Automatic Data Processing, Inc. $ADP Holdings Lowered by Sepio Capital LP

Sepio Capital LP lowered its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 28.4% in the third quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 4,872 shares of the business services provider’s stock after selling 1,928 shares during the quarter. Sepio Capital LP’s holdings in Automatic Data Processing were worth $1,257,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds have also made changes to their positions in the company. BlackRock Inc. acquired a new stake in Automatic Data Processing in the second quarter valued at $8,097,229,000. Bank of America Corp DE bought a new position in Automatic Data Processing during the 2nd quarter valued at $1,231,175,000. Deutsche Bank AG bought a new position in Automatic Data Processing during the 2nd quarter valued at $994,937,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in Automatic Data Processing by 3.1% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 4,251,447 shares of the business services provider’s stock valued at $952,112,000 after acquiring an additional 129,376 shares during the last quarter. Finally, Bank of New York Mellon Corp acquired a new position in Automatic Data Processing during the 2nd quarter worth $725,513,000. Institutional investors and hedge funds own 80.03% of the company’s stock.

Automatic Data Processing Price Performance

Shares of NASDAQ ADP opened at $307.94 on Friday. Automatic Data Processing, Inc. has a twelve month low of $188.16 and a twelve month high of $308.63. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.82. The company has a market capitalization of $122.02 billion, a price-to-earnings ratio of 28.15, a price-to-earnings-growth ratio of 2.67 and a beta of 0.83. The business has a 50 day simple moving average of $274.83 and a 200-day simple moving average of $245.07.

Automatic Data Processing (NASDAQ:ADP) last posted its quarterly earnings results on Wednesday, July 29th. The business services provider reported $2.64 earnings per share (EPS) for the quarter, beating the consensus estimate 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 for the quarter, compared to analyst estimates of $5.44 billion. During the same period in the prior year, the company posted $2.26 EPS. The business’s revenue was up 6.8% compared to the same quarter last year. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. As a group, equities research analysts expect that Automatic Data Processing, Inc. will post 12.27 earnings per share for the current year.

Automatic Data Processing Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Friday, September 11th were paid a dividend of $1.70 per share. The ex-dividend date was Friday, September 11th. This represents a $6.80 annualized dividend and a yield of 2.2%. Automatic Data Processing’s payout ratio is presently 62.16%.

Automatic Data Processing News Summary

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

• Positive Sentiment: Analysts expect ADP to report low-double-digit earnings growth in its upcoming first-quarter results, raising expectations for another strong print and potentially supportive guidance. Automatic Data Processing’s Quarterly Earnings Preview: What You Need to Know
• Positive Sentiment: A valuation analysis suggests ADP could trade at a roughly 17% premium based on its cash-flow generation, reinforcing the bullish case for the company’s predictable, recurring revenue model. Automatic Data Processing Stock Could Trade At A 17% Premium On Cash Flow
• Positive Sentiment: ADP reached a new 52-week high ahead of earnings, signaling strong investor momentum and confidence in the company’s operating outlook. Automatic Data Processing Stock Reaches a 52-Week High Ahead of Results
• Neutral Sentiment: ADP is scheduled to release quarterly results on October 28 before the Xetra market opens, giving investors a near-term catalyst while also increasing the risk of volatility if results or guidance disappoint. ADP Stock Has Results Scheduled October 28 Ahead of Xetra Open
• Neutral Sentiment: Broader concern that the artificial-intelligence trade may be weakening could encourage some investors to favor established, income-oriented companies such as ADP, although a wider market selloff could still weigh on the shares. The All-In Hosts Asked If the AI Trade Is Cracking

Insider Buying and Selling at Automatic Data Processing

In other Automatic Data Processing news, CEO Maria Black sold 29,810 shares of the stock in a transaction on Wednesday, September 2nd. The shares were sold at an average price of $280.91, for a total transaction of $8,373,927.10. Following the sale, the chief executive officer directly owned 80,624 shares of the company’s stock, valued at approximately $22,648,087.84. This represents a 26.99% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Joseph Desilva sold 631 shares of the firm’s stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $282.87, for a total transaction of $178,490.97. Following the completion of the transaction, the vice president owned 18,824 shares in the company, valued at approximately $5,324,744.88. The trade was a 3.24% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 33,773 shares of company stock worth $9,450,629 in the last ninety days. 0.15% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

ADP has been the subject of several research analyst reports. Weiss Ratings raised shares of Automatic Data Processing from a “hold (c)” rating to a “hold (c+)” rating in a research report on Tuesday, September 22nd. Cantor Fitzgerald upped their target price on shares of Automatic Data Processing from $295.00 to $310.00 and gave the company an “overweight” rating in a research note on Monday, August 3rd. Stifel Nicolaus increased their price target on shares of Automatic Data Processing from $260.00 to $285.00 and gave the stock a “hold” rating in a research report on Thursday, July 30th. UBS Group increased their price target on shares of Automatic Data Processing from $260.00 to $270.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 22nd. Finally, Wells Fargo & Company lifted their price target on Automatic Data Processing from $248.00 to $283.00 and gave the stock an “equal weight” rating in a research note on Thursday, July 30th. Three investment analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Automatic Data Processing presently has a consensus rating of “Hold” and a consensus price target of $273.50.

Automatic Data Processing Profile

Automatic Data Processing, Inc (NASDAQ: ADP) is a global provider of human capital management and business outsourcing solutions. The company helps employers manage payroll, human resources, workforce administration, benefits, tax compliance, time and attendance, talent management, and related employment processes.

ADP offers cloud-based platforms and services designed for businesses of various sizes, from small enterprises to large organizations. Its portfolio includes payroll processing, human resources management, employee benefits administration, retirement services, workforce management, data analytics, and professional employer organization services through ADP TotalSource.

Founded in 1949, ADP serves businesses in the United States and international markets.