Wellington Management Group LLP Has $1.42 Billion Stock Position in Automatic Data Processing, Inc. $ADP

Key Points

• Wellington Management Group LLP reduced its stake in Automatic Data Processing (ADP) by 17.9%, now holding approximately 4.66 million shares valued at $1.42 billion as of its latest SEC filing.
• Equities analysts have raised their price targets for ADP, with Mizuho setting a new target of $332.00 and the stock receiving an average rating of "Hold".
• Automatic Data Processing declared a quarterly dividend of $1.54 per share, yielding 2.0% annually, with a payout ratio of 61.72%.

Wellington Management Group LLP decreased its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP - Free Report) by 17.9% during the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 4,657,707 shares of the business services provider's stock after selling 1,016,760 shares during the quarter. Wellington Management Group LLP owned approximately 1.15% of Automatic Data Processing worth $1,423,069,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also bought and sold shares of ADP. AlphaCore Capital LLC acquired a new stake in Automatic Data Processing in the 1st quarter worth $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 last quarter. GAMMA Investing LLC grew its position in Automatic Data Processing by 13.8% in the 1st quarter. GAMMA Investing LLC now owns 9,495 shares of the business services provider's stock worth $2,901,000 after purchasing an additional 1,148 shares during the last quarter. Toronto Dominion Bank grew its position in Automatic Data Processing by 10.2% in the 4th quarter. Toronto Dominion Bank now owns 236,707 shares of the business services provider's stock worth $69,290,000 after purchasing an additional 21,910 shares during the last quarter. Finally, Wealth Enhancement Advisory Services LLC lifted its holdings in shares of Automatic Data Processing by 8.9% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 250,836 shares of the business services provider's stock worth $76,638,000 after acquiring an additional 20,467 shares during the period. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on the stock. Mizuho boosted their price target on shares of Automatic Data Processing from $321.00 to $332.00 and gave the company an "outperform" rating in a research report on Friday, June 13th. Morgan Stanley increased 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 research report on Thursday, July 31st. 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 report on Thursday, July 10th. Stifel Nicolaus raised their target price on shares of Automatic Data Processing from $305.00 to $318.00 and gave the stock a "hold" rating in a research note on Thursday, July 31st. Finally, TD Securities lifted their price objective on shares of Automatic Data Processing from $298.00 to $321.00 and gave the stock a "hold" rating in a research note on Wednesday, May 21st. One research analyst has rated the stock with a sell rating, ten have assigned a hold rating and two have assigned a buy rating to the company's stock. Based on data from MarketBeat.com, Automatic Data Processing presently has an average rating of "Hold" and an average price target of $314.33.

Automatic Data Processing Stock Up 0.0%

Shares of NASDAQ ADP opened at $301.79 on Monday. The firm has a market cap of $122.24 billion, a PE ratio of 30.24, a P/E/G ratio of 2.77 and a beta of 0.81. Automatic Data Processing, Inc. has a 12-month low of $262.21 and a 12-month high of $329.93. The company's fifty day simple moving average is $305.74 and its 200 day simple moving average is $305.62. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.64.

Automatic Data Processing (NASDAQ:ADP - Get Free Report) last issued its earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share 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 company had revenue of $5.13 billion for the quarter, compared to analyst estimates of $5.05 billion. During the same period in the prior year, the firm earned $2.09 earnings per share. Automatic Data Processing's revenue for the quarter was up 6.3% on a year-over-year basis. As a group, 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 declared a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Friday, September 12th will be given a dividend of $1.54 per share. This represents a $6.16 dividend on an annualized basis and a dividend yield of 2.0%. The ex-dividend date of this dividend is Friday, September 12th. Automatic Data Processing's dividend payout ratio (DPR) 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.

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