Bridgewater Advisors Inc. Buys Shares of 2,874 Automatic Data Processing, Inc. $ADP

Bridgewater Advisors Inc. bought a new stake in Automatic Data Processing, Inc. (NASDAQ:ADP) during the second quarter, Holdings Channel reports. The institutional investor bought 2,874 shares of the business services provider’s stock, valued at approximately $750,000.

A number of other hedge funds have also made changes to their positions in ADP. Imprint Wealth LLC acquired a new position in Automatic Data Processing in the 3rd quarter valued at approximately $25,000. Cornerstone Financial Management LLC acquired a new stake in shares of Automatic Data Processing during the 4th quarter valued at $26,000. Bard Associates Inc. purchased a new position in shares of Automatic Data Processing during the 4th quarter valued at $28,000. Prosperity Bancshares Inc purchased a new position in shares of Automatic Data Processing during the 4th quarter valued at $33,000. Finally, High Point Wealth Management LLC acquired a new position in shares of Automatic Data Processing in the fourth quarter worth $34,000. 80.03% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Automatic Data Processing

In other news, VP David Kwon sold 2,414 shares of the stock in a transaction dated Thursday, July 30th. The stock was sold at an average price of $265.62, for a total transaction of $641,206.68. Following the transaction, the vice president owned 9,660 shares of the company’s stock, valued at approximately $2,565,889.20. This represents a 19.99% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. 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 Stock Down 1.2%

ADP stock opened at $272.96 on Friday. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.82. Automatic Data Processing, Inc. has a 1 year low of $188.16 and a 1 year high of $310.08. The company has a fifty day simple moving average of $245.08 and a 200 day simple moving average of $225.50. The firm has a market cap of $108.44 billion, a PE ratio of 24.95 and a beta of 0.81.

Automatic Data Processing (NASDAQ:ADP) last posted its earnings results on Wednesday, July 29th. The business services provider reported $2.64 EPS for the quarter, topping the consensus estimate of $2.59 by $0.05. Automatic Data Processing had a net margin of 20.11% and a return on equity of 71.34%. The firm had revenue of $5.47 billion for the quarter, compared to the consensus estimate of $5.44 billion. During the same period 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. Sell-side analysts anticipate that Automatic Data Processing, Inc. will post 12.26 EPS for the current fiscal year.

Automatic Data Processing Dividend Announcement

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

Analyst Ratings Changes

Several brokerages recently issued reports on ADP. UBS Group increased their price objective on Automatic Data Processing from $260.00 to $270.00 and gave the stock a “neutral” rating in a report on Wednesday, July 22nd. TD Cowen boosted their target price on Automatic Data Processing from $216.00 to $223.00 and gave the company a “hold” rating in a research note on Monday, July 6th. Mizuho cut their price target on Automatic Data Processing from $332.00 to $305.00 in a research note on Thursday, April 30th. Robert W. Baird lowered their price target on Automatic Data Processing from $300.00 to $270.00 in a research note on Thursday, April 30th. Finally, BMO Capital Markets increased their price objective on Automatic Data Processing from $248.00 to $305.00 and gave the stock a “market perform” rating in a report on Wednesday, July 29th. Three analysts have rated the stock with a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average target price of $273.50.

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.