UMB Bank n.a. Grows Holdings in Automatic Data Processing, Inc. $ADP

Key Points

• UMB Bank n.a. increased its stake in Automatic Data Processing, Inc. by 3.1%, owning a total of 60,000 shares valued at approximately $18.5 million after purchasing more in the 2nd quarter.
• The company reported a quarterly earnings per share of $2.26, exceeding analysts' expectations and showing a 6.3% revenue increase year-over-year.
• Automatic Data Processing recently declared a quarterly dividend of $1.54 per share, with an annualized yield of 2.1%, indicating a payout ratio of 61.72%.

UMB Bank n.a. increased its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 3.1% during the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 60,000 shares of the business services provider's stock after acquiring an additional 1,814 shares during the quarter. UMB Bank n.a.'s holdings in Automatic Data Processing were worth $18,504,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors and hedge funds also recently bought and sold shares of ADP. Brighton Jones LLC lifted its holdings in Automatic Data Processing by 92.1% in the fourth quarter. Brighton Jones LLC now owns 10,026 shares of the business services provider's stock valued at $2,935,000 after acquiring an additional 4,808 shares during the last quarter. Bank Pictet & Cie Europe AG acquired a new position in Automatic Data Processing in the fourth quarter valued at about $957,000. Bison Wealth LLC lifted its position in Automatic Data Processing by 22.8% in the fourth quarter. Bison Wealth LLC now owns 3,664 shares of the business services provider's stock valued at $1,073,000 after buying an additional 681 shares during the last quarter. State of Wyoming lifted its position in Automatic Data Processing by 26.1% in the fourth quarter. State of Wyoming now owns 449 shares of the business services provider's stock valued at $131,000 after buying an additional 93 shares during the last quarter. Finally, Novem Group acquired a new position in shares of Automatic Data Processing in the 4th quarter worth approximately $286,000. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on ADP. Morgan Stanley upped their price objective on shares of Automatic Data Processing from $310.00 to $311.00 and gave the stock an "equal weight" rating in a report on Thursday, July 31st. UBS Group decreased their target price on Automatic Data Processing from $315.00 to $290.00 and set a "neutral" rating on the stock in a research note on Wednesday, September 17th. Dbs Bank raised Automatic Data Processing to a "hold" rating in a research note on Thursday, August 21st. BMO Capital Markets raised shares of Automatic Data Processing to a "hold" rating and set a $340.00 price target on the stock in a research report on Thursday, July 10th. Finally, 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 report on Thursday, June 5th. Two equities research analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus price target of $314.73.

Insider Transactions at Automatic Data Processing

In related news, CEO Maria Black sold 23,605 shares of the firm's stock in a transaction that occurred on Wednesday, September 3rd. The stock was sold at an average price of $298.32, for a total transaction of $7,041,843.60. Following the completion of the sale, the chief executive officer owned 76,161 shares of the company's stock, valued at $22,720,349.52. This trade represents a 23.66% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, VP Don Mcguire sold 13,599 shares of the firm's stock in a transaction that occurred on Wednesday, September 3rd. The stock was sold at an average price of $296.57, for a total transaction of $4,033,055.43. Following the sale, the vice president directly owned 17,684 shares of the company's stock, valued at approximately $5,244,543.88. This trade represents a 43.47% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 52,516 shares of company stock worth $15,632,410. 0.21% of the stock is currently owned by insiders.

Automatic Data Processing Price Performance

ADP traded down $4.64 on Tuesday, hitting $289.02. 877,629 shares of the stock were exchanged, compared to its average volume of 1,736,163. The business has a 50-day moving average of $301.19 and a two-hundred day moving average of $303.73. Automatic Data Processing, Inc. has a 12 month low of $272.18 and a 12 month high of $329.93. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.05 and a quick ratio of 1.05. The firm has a market capitalization of $117.07 billion, a price-to-earnings ratio of 28.95, a PEG ratio of 2.67 and a beta of 0.82.

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, topping the consensus estimate 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 analysts' expectations of $5.05 billion. During the same period in the prior year, the company earned $2.09 earnings per share. The company's quarterly revenue was up 6.3% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Sell-side analysts forecast that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Shareholders of record on Friday, September 12th will be issued 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 presently 61.72%.

Automatic Data Processing Company 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.