Hsbc Holdings PLC Acquires 111,896 Shares of Automatic Data Processing, Inc. $ADP

Hsbc Holdings PLC raised its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 11.2% in the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 1,110,389 shares of the business services provider’s stock after buying an additional 111,896 shares during the quarter. Hsbc Holdings PLC owned about 0.28% of Automatic Data Processing worth $285,801,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors have also added to or reduced their stakes in the business. Imprint Wealth LLC purchased a new stake in shares of Automatic Data Processing in the 3rd quarter valued at about $25,000. Cornerstone Financial Management LLC purchased a new position in shares of Automatic Data Processing during the fourth quarter worth about $26,000. Y.D. More Investments Ltd bought a new position in shares of Automatic Data Processing in the third quarter worth approximately $32,000. Bard Associates Inc. bought a new position in shares of Automatic Data Processing in the fourth quarter worth approximately $28,000. Finally, Board of the Pension Protection Fund purchased a new stake in Automatic Data Processing in the fourth quarter valued at approximately $31,000. 80.03% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

ADP has been the subject of several research analyst reports. Argus dropped their target price on shares of 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. BMO Capital Markets decreased their price target on shares of Automatic Data Processing from $281.00 to $234.00 and set a “market perform” rating on the stock in a report on Tuesday, April 7th. Morgan Stanley lowered their price objective on shares of Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a research report on Tuesday, April 28th. Jefferies Financial Group dropped their price objective on shares of Automatic Data Processing from $230.00 to $190.00 in a report on Thursday, April 30th. Finally, Stifel Nicolaus cut their target price on shares of Automatic Data Processing from $270.00 to $240.00 in a research report on Thursday, April 30th. One analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, nine have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and an average price target of $244.29.

Automatic Data Processing Stock Performance

Shares of NASDAQ ADP opened at $218.41 on Friday. The stock has a market cap of $87.31 billion, a price-to-earnings ratio of 20.37 and a beta of 0.84. 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, Inc. has a 1-year low of $188.16 and a 1-year high of $315.98. The stock’s 50-day moving average is $214.26 and its 200 day moving average is $228.17.

Automatic Data Processing (NASDAQ:ADP) last released its earnings results on Wednesday, April 29th. The business services provider reported $3.37 earnings per share for the quarter, topping analysts’ consensus estimates of $3.30 by $0.07. The company had revenue of $5.94 billion during the quarter, compared to the consensus estimate of $5.85 billion. Automatic Data Processing had a return on equity of 68.82% and a net margin of 20.12%.Automatic Data Processing’s quarterly revenue was up 7.0% compared to the same quarter last year. During the same quarter in the previous year, the company posted $3.06 EPS. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. On average, sell-side analysts anticipate that Automatic Data Processing, Inc. will post 11.07 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Stockholders of record on Friday, June 12th will be issued a $1.70 dividend. This represents a $6.80 dividend on an annualized basis and a dividend yield of 3.1%. The ex-dividend date is Friday, June 12th. Automatic Data Processing’s payout ratio is presently 63.43%.

Automatic Data Processing Profile

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.