Strategies Wealth Advisors LLC Makes New Investment in Automatic Data Processing, Inc. $ADP

Key Points

• Strategies Wealth Advisors LLC has purchased a new position in Automatic Data Processing, Inc. valued at approximately $257,000, acquiring 841 shares in the first quarter.
• Automatic Data Processing recently reported earnings of $2.26 per share, exceeding consensus estimates of $2.23, alongside a revenue of $5.13 billion for the quarter.
• The company has announced a quarterly dividend of $1.54 per share, with a yield of 2.0%, to be paid on October 1st to investors of record.

Strategies Wealth Advisors LLC bought a new stake in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund bought 841 shares of the business services provider's stock, valued at approximately $257,000.

A number of other hedge funds have also added to or reduced their stakes in ADP. Allstate Corp lifted its stake in Automatic Data Processing by 9.9% during the first quarter. Allstate Corp now owns 13,287 shares of the business services provider's stock worth $4,060,000 after purchasing an additional 1,194 shares during the last quarter. Kelly Lawrence W & Associates Inc. CA acquired a new stake in Automatic Data Processing in the first quarter valued at about $47,000. 1832 Asset Management L.P. boosted its stake in Automatic Data Processing by 3.2% in the first quarter. 1832 Asset Management L.P. now owns 43,512 shares of the business services provider's stock valued at $13,294,000 after buying an additional 1,343 shares in the last quarter. Compound Planning Inc. grew its position in Automatic Data Processing by 21.8% in the first quarter. Compound Planning Inc. now owns 4,642 shares of the business services provider's stock valued at $1,418,000 after acquiring an additional 831 shares during the last quarter. Finally, Ameriprise Financial Inc. raised its stake in Automatic Data Processing by 15.7% during the first quarter. Ameriprise Financial Inc. now owns 4,431,478 shares of the business services provider's stock worth $1,348,805,000 after acquiring an additional 601,400 shares in the last quarter. 80.03% of the stock is owned by institutional investors.

Automatic Data Processing Trading Down 0.1%

Shares of ADP traded down $0.36 during mid-day trading on Wednesday, reaching $303.09. 1,077,009 shares of the company were exchanged, compared to its average volume of 1,724,935. The business has a 50 day simple moving average of $304.94 and a two-hundred day simple moving average of $305.58. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.05 and a current ratio of 1.05. The stock has a market capitalization of $122.76 billion, a PE ratio of 30.37, a PEG ratio of 2.78 and a beta of 0.81. Automatic Data Processing, Inc. has a 52 week low of $267.79 and a 52 week high of $329.93.

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 for the quarter, beating analysts' consensus estimates of $2.23 by $0.03. The business had revenue of $5.13 billion during the quarter, compared to the consensus estimate of $5.05 billion. Automatic Data Processing had a net margin of 19.84% and a return on equity of 72.84%. The company's revenue for the quarter was up 6.3% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $2.09 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. On average, analysts predict that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current fiscal year.

Automatic Data Processing Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders 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 yield of 2.0%. Automatic Data Processing's dividend payout ratio is 61.72%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on the stock. BMO Capital Markets upgraded shares of Automatic Data Processing to a "hold" rating and set a $340.00 price target on the stock in a research note on Thursday, July 10th. Dbs Bank raised shares of Automatic Data Processing to a "hold" rating in a research note on Thursday, August 21st. TD Securities upped their price target on shares of Automatic Data Processing from $298.00 to $321.00 and gave the stock a "hold" rating in a report on Wednesday, May 21st. Royal Bank Of Canada reissued a "sector perform" rating and set a $315.00 price objective on shares of Automatic Data Processing in a report on Thursday, June 5th. Finally, Stifel Nicolaus upped their target price on Automatic Data Processing from $305.00 to $318.00 and gave the stock a "hold" rating in a report on Thursday, July 31st. Two research analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of $317.00.

About Automatic Data Processing

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.