Investors Buy Automatic Data Processing (ADP) on Weakness
Traders purchased shares of Automatic Data Processing (NASDAQ:ADP) on weakness during trading hours on Thursday. $176.98 million flowed into the stock on the tick-up and $80.39 million flowed out of the stock on the tick-down, for a money net flow of $96.59 million into the stock. Of all equities tracked, Automatic Data Processing had the 18th highest net in-flow for the day. Automatic Data Processing traded down ($0.43) for the day and closed at $143.18
ADP has been the topic of several research analyst reports. Jefferies Financial Group initiated coverage on Automatic Data Processing in a research note on Monday, October 1st. They set a “hold” rating and a $160.00 target price on the stock. Zacks Investment Research cut Automatic Data Processing from a “hold” rating to a “sell” rating in a research note on Thursday, October 4th. Moffett Nathanson initiated coverage on Automatic Data Processing in a research note on Thursday, October 4th. They issued a “buy” rating and a $180.00 price target on the stock. Credit Suisse Group initiated coverage on Automatic Data Processing in a research note on Friday, August 10th. They issued an “outperform” rating and a $160.00 price target on the stock. Finally, Argus upped their price target on Automatic Data Processing from $145.00 to $150.00 and gave the stock a “buy” rating in a research note on Monday, August 13th. Eight equities research analysts have rated the stock with a hold rating, ten have given a buy rating and one has given a strong buy rating to the stock. The company presently has a consensus rating of “Buy” and a consensus target price of $151.19.
The company has a market capitalization of $62.67 billion, a price-to-earnings ratio of 32.03, a price-to-earnings-growth ratio of 2.17 and a beta of 0.89. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.03 and a quick ratio of 1.03.
The business also recently announced a quarterly dividend, which will be paid on Tuesday, January 1st. Stockholders of record on Friday, December 14th will be paid a $0.79 dividend. This is a boost from Automatic Data Processing’s previous quarterly dividend of $0.69. This represents a $3.16 dividend on an annualized basis and a dividend yield of 2.27%. The ex-dividend date of this dividend is Thursday, December 13th. Automatic Data Processing’s dividend payout ratio is currently 63.45%.
In other news, CEO Carlos A. Rodriguez sold 101,620 shares of the stock in a transaction on Thursday, November 8th. The stock was sold at an average price of $147.46, for a total value of $14,984,885.20. Following the sale, the chief executive officer now directly owns 199,405 shares of the company’s stock, valued at $29,404,261.30. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Carlos A. Rodriguez sold 62,228 shares of the stock in a transaction on Friday, November 16th. The stock was sold at an average price of $145.59, for a total value of $9,059,774.52. Following the completion of the sale, the chief executive officer now directly owns 137,177 shares in the company, valued at $19,971,599.43. The disclosure for this sale can be found here. Over the last three months, insiders sold 172,948 shares of company stock worth $25,409,660. Insiders own 0.33% of the company’s stock.
Several large investors have recently made changes to their positions in ADP. Atlantic Trust LLC bought a new position in shares of Automatic Data Processing during the second quarter valued at $104,000. Integrated Investment Consultants LLC bought a new position in shares of Automatic Data Processing during the second quarter valued at $111,000. Fort L.P. bought a new position in shares of Automatic Data Processing during the second quarter valued at $119,000. Willingdon Wealth Management lifted its holdings in shares of Automatic Data Processing by 328.5% during the third quarter. Willingdon Wealth Management now owns 857 shares of the business services provider’s stock valued at $129,000 after purchasing an additional 657 shares in the last quarter. Finally, Almanack Investment Partners LLC. bought a new position in shares of Automatic Data Processing during the third quarter valued at $136,000. 77.93% of the stock is currently owned by hedge funds and other institutional investors.
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Automatic Data Processing Company Profile (NASDAQ:ADP)
Automatic Data Processing, Inc provides business process outsourcing services worldwide. It operates through two segments, Employer Services and Professional Employer Organization (PEO) Services. The Employer Services segment offers various human resources (HR) outsourcing and technology-based human capital management solutions.
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