Automatic Data Processing, Inc. $ADP Shares Purchased by Hendershot Investments Inc.

Hendershot Investments Inc. boosted its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP) by 6.1% during the 1st quarter, HoldingsChannel reports. The institutional investor owned 84,755 shares of the business services provider’s stock after purchasing an additional 4,857 shares during the quarter. Automatic Data Processing accounts for approximately 2.3% of Hendershot Investments Inc.’s investment portfolio, making the stock its 13th largest holding. Hendershot Investments Inc.’s holdings in Automatic Data Processing were worth $17,221,000 as of its most recent filing with the SEC.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of ADP. State Street Corp grew its stake in Automatic Data Processing by 0.7% during the fourth quarter. State Street Corp now owns 18,940,841 shares of the business services provider’s stock worth $4,903,769,000 after buying an additional 133,039 shares during the period. Geode Capital Management LLC raised its stake in shares of Automatic Data Processing by 1.2% in the 4th quarter. Geode Capital Management LLC now owns 11,576,572 shares of the business services provider’s stock valued at $2,977,777,000 after acquiring an additional 136,876 shares during the period. Capital Research Global Investors raised its stake in shares of Automatic Data Processing by 4.6% in the 4th quarter. Capital Research Global Investors now owns 8,393,607 shares of the business services provider’s stock valued at $2,159,088,000 after acquiring an additional 372,413 shares during the period. Wellington Management Group LLP lifted its holdings in shares of Automatic Data Processing by 8.0% during the 4th quarter. Wellington Management Group LLP now owns 7,374,504 shares of the business services provider’s stock valued at $1,896,944,000 after acquiring an additional 544,210 shares in the last quarter. Finally, Invesco Ltd. lifted its holdings in shares of Automatic Data Processing by 5.7% during the 3rd quarter. Invesco Ltd. now owns 4,837,993 shares of the business services provider’s stock valued at $1,419,951,000 after acquiring an additional 261,312 shares in the last quarter. 80.03% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several brokerages recently issued reports on ADP. Wells Fargo & Company upgraded Automatic Data Processing from an “underweight” rating to an “equal weight” rating and set a $214.00 price target for the company in a report on Monday, May 18th. Mizuho reduced their price objective on Automatic Data Processing from $332.00 to $305.00 in a research note on Thursday, April 30th. Argus decreased their target price on Automatic Data Processing from $300.00 to $240.00 and set a “buy” rating for the company in a research report on Tuesday, May 5th. Jefferies Financial Group decreased their target price on Automatic Data Processing from $230.00 to $190.00 in a research report on Thursday, April 30th. Finally, Morgan Stanley lowered their target price on Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating for the company in a research note on Tuesday, April 28th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, nine have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $244.29.

Automatic Data Processing Price Performance

ADP opened at $242.27 on Friday. The company has a fifty day simple moving average of $219.94 and a 200 day simple moving average of $225.81. The firm has a market cap of $96.84 billion, a price-to-earnings ratio of 22.60 and a beta of 0.83. Automatic Data Processing, Inc. has a twelve month low of $188.16 and a twelve month high of $315.98. The company has a current ratio of 1.04, a quick ratio of 1.04 and a debt-to-equity ratio of 0.63.

Automatic Data Processing (NASDAQ:ADP) last released its quarterly earnings results on Wednesday, April 29th. The business services provider reported $3.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.30 by $0.07. Automatic Data Processing had a net margin of 20.12% and a return on equity of 68.82%. The firm had revenue of $5.94 billion for the quarter, compared to the consensus estimate of $5.85 billion. During the same quarter in the previous year, the firm posted $3.06 EPS. The firm’s quarterly revenue was up 7.0% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. Equities research analysts expect that Automatic Data Processing, Inc. will post 11.08 EPS for the current fiscal year.

Automatic Data Processing Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, July 1st. Stockholders of record on Friday, June 12th were given a dividend of $1.70 per share. This represents a $6.80 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date of this dividend was Friday, June 12th. Automatic Data Processing’s payout ratio is presently 63.43%.

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.