Automatic Data Processing, Inc. $ADP Stock Sold by Raleigh Capital Management Inc.

Raleigh Capital Management Inc. trimmed its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 87.8% during the third quarter, according to its most recent Form 13F filing with the SEC. The firm owned 822 shares of the business services provider’s stock after selling 5,891 shares during the period. Raleigh Capital Management Inc.’s holdings in Automatic Data Processing were worth $212,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently bought and sold shares of the business. BlackRock Inc. acquired a new stake in shares of Automatic Data Processing during the 2nd quarter worth about $8,097,229,000. Bank of America Corp DE acquired a new position in Automatic Data Processing in the second quarter valued at approximately $1,231,175,000. Deutsche Bank AG purchased a new position in Automatic Data Processing in the second quarter valued at approximately $994,937,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its stake in Automatic Data Processing by 3.1% in the second 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 purchasing an additional 129,376 shares during the last quarter. Finally, Bank of New York Mellon Corp purchased a new position in Automatic Data Processing in the second quarter valued at approximately $725,513,000. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Automatic Data Processing

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

• Positive Sentiment: Raised fiscal 2027 outlook: ADP now forecasts 10%–12% growth in adjusted earnings per share and raised its outlook for client-funds interest revenue to $1.59 billion–$1.61 billion. The improved guidance is the clearest near-term catalyst for the stock. ADP forecasts fiscal 2027 adjusted EPS growth
• Positive Sentiment: Quarterly results exceeded expectations: ADP reported earnings of $2.82 per share versus the $2.77 consensus estimate, while revenue of $5.49 billion modestly topped forecasts and increased 6.1% year over year. Management also highlighted AI momentum during the earnings call. ADP fiscal 2027 first-quarter results
• Positive Sentiment: Some analysts see additional upside: Guggenheim reaffirmed a Buy rating with a $340 price target, while Stifel raised its target to $305. Jefferies also lifted its target, although it retained an Underperform rating. Guggenheim ADP rating
• Neutral Sentiment: Expansion in small-business payroll: ADP is broadening its reach among small-business customers, a move that could support long-term client and revenue growth but may require additional investment. ADP small-business payroll expansion
• Negative Sentiment: Valuation and analyst caution: Citi, Morgan Stanley, and RBC maintain neutral or equivalent ratings with targets around $288–$295, while Jefferies remains bearish. A Seeking Alpha analysis also argues that investors should not chase the rally despite ADP’s attractive dividend-growth record. ADP dividend growth and valuation analysis

Automatic Data Processing Trading Up 2.7%

ADP opened at $293.84 on Friday. The firm has a market cap of $116.43 billion, a price-to-earnings ratio of 26.05, a price-to-earnings-growth ratio of 2.65 and a beta of 0.83. Automatic Data Processing, Inc. has a 52 week low of $188.16 and a 52 week high of $309.40. The business’s 50 day moving average is $277.25 and its two-hundred day moving average is $240.83. The company has a quick ratio of 1.05, a current ratio of 1.03 and a debt-to-equity ratio of 0.98.

Automatic Data Processing (NASDAQ:ADP) last posted its quarterly earnings data on Wednesday, October 28th. The business services provider reported $2.82 earnings per share for the quarter, beating the consensus estimate of $2.77 by $0.05. The business had revenue of $5.49 billion during the quarter, compared to the consensus estimate of $5.48 billion. Automatic Data Processing had a return on equity of 77.01% and a net margin of 20.33%. The company’s revenue was up 6.1% compared to the same quarter last year. During the same period in the prior year, the company earned $2.49 earnings per share. On average, research analysts predict that Automatic Data Processing, Inc. will post 12.36 EPS for the current year.

Automatic Data Processing Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Investors 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 dividend on an annualized basis and a yield of 2.3%. Automatic Data Processing’s dividend payout ratio is currently 60.28%.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on ADP shares. 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 research report on Thursday, July 30th. Citigroup increased their target price on shares of Automatic Data Processing from $287.00 to $295.00 and gave the company a “neutral” rating in a research report on Thursday. 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. Cantor Fitzgerald boosted their price target on shares of Automatic Data Processing from $295.00 to $310.00 and gave the company an “overweight” rating in a research report on Monday, August 3rd. Finally, UBS Group boosted their price target on shares of Automatic Data Processing from $260.00 to $270.00 and gave the company a “neutral” rating in a research report on Wednesday, July 22nd. Three equities research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $283.27.

Insider Buying and Selling at Automatic Data Processing

In other Automatic Data Processing news, CEO Maria Black sold 29,810 shares of the firm’s 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 transaction, the chief executive officer directly owned 80,624 shares of the company’s stock, valued at approximately $22,648,087.84. This trade represents a 26.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Brian Michaud sold 120 shares of Automatic Data Processing stock in a transaction on Friday, August 21st. The shares were sold at an average price of $279.70, for a total transaction of $33,564.00. Following the completion of the transaction, the vice president owned 18,442 shares in the company, valued at approximately $5,158,227.40. This represents a 0.65% 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. Over the last 90 days, insiders sold 31,359 shares of company stock valued at $8,809,422. Company insiders own 0.15% of the company’s stock.

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.