IFP Advisors Inc Sells 7,033 Shares of Automatic Data Processing, Inc. $ADP

IFP Advisors Inc decreased its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 44.3% in the 2nd quarter, HoldingsChannel reports. The firm owned 8,843 shares of the business services provider’s stock after selling 7,033 shares during the period. IFP Advisors Inc’s holdings in Automatic Data Processing were worth $1,980,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. Compass Capital Management Inc. increased its stake in shares of Automatic Data Processing by 3.0% during the fourth quarter. Compass Capital Management Inc. now owns 203,710 shares of the business services provider’s stock worth $52,400,000 after purchasing an additional 5,899 shares during the period. Northwestern Mutual Wealth Management Co. bought a new stake in Automatic Data Processing in the 2nd quarter valued at $13,283,000. Royal Capital Wealth Management LLC bought a new stake in Automatic Data Processing in the 2nd quarter valued at $1,226,000. Canada Pension Plan Investment Board bought a new stake in Automatic Data Processing in the 2nd quarter valued at $152,706,000. Finally, DNB Asset Management AS grew its holdings in Automatic Data Processing by 11.1% in the 4th quarter. DNB Asset Management AS now owns 152,697 shares of the business services provider’s stock valued at $39,278,000 after buying an additional 15,287 shares in the last quarter. 80.03% of the stock is owned by institutional investors.

Insider Activity

In related news, VP David Kwon sold 798 shares of the stock in a transaction that occurred on Thursday, August 20th. The shares were sold at an average price of $280.00, for a total transaction of $223,440.00. Following the sale, the vice president owned 13,193 shares in the company, valued at approximately $3,694,040. This trade represents a 5.70% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Maria Black sold 29,810 shares of Automatic Data Processing stock in a transaction that occurred on Wednesday, September 2nd. The shares were sold at an average price of $280.91, for a total transaction of $8,373,927.10. Following the completion of the transaction, the chief executive officer directly owned 80,624 shares in the company, valued at $22,648,087.84. This trade represents a 26.99% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 33,773 shares of company stock valued at $9,450,629. Corporate insiders own 0.20% of the company’s stock.

Automatic Data Processing Price Performance

Automatic Data Processing stock opened at $268.26 on Friday. The stock’s fifty day moving average price is $265.91 and its two-hundred day moving average price is $232.12. Automatic Data Processing, Inc. has a one year low of $188.16 and a one year high of $296.86. The company has a debt-to-equity ratio of 0.82, a current ratio of 1.05 and a quick ratio of 1.05. The firm has a market cap of $106.57 billion, a PE ratio of 24.52, a price-to-earnings-growth ratio of 2.43 and a beta of 0.82.

Automatic Data Processing (NASDAQ:ADP) last released its earnings results on Wednesday, July 29th. The business services provider reported $2.64 earnings per share for the quarter, beating analysts’ consensus estimates of $2.59 by $0.05. The firm had revenue of $5.47 billion during the quarter, compared to the consensus estimate of $5.44 billion. Automatic Data Processing had a return on equity of 71.34% and a net margin of 20.11%.The company’s revenue was up 6.8% compared to the same quarter last year. During the same period in the prior year, the company posted $2.26 EPS. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. As a group, research analysts expect that Automatic Data Processing, Inc. will post 12.26 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Friday, September 11th will be given a dividend of $1.70 per share. The ex-dividend date of this dividend is Friday, September 11th. This represents a $6.80 annualized dividend and a yield of 2.5%. Automatic Data Processing’s dividend payout ratio is currently 62.16%.

Analysts Set New Price Targets

ADP has been the topic of several recent research reports. Wells Fargo & Company increased their price objective on Automatic Data Processing from $248.00 to $283.00 and gave the stock an “equal weight” rating in a research report on Thursday, July 30th. Morgan Stanley boosted their target price on shares of Automatic Data Processing from $240.00 to $286.00 and gave the company an “equal weight” rating in a research report on Thursday, July 30th. Weiss Ratings raised shares of Automatic Data Processing from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, July 21st. BMO Capital Markets lifted their price objective on shares of Automatic Data Processing from $248.00 to $305.00 and gave the stock a “market perform” rating in a research note on Wednesday, July 29th. Finally, Stifel Nicolaus lifted their price objective on shares of Automatic Data Processing from $260.00 to $285.00 and gave the stock a “hold” rating in a research note on Thursday, July 30th. Three equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $273.50.

Automatic Data Processing Profile

Automatic Data Processing, Inc (NASDAQ: ADP) is a provider of human capital management (HCM) solutions and business outsourcing services. The company helps organizations manage payroll, employment taxes, human resources administration, employee benefits, workforce management, talent management, and compliance.

ADP offers cloud-based products for businesses of different sizes, including payroll and HR platforms, time and attendance tools, recruiting and talent solutions, benefits administration, and data and analytics services.