Trajan Wealth LLC Increases Position in Automatic Data Processing, Inc. (NASDAQ:ADP)

Key Points

• Trajan Wealth LLC increased its holdings in Automatic Data Processing, Inc. (ADP) by 6.8%, owning 13,126 shares valued at approximately $4,010,000 as of its latest SEC filing.
• Automatic Data Processing reported a quarterly EPS of $2.26, exceeding expectations, with revenue of $5.13 billion, marking a year-over-year increase of 6.3%.
• The company declared a quarterly dividend of $1.54 per share, resulting in an annualized yield of 2.0% and a dividend payout ratio of 61.72%.

Trajan Wealth LLC boosted its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 6.8% in the first quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 13,126 shares of the business services provider's stock after acquiring an additional 837 shares during the quarter. Trajan Wealth LLC's holdings in Automatic Data Processing were worth $4,010,000 at the end of the most recent reporting period.

A number of other hedge funds also recently bought and sold shares of the company. von Borstel & Associates Inc. bought a new stake in Automatic Data Processing during the first quarter valued at about $30,000. Main Street Group LTD boosted its stake in shares of Automatic Data Processing by 50.7% in the fourth quarter. Main Street Group LTD now owns 113 shares of the business services provider's stock worth $33,000 after acquiring an additional 38 shares during the period. Y.D. More Investments Ltd bought a new position in shares of Automatic Data Processing in the first quarter worth about $35,000. Abound Wealth Management boosted its stake in shares of Automatic Data Processing by 58.1% in the first quarter. Abound Wealth Management now owns 117 shares of the business services provider's stock worth $36,000 after acquiring an additional 43 shares during the period. Finally, Banque de Luxembourg S.A. bought a new position in shares of Automatic Data Processing in the fourth quarter worth about $37,000. Hedge funds and other institutional investors own 80.03% of the company's stock.

Analyst Ratings Changes

A number of research firms have recently weighed in on ADP. UBS Group dropped their price objective on Automatic Data Processing from $323.00 to $315.00 and set a "neutral" rating for the company in a research note on Friday, June 13th. Mizuho increased their price target on Automatic Data Processing from $321.00 to $332.00 and gave the company an "outperform" rating in a research note on Friday, June 13th. BMO Capital Markets raised Automatic Data Processing to a "hold" rating and set a $340.00 price target for the company in a research note on Thursday, July 10th. Royal Bank Of Canada reissued a "sector perform" rating and set a $315.00 price target on shares of Automatic Data Processing in a research note on Thursday, June 5th. Finally, Stifel Nicolaus increased their price target on Automatic Data Processing from $305.00 to $318.00 and gave the company a "hold" rating in a research note on Thursday, July 31st. One investment analyst has rated the stock with a sell rating, ten have assigned a hold rating and two have issued a buy rating to the company. According to data from MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $314.33.

Automatic Data Processing Trading Down 1.1%

Shares of NASDAQ:ADP traded down $3.27 during trading on Thursday, hitting $301.68. The company had a trading volume of 1,074,374 shares, compared to its average volume of 1,747,024. The stock has a market cap of $122.19 billion, a price-to-earnings ratio of 30.23, a price-to-earnings-growth ratio of 2.75 and a beta of 0.81. Automatic Data Processing, Inc. has a one year low of $261.86 and a one year high of $329.93. The company has a fifty day simple moving average of $306.73 and a two-hundred day simple moving average of $305.54. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.05 and a quick ratio of 1.05.

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. Automatic Data Processing had a return on equity of 72.84% and a net margin of 19.84%. The firm had revenue of $5.13 billion during the quarter, compared to analyst estimates of $5.05 billion. During the same period last year, the company earned $2.09 EPS. Automatic Data Processing's quarterly revenue was up 6.3% compared to the same quarter last year. As a group, equities analysts forecast that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.

Automatic Data Processing Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Friday, September 12th will be issued a dividend of $1.54 per share. This represents a $6.16 annualized dividend and a yield of 2.0%. The ex-dividend date is Friday, September 12th. Automatic Data Processing's dividend payout ratio (DPR) is presently 61.72%.

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.