Capital Investment Advisors LLC Acquires 4,181 Shares of Automatic Data Processing, Inc. $ADP

Capital Investment Advisors LLC boosted its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP) by 46.6% during the fourth quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 13,158 shares of the business services provider’s stock after acquiring an additional 4,181 shares during the period. Capital Investment Advisors LLC’s holdings in Automatic Data Processing were worth $3,385,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds have also added to or reduced their stakes in ADP. Dakota Wealth Management lifted its stake in shares of Automatic Data Processing by 37.8% during the 4th quarter. Dakota Wealth Management now owns 3,671 shares of the business services provider’s stock worth $944,000 after buying an additional 1,007 shares during the last quarter. Trust Point Inc. grew its stake in Automatic Data Processing by 6.1% in the 4th quarter. Trust Point Inc. now owns 1,796 shares of the business services provider’s stock valued at $462,000 after buying an additional 104 shares during the last quarter. Global X Japan Co. Ltd. raised its holdings in Automatic Data Processing by 256.6% in the 4th quarter. Global X Japan Co. Ltd. now owns 25,121 shares of the business services provider’s stock valued at $6,462,000 after acquiring an additional 18,077 shares during the period. CoreCap Advisors LLC lifted its position in Automatic Data Processing by 94.2% during the fourth quarter. CoreCap Advisors LLC now owns 1,303 shares of the business services provider’s stock worth $335,000 after acquiring an additional 632 shares during the last quarter. Finally, Mather Group LLC. lifted its position in Automatic Data Processing by 6.0% during the fourth quarter. Mather Group LLC. now owns 16,263 shares of the business services provider’s stock worth $4,183,000 after acquiring an additional 927 shares during the last quarter. Institutional investors and hedge funds own 80.03% of the company’s stock.

Analyst Upgrades and Downgrades

ADP has been the topic of several research reports. Citigroup decreased their target price on Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating on the stock in a research report on Thursday, January 29th. Weiss Ratings reissued a “hold (c+)” rating on shares of Automatic Data Processing in a report on Monday, December 29th. Wells Fargo & Company reduced their price target on Automatic Data Processing from $262.00 to $214.00 and set an “underweight” rating for the company in a research note on Friday. Morgan Stanley decreased their price objective on Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a report on Thursday, January 29th. Finally, Stifel Nicolaus lowered their price objective on Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating on the stock in a research report on Monday, February 9th. One equities research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, Automatic Data Processing has a consensus rating of “Hold” and a consensus target price of $284.77.

Automatic Data Processing Stock Performance

Shares of NASDAQ:ADP opened at $201.25 on Friday. The company’s 50 day moving average price is $223.75 and its two-hundred day moving average price is $253.38. Automatic Data Processing, Inc. has a 12-month low of $198.59 and a 12-month high of $329.93. The firm has a market cap of $81.03 billion, a PE ratio of 19.35 and a beta of 0.86. The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 0.62.

Automatic Data Processing (NASDAQ:ADP) last announced its earnings results on Wednesday, January 28th. The business services provider reported $2.62 EPS for the quarter, topping the consensus estimate of $2.57 by $0.05. Automatic Data Processing had a net margin of 19.96% and a return on equity of 68.44%. The company had revenue of $5.36 billion for the quarter, compared to analysts’ expectations of $5.34 billion. During the same period last year, the firm earned $2.35 earnings per share. The business’s revenue for the quarter was up 6.2% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Equities research analysts predict 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 disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Shareholders of record on Friday, March 13th will be issued a $1.70 dividend. The ex-dividend date of this dividend is Friday, March 13th. This represents a $6.80 annualized dividend and a yield of 3.4%. Automatic Data Processing’s payout ratio is currently 65.38%.

Automatic Data Processing declared that its Board of Directors has approved a stock repurchase plan on Wednesday, January 14th that permits the company to repurchase $6.00 billion in shares. This repurchase authorization permits the business services provider to purchase up to 5.8% of its stock through open market purchases. Stock repurchase plans are often a sign that the company’s management believes its shares are undervalued.

Insider Buying and Selling

In other news, VP David Kwon sold 806 shares of the company’s stock in a transaction on Monday, January 12th. The stock was sold at an average price of $264.80, for a total transaction of $213,428.80. Following the completion of the sale, the vice president directly owned 11,187 shares in the company, valued at approximately $2,962,317.60. This represents a 6.72% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, VP David Foskett sold 266 shares of the firm’s stock in a transaction on Thursday, February 5th. The stock was sold at an average price of $237.00, for a total value of $63,042.00. Following the completion of the transaction, the vice president owned 10,954 shares in the company, valued at $2,596,098. The trade was a 2.37% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 4,058 shares of company stock valued at $1,000,263. 0.20% of the stock is owned by insiders.

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.