Automatic Data Processing (NASDAQ:ADP) Stock Price Expected to Rise, UBS Group Analyst Says

Automatic Data Processing (NASDAQ:ADP) had its target price upped by UBS Group from $260.00 to $270.00 in a report released on Wednesday,Benzinga reports. The brokerage currently has a “neutral” rating on the business services provider’s stock. UBS Group’s price objective suggests a potential upside of 11.17% from the stock’s previous close.

Several other equities research analysts also recently commented on the stock. Weiss Ratings reissued a “hold (c-)” rating on shares of Automatic Data Processing in a research report on Tuesday, July 7th. Argus cut their price target on Automatic Data Processing from $300.00 to $240.00 and set a “buy” rating for the company in a research note on Tuesday, May 5th. Jefferies Financial Group decreased their price objective on Automatic Data Processing from $230.00 to $190.00 in a report on Thursday, April 30th. Guggenheim reissued a “buy” rating and issued a $270.00 price objective on shares of Automatic Data Processing in a research note on Tuesday. Finally, TD Cowen lifted their target price on Automatic Data Processing from $216.00 to $223.00 and gave the company a “hold” rating in a research report on Monday, July 6th. Three analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Automatic Data Processing presently has an average rating of “Hold” and a consensus target price of $256.00.

Automatic Data Processing Price Performance

Shares of ADP opened at $242.88 on Wednesday. The business’s fifty day moving average is $230.90 and its 200 day moving average is $224.34. Automatic Data Processing has a 12-month low of $188.16 and a 12-month high of $315.98. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.63. The stock has a market cap of $97.09 billion, a P/E ratio of 22.66 and a beta of 0.83.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings results on Wednesday, April 29th. The business services provider reported $3.37 EPS for the quarter, beating analysts’ consensus estimates of $3.30 by $0.07. Automatic Data Processing had a net margin of 20.12% and a return on equity of 68.82%. The business had revenue of $5.94 billion during the quarter, compared to analyst estimates of $5.85 billion. During the same quarter in the previous year, the business posted $3.06 EPS. Automatic Data Processing’s quarterly revenue was up 7.0% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. Sell-side analysts anticipate that Automatic Data Processing will post 11.08 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in ADP. Brighton Jones LLC increased its position in shares of Automatic Data Processing by 92.1% during the fourth quarter. Brighton Jones LLC now owns 10,026 shares of the business services provider’s stock valued at $2,935,000 after acquiring an additional 4,808 shares during the last quarter. Bison Wealth LLC boosted its position in Automatic Data Processing by 22.8% in the fourth quarter. Bison Wealth LLC now owns 3,664 shares of the business services provider’s stock worth $1,073,000 after purchasing an additional 681 shares during the last quarter. Schnieders Capital Management LLC. grew its stake in Automatic Data Processing by 21.8% in the 2nd quarter. Schnieders Capital Management LLC. now owns 1,259 shares of the business services provider’s stock valued at $388,000 after purchasing an additional 225 shares during the period. Osterweis Capital Management Inc. purchased a new stake in shares of Automatic Data Processing during the 2nd quarter valued at $108,000. Finally, Diversify Advisory Services LLC increased its position in shares of Automatic Data Processing by 17.5% during the 2nd quarter. Diversify Advisory Services LLC now owns 5,477 shares of the business services provider’s stock valued at $1,641,000 after purchasing an additional 815 shares during the last quarter. 80.03% of the stock is currently owned by hedge funds and other institutional investors.

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.