Sumitomo Mitsui Trust Group Inc. Has $194.52 Million Stock Position in Automatic Data Processing, Inc. $ADP

Key Points

• Sumitomo Mitsui Trust Group reduced its stake in Automatic Data Processing by 4.9% in the first quarter, but still held 957,397 shares valued at about $194.5 million.
• ADP reported better-than-expected quarterly results, with earnings per share of $3.37 versus $3.30 expected and revenue of $5.94 billion versus $5.85 billion estimated. Revenue rose 7% year over year.
• Analysts currently have a Hold consensus on ADP, with an average price target of $248.64, though opinions vary from Strong Buy to Sell.

Sumitomo Mitsui Trust Group Inc. trimmed its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 4.9% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 957,397 shares of the business services provider's stock after selling 49,288 shares during the period. Sumitomo Mitsui Trust Group Inc. owned about 0.24% of Automatic Data Processing worth $194,524,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds also recently modified their holdings of ADP. Imprint Wealth LLC bought a new position in shares of Automatic Data Processing in the third quarter valued at approximately $25,000. Cornerstone Financial Management LLC purchased a new stake in Automatic Data Processing in the 4th quarter worth about $26,000. Bard Associates Inc. purchased a new position in shares of Automatic Data Processing in the fourth quarter worth about $28,000. Board of the Pension Protection Fund bought a new stake in Automatic Data Processing during the 4th quarter valued at $31,000. Finally, Prosperity Bancshares Inc bought a new stake in shares of Automatic Data Processing during the 4th quarter valued at $33,000. Hedge funds and other institutional investors own 80.03% of the company's stock.

Automatic Data Processing Trading Down 0.0%

NASDAQ ADP opened at $241.28 on Friday. The stock has a market cap of $96.45 billion, a P/E ratio of 22.51 and a beta of 0.83. The stock has a 50 day simple moving average of $223.47 and a two-hundred day simple moving average of $224.98. Automatic Data Processing, Inc. has a fifty-two week low of $188.16 and a fifty-two week high of $315.98. The company has a debt-to-equity ratio of 0.63, a quick ratio of 1.04 and a current ratio of 1.04.

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 for the quarter, compared to the consensus estimate of $5.85 billion. During the same period in the previous year, the firm earned $3.06 EPS. The company's quarterly revenue was up 7.0% compared to the same quarter last year. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. On average, analysts forecast that Automatic Data Processing, Inc. will post 11.08 earnings per share for the current year.

Analyst Ratings Changes

ADP has been the topic of several recent analyst reports. Guggenheim began coverage on shares of Automatic Data Processing in a research note on Thursday, March 19th. They issued a "buy" rating and a $270.00 target price on the stock. BMO Capital Markets lowered their price objective on shares of Automatic Data Processing from $281.00 to $234.00 and set a "market perform" rating on the stock in a research report on Tuesday, April 7th. TD Cowen upped their target price on shares of Automatic Data Processing from $216.00 to $223.00 and gave the stock a "hold" rating in a research report on Monday. Mizuho cut their target price on shares of Automatic Data Processing from $332.00 to $305.00 in a research report on Thursday, April 30th. Finally, Robert W. Baird decreased their price target on shares of Automatic Data Processing from $300.00 to $270.00 in a research note on Thursday, April 30th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Hold" and an average target price of $248.64.

Automatic Data Processing Profile

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.

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