Automatic Data Processing, Inc. $ADP Stake Increased by Precedent Wealth Partners LLC

Precedent Wealth Partners LLC lifted its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 22.5% in the third quarter, according to its most recent filing with the SEC. The fund owned 10,502 shares of the business services provider’s stock after acquiring an additional 1,931 shares during the period. Precedent Wealth Partners LLC’s holdings in Automatic Data Processing were worth $2,710,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in the stock. E. Ohman J or Asset Management AB boosted its holdings in shares of Automatic Data Processing by 3.5% in the 3rd quarter. E. Ohman J or Asset Management AB now owns 14,982 shares of the business services provider’s stock worth $3,866,000 after purchasing an additional 500 shares in the last quarter. SBI Securities Co. Ltd. increased its position in shares of Automatic Data Processing by 7.0% during the 3rd quarter. SBI Securities Co. Ltd. now owns 1,983 shares of the business services provider’s stock valued at $512,000 after purchasing an additional 129 shares during the last quarter. Woodward Diversified Capital LLC raised its holdings in shares of Automatic Data Processing by 14.3% during the 3rd quarter. Woodward Diversified Capital LLC now owns 1,454 shares of the business services provider’s stock valued at $375,000 after buying an additional 182 shares in the last quarter. Cardinal Capital Management raised its holdings in shares of Automatic Data Processing by 4.4% during the 3rd quarter. Cardinal Capital Management now owns 46,626 shares of the business services provider’s stock valued at $12,111,000 after buying an additional 1,970 shares in the last quarter. Finally, Vest Financial LLC raised its holdings in shares of Automatic Data Processing by 0.4% during the 3rd quarter. Vest Financial LLC now owns 501,780 shares of the business services provider’s stock valued at $129,489,000 after buying an additional 2,033 shares in the last quarter. 80.03% of the stock is currently owned by hedge funds and other institutional investors.

Automatic Data Processing News Roundup

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

Analyst Upgrades and Downgrades

Several analysts have issued reports on ADP shares. Weiss Ratings raised Automatic Data Processing from a “hold (c)” rating to a “hold (c+)” rating in a research note on Tuesday, September 22nd. Citigroup increased their price target on shares of Automatic Data Processing from $230.00 to $287.00 and gave the company a “neutral” rating in a research report on Thursday, July 30th. TD Cowen lifted their price target on shares of Automatic Data Processing from $216.00 to $223.00 and gave the stock a “hold” rating in a research note on Monday, July 6th. Wells Fargo & Company boosted their price objective on shares of Automatic Data Processing from $248.00 to $283.00 and gave the stock an “equal weight” rating in a report on Thursday, July 30th. Finally, Stifel Nicolaus upped their price objective on shares of Automatic Data Processing from $260.00 to $285.00 and gave the company a “hold” rating in a research note on Thursday, July 30th. Three equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $273.50.

Automatic Data Processing Stock Up 4.6%

Shares of NASDAQ:ADP opened at $307.94 on Friday. The stock’s 50-day moving average is $274.83 and its 200 day moving average is $245.07. The company has a market cap of $122.02 billion, a PE ratio of 28.15, a P/E/G ratio of 2.67 and a beta of 0.83. The company has a debt-to-equity ratio of 0.82, a current ratio of 1.05 and a quick ratio of 1.05. Automatic Data Processing, Inc. has a 1 year low of $188.16 and a 1 year high of $308.63.

Automatic Data Processing (NASDAQ:ADP) last released its quarterly earnings data on Wednesday, July 29th. The business services provider reported $2.64 earnings per share for the quarter, topping the consensus estimate of $2.59 by $0.05. The business had revenue of $5.47 billion during the quarter, compared to analysts’ expectations of $5.44 billion. Automatic Data Processing had a return on equity of 71.34% and a net margin of 20.11%. The business’s revenue was up 6.8% on a year-over-year basis. During the same quarter last year, the business posted $2.26 EPS. 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 12.27 EPS for the current year.

Automatic Data Processing Dividend Announcement

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

Insiders Place Their Bets

In related news, VP Brian Michaud sold 120 shares of the firm’s stock in a transaction on Friday, August 21st. The stock was sold at an average price of $279.70, for a total value of $33,564.00. Following the completion of the sale, the vice president owned 18,442 shares of the company’s stock, valued at $5,158,227.40. This trade represents a 0.65% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Joseph Desilva sold 631 shares of Automatic Data Processing stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $282.87, for a total transaction of $178,490.97. Following the completion of the sale, the vice president owned 18,824 shares in the company, valued at approximately $5,324,744.88. This trade represents a 3.24% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 33,773 shares of company stock worth $9,450,629. Insiders own 0.15% of the company’s stock.

Automatic Data Processing Company 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.