Automatic Data Processing, Inc. $ADP Holdings Lifted by Rafferty Asset Management LLC

Rafferty Asset Management LLC boosted its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP) by 4.3% during the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 78,376 shares of the business services provider’s stock after acquiring an additional 3,267 shares during the quarter. Rafferty Asset Management LLC’s holdings in Automatic Data Processing were worth $23,003,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds also recently bought and sold shares of ADP. American Century Companies Inc. grew its stake in shares of Automatic Data Processing by 1.3% in the 3rd quarter. American Century Companies Inc. now owns 852,854 shares of the business services provider’s stock worth $250,313,000 after purchasing an additional 11,223 shares during the last quarter. Argent Trust Co boosted its holdings in Automatic Data Processing by 13.9% during the third quarter. Argent Trust Co now owns 46,024 shares of the business services provider’s stock worth $13,508,000 after buying an additional 5,615 shares in the last quarter. Quantbot Technologies LP bought a new stake in Automatic Data Processing during the third quarter worth approximately $1,306,000. Allianz SE grew its position in Automatic Data Processing by 6.8% in the third quarter. Allianz SE now owns 32,046 shares of the business services provider’s stock worth $9,406,000 after buying an additional 2,046 shares during the last quarter. Finally, Camrose Capital Investment Partners LLP increased its holdings in shares of Automatic Data Processing by 11.1% in the third quarter. Camrose Capital Investment Partners LLP now owns 137,372 shares of the business services provider’s stock valued at $40,319,000 after buying an additional 13,682 shares in the last quarter. 80.03% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on the company. JPMorgan Chase & Co. reduced their price objective on Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating for the company in a research note on Thursday, January 29th. Wells Fargo & Company reduced their target price on Automatic Data Processing from $272.00 to $262.00 and set an “underweight” rating for the company in a report on Thursday, January 29th. Cantor Fitzgerald began coverage on Automatic Data Processing in a research report on Tuesday, January 27th. They issued an “overweight” rating and a $306.00 price target for the company. Stifel Nicolaus dropped their price target on Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating on the stock in a research note on Monday, February 9th. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of Automatic Data Processing in a report on Monday, December 29th. Two analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $290.00.

Insider Activity at Automatic Data Processing

In related news, VP Christopher D’ambrosio sold 543 shares of the stock in a transaction on Tuesday, January 13th. The shares were sold at an average price of $262.29, for a total value of $142,423.47. Following the transaction, the vice president directly owned 9,998 shares of the company’s stock, valued at $2,622,375.42. This trade represents a 5.15% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, VP Brian L. Michaud sold 1,000 shares of the business’s stock in a transaction on Friday, February 6th. The shares were sold at an average price of $234.18, for a total transaction of $234,180.00. Following the completion of the sale, the vice president directly owned 15,310 shares of the company’s stock, valued at approximately $3,585,295.80. This trade represents a 6.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 3,515 shares of company stock worth $887,074. Corporate insiders own 0.20% of the company’s stock.

Automatic Data Processing Stock Performance

Shares of ADP stock opened at $214.36 on Friday. The company has a market cap of $86.31 billion, a P/E ratio of 20.61 and a beta of 0.85. The firm has a fifty day moving average price of $242.81 and a 200 day moving average price of $266.09. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 0.62. Automatic Data Processing, Inc. has a 12 month low of $203.26 and a 12 month high of $329.93.

Automatic Data Processing (NASDAQ:ADP) last released its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 EPS for the quarter, beating analysts’ consensus estimates of $2.57 by $0.05. The business had revenue of $5.36 billion for the quarter, compared to the consensus estimate 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 for the quarter was up 6.2% on a year-over-year basis. During the same quarter in the prior year, the business posted $2.35 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Sell-side analysts predict that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current fiscal year.

Automatic Data Processing Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Stockholders of record on Friday, March 13th will be given a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a dividend yield of 3.2%. The ex-dividend date is Friday, March 13th. Automatic Data Processing’s payout ratio is currently 65.38%.

Automatic Data Processing declared that its board has approved a stock repurchase program on Wednesday, January 14th that permits the company to buyback $6.00 billion in outstanding shares. This buyback authorization permits the business services provider to buy up to 5.8% of its shares through open market purchases. Shares buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

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.