Automatic Data Processing, Inc. $ADP Shares Sold by Donaldson Capital Management LLC

Donaldson Capital Management LLC cut its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 7.6% in the 3rd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 43,016 shares of the business services provider’s stock after selling 3,557 shares during the quarter. Donaldson Capital Management LLC’s holdings in Automatic Data Processing were worth $12,625,000 at the end of the most recent reporting period.

Other hedge funds have also modified their holdings of the company. Harbor Asset Planning Inc. purchased a new stake in Automatic Data Processing during the second quarter valued at about $26,000. Mid American Wealth Advisory Group Inc. purchased a new position in shares of Automatic Data Processing in the second quarter worth approximately $26,000. Howard Hughes Medical Institute acquired a new stake in shares of Automatic Data Processing during the second quarter valued at approximately $27,000. Solstein Capital LLC purchased a new stake in shares of Automatic Data Processing in the 2nd quarter valued at approximately $28,000. Finally, Westside Investment Management Inc. lifted its position in shares of Automatic Data Processing by 80.0% in the 2nd quarter. Westside Investment Management Inc. now owns 90 shares of the business services provider’s stock valued at $28,000 after acquiring an additional 40 shares in the last quarter. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Key Automatic Data Processing News

Here are the key news stories impacting Automatic Data Processing this week:

• Positive Sentiment: Q4 / Q2 results and guidance — ADP beat revenue and EPS estimates, showed broad-based growth and margin stability, and set FY26 EPS guidance above street projections; management reiterated an upbeat outlook and a buyback. These execution and capital-allocation signals support the stock’s upward reaction. ADP Q4 Deep Dive
• Positive Sentiment: Earnings call takeaways — summaries and highlights (management tone, buyback, and stronger Employer Services performance) reinforced the beat-and-raise narrative that underpins near-term fundamentals. ADP Earnings Call Highlights
• Neutral Sentiment: New coverage and analyst reports — Cantor Fitzgerald initiated coverage and independent analyst notes (Argus) provide fresh research flow that can increase trading interest but are mixed in directional impact. Coverage Initiated at Cantor Fitzgerald Analyst Report: Automatic Data Processing Inc.
• Negative Sentiment: Multiple price‑target cuts and downgrades — Morgan Stanley, Citigroup, JPMorgan, Wells Fargo and Stifel trimmed targets and moved to neutral/underweight/hold stances, signaling reduced analyst conviction and pressuring investor sentiment despite upside still implied by some revised targets. Benzinga coverage of analyst actions
• Negative Sentiment: 52‑week low headline — reports that ADP hit a 52‑week low attract attention and can trigger short-term selling or defensive positioning by momentum and quant funds. Adp stock hits 52-week low

Automatic Data Processing Stock Up 0.3%

Shares of Automatic Data Processing stock opened at $246.82 on Friday. The firm has a market cap of $99.83 billion, a price-to-earnings ratio of 23.73 and a beta of 0.86. The stock has a 50-day simple moving average of $258.36 and a 200-day simple moving average of $277.79. Automatic Data Processing, Inc. has a 52-week low of $243.68 and a 52-week high of $329.93. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.03 and a quick ratio of 1.05.

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, topping analysts’ consensus estimates of $2.57 by $0.05. The firm 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 firm’s revenue was up 6.2% on a year-over-year basis. During the same quarter in the prior year, the company posted $2.35 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. On average, equities research analysts expect that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current fiscal year.

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

Automatic Data Processing Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Friday, March 13th will be paid a $1.70 dividend. This represents a $6.80 annualized dividend and a dividend yield of 2.8%. The ex-dividend date of this dividend is Friday, March 13th. Automatic Data Processing’s payout ratio is presently 65.38%.

Insiders Place Their Bets

In related news, VP Christopher D’ambrosio sold 543 shares of the company’s 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 completion of the sale, the vice president directly owned 9,998 shares in the company, valued at approximately $2,622,375.42. This represents a 5.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, VP David Kwon sold 806 shares of the firm’s stock in a transaction dated Monday, January 12th. The shares were sold at an average price of $264.80, for a total value of $213,428.80. Following the transaction, the vice president owned 11,187 shares in the company, valued at approximately $2,962,317.60. This trade represents a 6.72% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 2,249 shares of company stock valued at $589,852 over the last quarter. 0.20% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

Several equities analysts have weighed in on the stock. JPMorgan Chase & Co. lowered their price objective on shares of Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating on the stock in a research report on Thursday. 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 target price for the company. Morgan Stanley dropped their price target on Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a research report on Thursday. Stifel Nicolaus reduced their price objective on Automatic Data Processing from $290.00 to $280.00 and set a “hold” rating for the company in a research note on Thursday. Finally, Jefferies Financial Group restated an “underperform” rating and set a $230.00 price objective (down from $245.00) on shares of Automatic Data Processing in a research report on Tuesday, December 16th. Three analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $295.38.

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.