Strs Ohio Takes $28.10 Million Position in Automatic Data Processing, Inc. $ADP

Key Points

• Strs Ohio has acquired 91,972 shares of Automatic Data Processing, Inc. (ADP), valued at approximately $28.1 million.
• Institutional investors own 80.03% of ADP stock, reflecting a trend of increased investment from major financial entities such as Vanguard and Ameriprise.
• ADP has announced a quarterly dividend of $1.54, with a yield of 2.1%, highlighting its commitment to returning value to shareholders.

Strs Ohio purchased 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 Form 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 91,972 shares of the business services provider's stock, valued at approximately $28,100,000.

Other institutional investors and hedge funds also recently made changes to their positions in the company. AlphaCore Capital LLC bought a new stake in shares of Automatic Data Processing during the first quarter valued at approximately $688,000. Golden State Wealth Management LLC grew its position in Automatic Data Processing by 29.6% in the 1st quarter. Golden State Wealth Management LLC now owns 565 shares of the business services provider's stock worth $173,000 after purchasing an additional 129 shares during the period. Meiji Yasuda Life Insurance Co grew its position in Automatic Data Processing by 4.4% in the 1st quarter. Meiji Yasuda Life Insurance Co now owns 32,478 shares of the business services provider's stock worth $9,923,000 after purchasing an additional 1,375 shares during the period. Advisory Alpha LLC raised its stake in Automatic Data Processing by 130.2% during the 1st quarter. Advisory Alpha LLC now owns 4,416 shares of the business services provider's stock valued at $1,349,000 after buying an additional 2,498 shares during the last quarter. Finally, GAMMA Investing LLC lifted its holdings in shares of Automatic Data Processing by 13.8% during the 1st quarter. GAMMA Investing LLC now owns 9,495 shares of the business services provider's stock valued at $2,901,000 after buying an additional 1,148 shares during the period. Institutional investors own 80.03% of the company's stock.

Automatic Data Processing Price Performance

Automatic Data Processing stock traded down $2.63 during mid-day trading on Monday, hitting $290.87. The stock had a trading volume of 1,290,448 shares, compared to its average volume of 1,714,931. The firm's 50 day moving average is $303.00 and its 200 day moving average is $304.58. Automatic Data Processing, Inc. has a one year low of $272.18 and a one year high of $329.93. The firm has a market capitalization of $117.81 billion, a P/E ratio of 29.15, a P/E/G ratio of 2.69 and a beta of 0.82. 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 (NASDAQ:ADP - Get Free Report) last released its quarterly earnings data 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 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 business's revenue was up 6.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $2.09 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. On average, sell-side analysts forecast 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 disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Friday, September 12th will be given a $1.54 dividend. This represents a $6.16 dividend on an annualized basis and a yield of 2.1%. The ex-dividend date of this dividend is Friday, September 12th. Automatic Data Processing's dividend payout ratio is 61.72%.

Insider Buying and Selling

In related news, VP Joseph Desilva sold 4,614 shares of the stock in a transaction dated Wednesday, September 3rd. The shares were sold at an average price of $296.57, for a total value of $1,368,373.98. Following the sale, the vice president directly owned 17,536 shares of the company's stock, valued at $5,200,651.52. This represents a 20.83% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, VP Michael A. Bonarti sold 8,728 shares of the firm's stock in a transaction that occurred on Tuesday, September 9th. The stock was sold at an average price of $298.43, for a total transaction of $2,604,697.04. Following the transaction, the vice president directly owned 80,531 shares in the company, valued at approximately $24,032,866.33. This trade represents a 9.78% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 52,516 shares of company stock worth $15,632,410 over the last three months. 0.21% of the stock is currently owned by company insiders.

Analyst Ratings Changes

Several analysts recently commented on ADP shares. Stifel Nicolaus lifted their price objective on Automatic Data Processing from $305.00 to $318.00 and gave the stock a "hold" rating in a report on Thursday, July 31st. 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 research note on Thursday, July 31st. UBS Group lowered their price objective on shares of Automatic Data Processing from $323.00 to $315.00 and set a "neutral" rating on the stock in a research note on Friday, June 13th. BMO Capital Markets upgraded shares of Automatic Data Processing to a "hold" rating and set a $340.00 target price for the company in a research report on Thursday, July 10th. Finally, Dbs Bank raised shares of Automatic Data Processing to a "hold" rating in a report on Thursday, August 21st. Two research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company's stock. According to data from MarketBeat, Automatic Data Processing presently has an average rating of "Hold" and an average target price 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.