Munich Reinsurance Co Stock Corp in Munich Has $54.25 Million Stock Holdings in Automatic Data Processing, Inc. $ADP

Munich Reinsurance Co Stock Corp in Munich boosted its position in Automatic Data Processing, Inc. (NASDAQ:ADP) by 42.6% during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 242,250 shares of the business services provider’s stock after acquiring an additional 72,388 shares during the period. Munich Reinsurance Co Stock Corp in Munich’s holdings in Automatic Data Processing were worth $54,252,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in ADP. Imprint Wealth LLC bought a new position in shares of Automatic Data Processing in the 3rd quarter valued at about $25,000. Cornerstone Financial Management LLC bought a new stake in shares of Automatic Data Processing during the fourth quarter worth approximately $26,000. Bard Associates Inc. acquired a new position in Automatic Data Processing in the fourth quarter valued at approximately $28,000. Prosperity Bancshares Inc acquired a new position in Automatic Data Processing in the fourth quarter valued at approximately $33,000. Finally, Wilkerson Advisory Group LLC bought a new position in Automatic Data Processing in the fourth quarter valued at approximately $36,000. 80.03% of the stock is currently owned by institutional investors and hedge funds.

More Automatic Data Processing News

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

• Positive Sentiment: ADP declared a quarterly dividend of $1.70 per share, equivalent to $6.80 annually and a yield of approximately 2.4%. The payment reinforces the company’s appeal to income-focused investors and its long record of annual dividend increases. Dividend announcement article
• Neutral Sentiment: ADP’s August employment report showed private-sector payrolls increased by 38,000, while base pay rose 3.2% and gross pay grew 4.7%. The data highlights ADP’s influence as a labor-market information provider, but also points to a moderating hiring environment. ADP August employment report
• Neutral Sentiment: One valuation analysis described ADP as roughly 1% undervalued based on recent labor-market data, while noting that the stock has underperformed the broader technology sector. The limited valuation discount suggests investors may need stronger earnings growth to drive further upside. ADP valuation analysis
• Negative Sentiment: A Seeking Alpha analysis downgraded ADP, arguing that recent operating and market tailwinds are already reflected in the share price. The view adds valuation pressure as ADP trades at a relatively elevated earnings multiple. ADP downgrade analysis
• Negative Sentiment: CEO Maria Black sold 29,810 shares worth about $8.4 million, reducing her direct ownership by roughly 27%. Vice President Joseph Desilva separately sold 631 shares for approximately $178,000. Both transactions were executed under pre-arranged Rule 10b5-1 plans, making them less significant as discretionary bearish signals, though the sales may still weigh on sentiment. ADP insider sales
• Negative Sentiment: August private payroll growth of 38,000 missed the 47,000 forecast and slowed from 44,000 in July. A weaker hiring backdrop could reduce growth in payroll-processing volumes, although lower employment growth may increase expectations for easier Federal Reserve policy. ADP private payrolls report

Insider Activity at Automatic Data Processing

In other news, CEO Maria Black sold 29,810 shares of the 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 completion of the sale, the chief executive officer owned 80,624 shares of the company’s stock, valued at $22,648,087.84. This represents a 26.99% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP David Kwon sold 798 shares of the business’s stock in a transaction on Thursday, August 20th. The shares were sold at an average price of $280.00, for a total transaction of $223,440.00. Following the completion of the sale, the vice president directly owned 13,193 shares in the company, valued at $3,694,040. This represents a 5.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 33,773 shares of company stock valued at $9,450,629. Corporate insiders own 0.20% of the company’s stock.

Analyst Ratings Changes

A number of research firms have commented on ADP. Cantor Fitzgerald lifted their target price on shares of Automatic Data Processing from $295.00 to $310.00 and gave the stock an “overweight” rating in a report on Monday, August 3rd. UBS Group increased their price target on Automatic Data Processing from $260.00 to $270.00 and gave the company a “neutral” rating in a research note on Wednesday, July 22nd. Guggenheim raised their price target on Automatic Data Processing from $270.00 to $300.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. TD Cowen lifted their price objective on Automatic Data Processing from $216.00 to $223.00 and gave the stock a “hold” rating in a research note on Monday, July 6th. Finally, Stifel Nicolaus upped their price objective on Automatic Data Processing from $260.00 to $285.00 and gave the company a “hold” rating in a report on Thursday, July 30th. Three equities research analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $273.50.

Automatic Data Processing Stock Performance

ADP stock opened at $277.62 on Friday. Automatic Data Processing, Inc. has a 1-year low of $188.16 and a 1-year high of $302.68. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.82. The firm has a market cap of $110.29 billion, a PE ratio of 25.38, a P/E/G ratio of 2.57 and a beta of 0.82. The business’s 50-day moving average price is $262.37 and its two-hundred day moving average price is $230.21.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings results on Wednesday, July 29th. The business services provider reported $2.64 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.59 by $0.05. The company had revenue of $5.47 billion during the quarter, compared to the consensus estimate of $5.44 billion. Automatic Data Processing had a return on equity of 71.34% and a net margin of 20.11%.The company’s revenue for the quarter was up 6.8% compared to the same quarter last year. During the same period in the prior year, the company earned $2.26 earnings per share. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. As a group, research analysts forecast that Automatic Data Processing, Inc. will post 12.26 earnings per share for the current year.

Automatic Data Processing Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Friday, September 11th will be paid a dividend of $1.70 per share. This represents a $6.80 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date of this dividend is Friday, September 11th. Automatic Data Processing’s dividend payout ratio is presently 62.16%.

Automatic Data Processing Company 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.