Morningstar Investment Management LLC Purchases Shares of 5,820 Automatic Data Processing, Inc. $ADP

Morningstar Investment Management LLC purchased a new stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) in the second quarter, Holdings Channel reports. The firm purchased 5,820 shares of the business services provider’s stock, valued at approximately $1,795,000.

A number of other hedge funds and other institutional investors have also bought and sold shares of ADP. Brighton Jones LLC increased its stake in Automatic Data Processing by 92.1% during the 4th quarter. Brighton Jones LLC now owns 10,026 shares of the business services provider’s stock valued at $2,935,000 after purchasing an additional 4,808 shares in the last quarter. Bison Wealth LLC increased its stake in Automatic Data Processing by 22.8% during the 4th quarter. Bison Wealth LLC now owns 3,664 shares of the business services provider’s stock valued at $1,073,000 after purchasing an additional 681 shares in the last quarter. GAMMA Investing LLC increased its stake in Automatic Data Processing by 13.8% during the 1st quarter. GAMMA Investing LLC now owns 9,495 shares of the business services provider’s stock valued at $2,901,000 after purchasing an additional 1,148 shares in the last quarter. Wealth Enhancement Advisory Services LLC increased its stake in Automatic Data Processing by 8.9% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 250,836 shares of the business services provider’s stock valued at $76,638,000 after purchasing an additional 20,467 shares in the last quarter. Finally, Opal Wealth Advisors LLC bought a new stake in Automatic Data Processing during the 1st quarter valued at $59,000. Institutional investors own 80.03% of the company’s stock.

Analyst Ratings Changes

ADP has been the subject of several recent analyst reports. BMO Capital Markets upgraded shares of Automatic Data Processing to a “hold” rating and set a $340.00 target price for the company in a research note on Thursday, July 10th. Weiss Ratings reiterated a “buy (b)” rating on shares of Automatic Data Processing in a research note on Wednesday, October 8th. Morgan Stanley upped their target price on shares of Automatic Data Processing from $310.00 to $311.00 and gave the stock an “equal weight” rating in a research note on Thursday, July 31st. Dbs Bank upgraded shares of Automatic Data Processing to a “hold” rating in a research note on Thursday, August 21st. Finally, Stifel Nicolaus upped their target price on shares of Automatic Data Processing from $305.00 to $318.00 and gave the stock a “hold” rating in a research note on Thursday, July 31st. Three equities research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $316.70.

Insider Buying and Selling

In related news, VP Michael A. Bonarti sold 8,728 shares of the business’s stock in a transaction dated Tuesday, September 9th. The shares were sold at an average price of $298.43, for a total value of $2,604,697.04. Following the transaction, the vice president directly owned 80,531 shares of the company’s stock, valued at approximately $24,032,866.33. The trade was a 9.78% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, VP Joseph Desilva sold 4,614 shares of the business’s stock in a transaction dated Wednesday, September 3rd. The stock was sold at an average price of $296.57, for a total transaction of $1,368,373.98. Following the completion of the transaction, 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. Insiders sold 52,516 shares of company stock worth $15,632,410 in the last ninety days. Corporate insiders own 0.20% of the company’s stock.

Automatic Data Processing Price Performance

Shares of NASDAQ:ADP opened at $284.35 on Tuesday. The company’s 50-day moving average is $296.90 and its 200 day moving average is $302.93. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.05 and a current ratio of 1.05. The company has a market capitalization of $115.19 billion, a P/E ratio of 28.49, a price-to-earnings-growth ratio of 2.61 and a beta of 0.82. Automatic Data Processing, Inc. has a fifty-two week low of $272.62 and a fifty-two week high of $329.93.

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

Automatic Data Processing Announces Dividend

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

Automatic Data Processing Profile

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.