Envestnet Asset Management Inc. Trims Stock Holdings in Automatic Data Processing, Inc. $ADP

Envestnet Asset Management Inc. lowered its stake in Automatic Data Processing, Inc. (NASDAQ:ADP) by 2.6% during the 3rd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 1,517,208 shares of the business services provider’s stock after selling 40,184 shares during the quarter. Envestnet Asset Management Inc. owned about 0.37% of Automatic Data Processing worth $445,300,000 as of its most recent filing with the Securities & Exchange Commission.

Other large investors have also recently made changes to their positions in the company. Harbor Asset Planning Inc. bought a new position in shares of Automatic Data Processing in the second quarter worth approximately $26,000. Mid American Wealth Advisory Group Inc. bought a new stake in shares of Automatic Data Processing during the 2nd quarter valued at $26,000. Howard Hughes Medical Institute purchased a new position in shares of Automatic Data Processing during the 2nd quarter valued at $27,000. Solstein Capital LLC purchased a new position in shares of Automatic Data Processing during the 2nd quarter valued at $28,000. Finally, Westside Investment Management Inc. boosted its holdings in 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 worth $28,000 after buying an additional 40 shares during the period. 80.03% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling at Automatic Data Processing

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 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 ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP David Kwon sold 806 shares of the stock in a transaction on Monday, January 12th. The shares were sold at an average price of $264.80, for a total transaction of $213,428.80. Following the transaction, the vice president owned 11,187 shares of the company’s stock, valued at $2,962,317.60. This trade represents a 6.72% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 2,249 shares of company stock worth $589,852 in the last 90 days. 0.20% of the stock is currently owned by company insiders.

Automatic Data Processing Trading Down 0.2%

Shares of ADP stock opened at $234.67 on Thursday. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 0.62. The stock has a market capitalization of $94.49 billion, a price-to-earnings ratio of 22.56 and a beta of 0.85. Automatic Data Processing, Inc. has a 12-month low of $230.78 and a 12-month high of $329.93. The stock’s 50-day moving average price is $257.49 and its 200-day moving average price is $276.49.

Automatic Data Processing (NASDAQ:ADP) last released its quarterly earnings results on Wednesday, January 28th. The business services provider reported $2.62 earnings per share for the quarter, beating the consensus estimate of $2.57 by $0.05. Automatic Data Processing had a return on equity of 68.44% and a net margin of 19.96%.The business had revenue of $5.36 billion during the quarter, compared to analysts’ expectations of $5.34 billion. During the same quarter last year, the business posted $2.35 EPS. The firm’s revenue for the quarter was up 6.2% compared to the same quarter last year. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Equities research analysts predict 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 stock buyback program on Wednesday, January 14th that authorizes the company to buyback $6.00 billion in outstanding shares. This buyback authorization authorizes the business services provider to purchase up to 5.8% of its shares through open market purchases. Shares buyback programs are typically a sign 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 given a $1.70 dividend. This represents a $6.80 annualized dividend and a yield of 2.9%. The ex-dividend date is Friday, March 13th. Automatic Data Processing’s payout ratio is currently 65.38%.

Analyst Upgrades and Downgrades

A number of equities research analysts have commented on the company. JPMorgan Chase & Co. decreased their price target on Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating on the stock in a report on Thursday, January 29th. Jefferies Financial Group reiterated an “underperform” rating and set a $230.00 target price (down previously from $245.00) on shares of Automatic Data Processing in a research report on Tuesday, December 16th. Citigroup lowered their price target on Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating on the stock in a report on Thursday, January 29th. Morgan Stanley dropped their price target on Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating for the company in a research note on Thursday, January 29th. Finally, Cantor Fitzgerald began coverage on shares of Automatic Data Processing in a report on Tuesday, January 27th. They set an “overweight” rating and a $306.00 price objective for the company. Two research 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. According to MarketBeat, the stock has an average rating of “Hold” and an average target price of $290.83.

Automatic Data Processing 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.