Automatic Data Processing (ADP) to Release Quarterly Earnings on Wednesday

Automatic Data Processing (NASDAQ:ADP) is expected to be announcing its Q2 2026 results before the market opens on Wednesday, January 28th. Analysts expect Automatic Data Processing to post earnings of $2.58 per share and revenue of $5.3376 billion for the quarter. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Investors may visit the the company’s upcoming Q2 2026 earning results page for the latest details on the call scheduled for Wednesday, January 28, 2026 at 8:30 AM ET.

Automatic Data Processing (NASDAQ:ADP) last posted its quarterly earnings results on Wednesday, October 29th. The business services provider reported $2.49 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.44 by $0.05. The firm had revenue of $5.18 billion for the quarter, compared to analyst estimates of $5.14 billion. Automatic Data Processing had a net margin of 19.79% and a return on equity of 70.63%. The company’s quarterly revenue was up 7.1% compared to the same quarter last year. During the same period in the prior year, the firm posted $2.33 earnings per share. On average, analysts expect Automatic Data Processing to post $10 EPS for the current fiscal year and $11 EPS for the next fiscal year.

Automatic Data Processing Stock Down 0.8%

ADP stock opened at $257.87 on Monday. Automatic Data Processing has a 1-year low of $247.18 and a 1-year high of $329.93. The business’s 50 day simple moving average is $258.30 and its 200 day simple moving average is $279.42. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.62. The firm has a market capitalization of $104.30 billion, a PE ratio of 25.46 and a beta of 0.86.

Automatic Data Processing announced that its Board of Directors has authorized a share buyback program on Wednesday, January 14th that permits the company to buyback $6.00 billion in shares. This buyback authorization permits the business services provider to reacquire up to 5.8% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s management believes its stock is undervalued.

Automatic Data Processing Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Friday, March 13th will be given a $1.70 dividend. The ex-dividend date is Friday, March 13th. This represents a $6.80 dividend on an annualized basis and a dividend yield of 2.6%. Automatic Data Processing’s dividend payout ratio (DPR) is presently 67.13%.

Insiders Place Their Bets

In related news, VP Christopher D’ambrosio sold 543 shares of the business’s stock in a transaction that occurred on Tuesday, January 13th. The shares were sold at an average price of $262.29, for a total transaction of $142,423.47. Following the completion of the transaction, the vice president owned 9,998 shares of the company’s stock, valued at approximately $2,622,375.42. The trade was a 5.15% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP David Kwon sold 900 shares of the business’s stock in a transaction on Tuesday, January 6th. The shares were sold at an average price of $260.00, for a total transaction of $234,000.00. Following the transaction, the vice president owned 11,993 shares of the company’s stock, valued at $3,118,180. This trade represents a 6.98% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 2,249 shares of company stock valued at $589,852 over the last ninety days. Corporate insiders own 0.20% of the company’s stock.

Hedge Funds Weigh In On Automatic Data Processing

Large investors have recently modified their holdings of the company. Imprint Wealth LLC bought a new stake in Automatic Data Processing in the third quarter worth $25,000. Wealth Watch Advisors INC purchased a new position in Automatic Data Processing during the 3rd quarter valued at $43,000. Triumph Capital Management bought a new position in Automatic Data Processing in the third quarter worth about $72,000. Darwin Wealth Management LLC purchased a new position in shares of Automatic Data Processing in the 2nd quarter valued at approximately $84,000. Finally, Osterweis Capital Management Inc. purchased a new position in Automatic Data Processing during the second quarter valued at $108,000. 80.03% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of equities research analysts recently weighed in on ADP shares. Citigroup started coverage on Automatic Data Processing in a research report on Thursday, October 23rd. They set a “neutral” rating and a $303.00 price objective on the stock. Wells Fargo & Company decreased their price objective on shares of Automatic Data Processing from $288.00 to $272.00 and set an “underweight” rating for the company in a research report on Thursday, October 30th. JPMorgan Chase & Co. lowered their target price on Automatic Data Processing from $340.00 to $295.00 and set an “underweight” rating for the company in a report on Thursday, October 30th. Weiss Ratings restated a “hold (c+)” rating on shares of Automatic Data Processing in a report on Monday, December 29th. Finally, Jefferies Financial Group restated an “underperform” rating and set a $230.00 price objective (down previously from $245.00) on shares of Automatic Data Processing in a report on Tuesday, December 16th. Two analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, Automatic Data Processing has a consensus rating of “Hold” and an average price target of $306.42.

Automatic Data Processing Company Profile

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.