DSM Capital Partners LLC Trims Position in Automatic Data Processing, Inc. $ADP

DSM Capital Partners LLC lessened its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 1.0% in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 4,369 shares of the business services provider’s stock after selling 44 shares during the quarter. DSM Capital Partners LLC’s holdings in Automatic Data Processing were worth $1,347,000 at the end of the most recent reporting period.

Other hedge funds also recently bought and sold shares of the company. Activest Wealth Management increased its position in Automatic Data Processing by 2,600.0% during the first quarter. Activest Wealth Management now owns 81 shares of the business services provider’s stock valued at $25,000 after acquiring an additional 78 shares during the last quarter. Clarity Asset Management Inc. purchased a new stake in Automatic Data Processing during the first quarter valued at $29,000. von Borstel & Associates Inc. purchased a new stake in Automatic Data Processing during the first quarter valued at $30,000. Y.D. More Investments Ltd purchased a new stake in Automatic Data Processing in the first quarter worth about $35,000. Finally, Abound Wealth Management increased its position in Automatic Data Processing by 58.1% in the first quarter. Abound Wealth Management now owns 117 shares of the business services provider’s stock worth $36,000 after buying an additional 43 shares in the last quarter. Hedge funds and other institutional investors own 80.03% of the company’s stock.

Wall Street Analyst Weigh In

ADP has been the subject of a number of analyst reports. Weiss Ratings restated a “buy (b)” rating on shares of Automatic Data Processing in a research report on Wednesday. Morgan Stanley upped their price target on Automatic Data Processing from $310.00 to $311.00 and gave the stock an “equal weight” rating in a research report on Thursday, July 31st. UBS Group cut their target price on Automatic Data Processing from $315.00 to $290.00 and set a “neutral” rating for the company in a research report on Wednesday, September 17th. Mizuho increased their target price on Automatic Data Processing from $321.00 to $332.00 and gave the stock an “outperform” rating in a research report on Friday, June 13th. Finally, Dbs Bank upgraded Automatic Data Processing to a “hold” rating in a research report on Thursday, August 21st. Three research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, Automatic Data Processing has an average rating of “Hold” and an average target price of $316.70.

Insider Buying and Selling at Automatic Data Processing

In other news, VP David Foskett sold 1,373 shares of the company’s stock in a transaction that occurred on Wednesday, September 3rd. The stock was sold at an average price of $296.57, for a total transaction of $407,190.61. Following the sale, the vice president directly owned 11,781 shares of the company’s stock, valued at $3,493,891.17. This represents a 10.44% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, VP Joseph Desilva sold 4,614 shares of the company’s stock in a transaction that occurred on Wednesday, September 3rd. The stock was sold at an average price of $296.57, for a total value of $1,368,373.98. Following the sale, the vice president directly owned 17,536 shares in the company, valued at $5,200,651.52. This trade represents a 20.83% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 52,516 shares of company stock worth $15,632,410. Company insiders own 0.20% of the company’s stock.

Automatic Data Processing Stock Performance

NASDAQ:ADP opened at $285.19 on Friday. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.64. Automatic Data Processing, Inc. has a 12-month low of $272.62 and a 12-month high of $329.93. The stock has a 50-day moving average price of $297.26 and a 200 day moving average price of $303.06. The stock has a market capitalization of $115.53 billion, a P/E ratio of 28.58, a P/E/G ratio of 2.62 and a beta of 0.82.

Automatic Data Processing (NASDAQ:ADP) last released its earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.23 by $0.03. Automatic Data Processing had a return on equity of 72.84% and a net margin of 19.84%.The firm had revenue of $5.13 billion during the quarter, compared to analysts’ expectations of $5.05 billion. During the same quarter last year, the business posted $2.09 earnings per share. The firm’s revenue was up 6.3% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities research analysts forecast that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, October 1st. Stockholders of record on Friday, September 12th were issued a dividend of $1.54 per share. This represents a $6.16 annualized dividend and a dividend yield of 2.2%. The ex-dividend date of this dividend was Friday, September 12th. Automatic Data Processing’s dividend payout ratio is 61.72%.

About Automatic Data Processing

Automatic Data Processing, Inc provides cloud-based human capital management solutions worldwide. It operates in two segments, Employer Services and Professional Employer Organization (PEO). The Employer Services segment offers strategic, cloud-based platforms, and human resources (HR) outsourcing solutions.