Handelsbanken Fonder AB Cuts Position in Automatic Data Processing, Inc. $ADP

Handelsbanken Fonder AB decreased its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 5.2% in the second quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 154,605 shares of the business services provider’s stock after selling 8,523 shares during the period. Handelsbanken Fonder AB’s holdings in Automatic Data Processing were worth $34,624,000 as of its most recent SEC filing.

Other large investors have also recently made changes to their positions in the company. Horizon Investments LLC lifted its stake in shares of Automatic Data Processing by 34.1% in the fourth quarter. Horizon Investments LLC now owns 26,144 shares of the business services provider’s stock worth $6,725,000 after buying an additional 6,655 shares in the last quarter. Compass Capital Management Inc. increased its position 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 valued at $52,400,000 after acquiring an additional 5,899 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. increased its position in shares of Automatic Data Processing by 27.0% during the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 234,273 shares of the business services provider’s stock valued at $60,262,000 after acquiring an additional 49,774 shares in the last quarter. DNB Asset Management AS raised 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 worth $39,278,000 after acquiring an additional 15,287 shares during the last quarter. Finally, Jefferies Financial Group Inc. raised its holdings in Automatic Data Processing by 439.2% in the 4th quarter. Jefferies Financial Group Inc. now owns 51,341 shares of the business services provider’s stock worth $13,206,000 after acquiring an additional 41,820 shares during the last quarter. 80.03% of the stock is currently owned by hedge funds and other institutional investors.

Automatic Data Processing Trading Down 0.9%

Shares of ADP stock opened at $271.09 on Wednesday. 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 company has a market cap of $107.69 billion, a price-to-earnings ratio of 24.78 and a beta of 0.81. Automatic Data Processing, Inc. has a 1 year low of $188.16 and a 1 year high of $310.08. The firm has a fifty day moving average price of $242.53 and a 200-day moving average price of $224.97.

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

Automatic Data Processing Announces Dividend

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

Wall Street Analysts Forecast Growth

Several analysts have commented on the company. Guggenheim increased their target price on Automatic Data Processing from $270.00 to $300.00 and gave the company a “buy” rating in a research note on Thursday, July 30th. Cantor Fitzgerald lifted their price objective on Automatic Data Processing from $295.00 to $310.00 and gave the stock an “overweight” rating in a report on Monday, August 3rd. TD Cowen boosted their target price on Automatic Data Processing from $216.00 to $223.00 and gave the stock a “hold” rating in a research report on Monday, July 6th. Morgan Stanley raised their price target on shares of Automatic Data Processing from $240.00 to $286.00 and gave the company an “equal weight” rating in a report on Thursday, July 30th. Finally, Jefferies Financial Group decreased their price objective on shares of Automatic Data Processing from $230.00 to $190.00 in a report on Thursday, April 30th. Three analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $273.50.

Insider Transactions at Automatic Data Processing

In other Automatic Data Processing news, VP David Kwon sold 2,414 shares of the firm’s stock in a transaction that occurred on Thursday, July 30th. The shares were sold at an average price of $265.62, for a total transaction of $641,206.68. Following the sale, the vice president owned 9,660 shares in the company, valued at approximately $2,565,889.20. This trade represents a 19.99% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 0.20% of the company’s stock.

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.