Kepler Cheuvreux Suisse SA Makes New $40.16 Million Investment in Automatic Data Processing, Inc. $ADP

Kepler Cheuvreux Suisse SA acquired a new stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) during the third quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund acquired 136,856 shares of the business services provider’s stock, valued at approximately $40,158,000. Automatic Data Processing makes up 2.2% of Kepler Cheuvreux Suisse SA’s investment portfolio, making the stock its 11th biggest position.

Several other large investors also recently modified their holdings of the stock. Laurel Wealth Advisors LLC raised its holdings in shares of Automatic Data Processing by 30,110.7% in the 2nd quarter. Laurel Wealth Advisors LLC now owns 4,668,758 shares of the business services provider’s stock worth $1,439,845,000 after buying an additional 4,653,304 shares in the last quarter. Norges Bank bought a new position in shares of Automatic Data Processing during the 2nd quarter worth approximately $696,841,000. Mitsubishi UFJ Asset Management Co. Ltd. boosted its stake in Automatic Data Processing by 32.1% in the 3rd quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 3,273,700 shares of the business services provider’s stock valued at $960,831,000 after buying an additional 796,379 shares in the last quarter. Amundi boosted its stake in Automatic Data Processing by 24.9% in the 2nd quarter. Amundi now owns 3,109,120 shares of the business services provider’s stock valued at $948,549,000 after buying an additional 619,829 shares in the last quarter. Finally, JPMorgan Chase & Co. grew its position in Automatic Data Processing by 26.6% in the second quarter. JPMorgan Chase & Co. now owns 2,812,637 shares of the business services provider’s stock valued at $867,445,000 after acquiring an additional 591,800 shares during the period. 80.03% of the stock is currently owned by institutional investors.

Automatic Data Processing Trading Down 2.5%

ADP stock opened at $217.37 on Wednesday. The business has a fifty day moving average price of $237.35 and a 200 day moving average price of $261.62. Automatic Data Processing, Inc. has a fifty-two week low of $203.26 and a fifty-two week high of $329.93. The stock has a market capitalization of $87.52 billion, a price-to-earnings ratio of 20.90 and a beta of 0.86. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.03 and a quick ratio of 1.03.

Automatic Data Processing (NASDAQ:ADP) last posted its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 EPS for the quarter, topping analysts’ consensus estimates of $2.57 by $0.05. The company had revenue of $5.36 billion for the quarter, compared to analyst estimates of $5.34 billion. Automatic Data Processing had a return on equity of 68.44% and a net margin of 19.96%.The business’s revenue was up 6.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $2.35 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Analysts expect that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing announced that its Board of Directors has authorized a share repurchase plan on Wednesday, January 14th that authorizes the company to repurchase $6.00 billion in shares. This repurchase authorization authorizes the business services provider to buy up to 5.8% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s board of directors believes its stock is undervalued.

Automatic Data Processing Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Friday, March 13th will be issued a $1.70 dividend. This represents a $6.80 dividend on an annualized basis and a dividend yield of 3.1%. The ex-dividend date of this dividend is Friday, March 13th. Automatic Data Processing’s payout ratio is currently 65.38%.

Insider Activity at Automatic Data Processing

In other Automatic Data Processing news, VP Christopher D’ambrosio sold 543 shares of the stock in a transaction dated Tuesday, January 13th. The shares were sold at an average price of $262.29, for a total transaction of $142,423.47. Following the sale, the vice president owned 9,998 shares of the company’s stock, valued at $2,622,375.42. This represents a 5.15% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, VP David Foskett sold 266 shares of the firm’s stock in a transaction dated Thursday, February 5th. The shares were sold at an average price of $237.00, for a total transaction of $63,042.00. Following the completion of the sale, the vice president owned 10,954 shares of the company’s stock, valued at $2,596,098. The trade was a 2.37% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 3,515 shares of company stock worth $887,074 in the last 90 days. Corporate insiders own 0.20% of the company’s stock.

Analyst Ratings Changes

Several research analysts have issued reports on ADP shares. Citigroup dropped their price objective on Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating for the company in a research note on Thursday, January 29th. Stifel Nicolaus lowered their target price on shares of Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating on the stock in a report on Monday, February 9th. Cantor Fitzgerald started coverage on shares of Automatic Data Processing in a research report on Tuesday, January 27th. They set an “overweight” rating and a $306.00 target price for the company. Morgan Stanley cut their price target on shares of Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating for the company in a report on Thursday, January 29th. Finally, Jefferies Financial Group restated an “underperform” rating and issued a $230.00 price target (down from $245.00) on shares of Automatic Data Processing in a research report on Tuesday, December 16th. Two equities research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $290.00.

About Automatic Data Processing

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.