Automatic Data Processing, Inc. (NASDAQ:ADP) Given Consensus Recommendation of “Hold” by Brokerages

Automatic Data Processing, Inc. (NASDAQ:ADP) has received a consensus rating of “Hold” from the fifteen brokerages that are currently covering the stock, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell rating, ten have assigned a hold rating, three have given a buy rating and one has assigned a strong buy rating to the company. The average 1 year price target among brokers that have issued ratings on the stock in the last year is $249.00.

ADP has been the topic of several research reports. BMO Capital Markets lowered their target price on 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. UBS Group upped their price objective on Automatic Data Processing from $210.00 to $218.00 and gave the company a “neutral” rating in a research report on Thursday, April 30th. Jefferies Financial Group reduced their price objective on Automatic Data Processing from $230.00 to $190.00 in a research report on Thursday, April 30th. Robert W. Baird reduced their price objective on Automatic Data Processing from $300.00 to $270.00 in a research report on Thursday, April 30th. Finally, Citigroup reduced their price objective on Automatic Data Processing from $265.00 to $230.00 and set a “neutral” rating on the stock in a research report on Thursday, April 30th.

Insider Activity

In other news, VP Christopher D’ambrosio sold 543 shares of the company’s stock in a transaction on Monday, March 16th. The stock was sold at an average price of $208.45, for a total value of $113,188.35. Following the sale, the vice president directly owned 8,912 shares in the company, valued at $1,857,706.40. This represents a 5.74% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 0.20% of the stock is owned by corporate insiders.

Institutional Trading of Automatic Data Processing

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Coston McIsaac & Partners lifted its position in shares of Automatic Data Processing by 13.2% in the third quarter. Coston McIsaac & Partners now owns 335 shares of the business services provider’s stock valued at $98,000 after acquiring an additional 39 shares in the last quarter. Northcape Wealth Management LLC lifted its position in Automatic Data Processing by 0.6% during the fourth quarter. Northcape Wealth Management LLC now owns 6,577 shares of the business services provider’s stock worth $1,692,000 after buying an additional 39 shares during the period. Private Advisory Group LLC lifted its position in Automatic Data Processing by 4.8% during the third quarter. Private Advisory Group LLC now owns 867 shares of the business services provider’s stock worth $254,000 after buying an additional 40 shares during the period. Laird Norton Wetherby Wealth Management LLC lifted its position in Automatic Data Processing by 0.3% during the third quarter. Laird Norton Wetherby Wealth Management LLC now owns 15,179 shares of the business services provider’s stock worth $4,455,000 after buying an additional 41 shares during the period. Finally, Rathbones Group PLC lifted its position in Automatic Data Processing by 1.1% during the fourth quarter. Rathbones Group PLC now owns 4,027 shares of the business services provider’s stock worth $1,036,000 after buying an additional 42 shares during the period. 80.03% of the stock is currently owned by hedge funds and other institutional investors.

Automatic Data Processing Stock Down 0.3%

Automatic Data Processing stock opened at $217.65 on Thursday. The company has a debt-to-equity ratio of 0.63, a quick ratio of 1.04 and a current ratio of 1.04. The firm has a market capitalization of $87.00 billion, a price-to-earnings ratio of 20.30 and a beta of 0.83. Automatic Data Processing has a fifty-two week low of $188.16 and a fifty-two week high of $329.93. The stock’s fifty day moving average is $207.15 and its two-hundred day moving average is $231.24.

Automatic Data Processing (NASDAQ:ADP) last posted its earnings results on Wednesday, April 29th. The business services provider reported $3.37 earnings per share for the quarter, beating the consensus estimate of $3.30 by $0.07. The company had revenue of $5.94 billion for the quarter, compared to analyst estimates 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 revenue was up 7.0% compared to the same quarter last year. During the same quarter in the prior year, the company earned $3.06 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. Analysts predict that Automatic Data Processing will post 11.07 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

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

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.