter. Capital Research Global Investors now owns 6,136,763 shares of the business services provider's stock valued at $1,796,415,000 after purchasing an additional 1,299,390 shares during the period. Invesco Ltd. boosted its holdings in shares of Automatic Data Processing by 3.7% in the first quarter. Invesco Ltd. now owns 4,031,713 shares of the business services provider's stock valued at $1,231,809,000 after purchasing an additional 145,161 shares during the period. Finally, Ameriprise Financial Inc. boosted its holdings in shares of Automatic Data Processing by 16.7% in the fourth quarter. Ameriprise Financial Inc. now owns 3,830,078 shares of the business services provider's stock valued at $1,115,909,000 after purchasing an additional 549,132 shares during the period. Hedge funds and other institutional investors own 80.03% of the company's stock.

Wall Street Analysts Forecast Growth

ADP has been the subject of a number of research reports. Morgan Stanley boosted their price target on Automatic Data Processing from $310.00 to $311.00 and gave the company an "equal weight" rating in a report on Thursday, July 31st. Royal Bank Of Canada reiterated a "sector perform" rating and issued a $315.00 price target on shares of Automatic Data Processing in a report on Thursday, June 5th. TD Securities boosted their price target on Automatic Data Processing from $298.00 to $321.00 and gave the company a "hold" rating in a report on Wednesday, May 21st. Mizuho boosted their price target on Automatic Data Processing from $321.00 to $332.00 and gave the company an "outperform" rating in a report on Friday, June 13th. Finally, UBS Group lowered their price target on Automatic Data Processing from $323.00 to $315.00 and set a "neutral" rating for the company in a report on Friday, June 13th. One analyst has rated the stock with a sell rating, ten have issued a hold rating and two have issued a buy rating to the company's stock. Based on data from MarketBeat.com, Automatic Data Processing presently has a consensus rating of "Hold" and an average price target of $314.33.

Automatic Data Processing Stock Performance

Shares of ADP stock opened at $301.79 on Friday. The business's fifty day simple moving average is $305.74 and its 200-day simple moving average is $305.57. The company has a market cap of $122.24 billion, a PE ratio of 30.24, a PEG ratio of 2.77 and a beta of 0.81. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.64. Automatic Data Processing, Inc. has a 12-month low of $262.21 and a 12-month high of $329.93.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last issued its quarterly 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 business had revenue of $5.13 billion for 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 business's quarterly revenue was up 6.3% on a year-over-year basis. During the same period in the prior year, the firm posted $2.09 earnings per share. Analysts expect that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current fiscal year.

Automatic Data Processing Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Friday, September 12th will be given a dividend of $1.54 per share. 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 2.0%. Automatic Data Processing's dividend payout ratio is presently 61.72%.

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.

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