David Foskett Sells 266 Shares of Automatic Data Processing (NASDAQ:ADP) Stock

Automatic Data Processing, Inc. (NASDAQ:ADP) 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 sale, the vice president directly owned 10,954 shares of the company’s stock, valued at $2,596,098. The trade was a 2.37% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink.

Automatic Data Processing Stock Down 0.5%

Shares of Automatic Data Processing stock opened at $225.53 on Wednesday. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 0.62. Automatic Data Processing, Inc. has a 12-month low of $223.44 and a 12-month high of $329.93. The company has a market cap of $90.81 billion, a P/E ratio of 21.69 and a beta of 0.85. The company’s fifty day simple moving average is $255.39 and its two-hundred day simple moving average is $274.17.

Automatic Data Processing (NASDAQ:ADP) last posted 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. The firm had revenue of $5.36 billion during the quarter, compared to analysts’ expectations of $5.34 billion. Automatic Data Processing had a net margin of 19.96% and a return on equity of 68.44%. The company’s quarterly revenue was up 6.2% compared to the same quarter last year. During the same period last year, the company posted $2.35 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Research analysts anticipate that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing announced that its board has authorized a stock buyback plan on Wednesday, January 14th that permits the company to buyback $6.00 billion in outstanding shares. This buyback authorization permits the business services provider to repurchase up to 5.8% of its shares through open market purchases. Shares buyback plans are generally an indication that the company’s board believes its stock is undervalued.

Automatic Data Processing Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Shareholders of record on Friday, March 13th will be given a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a yield of 3.0%. The ex-dividend date of this dividend is Friday, March 13th. Automatic Data Processing’s payout ratio is presently 65.38%.

Hedge Funds Weigh In On Automatic Data Processing

Several large investors have recently modified their holdings of the stock. Brighton Jones LLC raised its position in Automatic Data Processing by 92.1% in the 4th quarter. Brighton Jones LLC now owns 10,026 shares of the business services provider’s stock worth $2,935,000 after buying an additional 4,808 shares during the last quarter. Bison Wealth LLC grew its stake in shares of 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 acquiring an additional 681 shares during the period. Robertson Stephens Wealth Management LLC raised its holdings in shares of Automatic Data Processing by 7.0% during the second quarter. Robertson Stephens Wealth Management LLC now owns 2,256 shares of the business services provider’s stock valued at $699,000 after purchasing an additional 147 shares during the last quarter. Fifth Third Wealth Advisors LLC raised its holdings in shares of Automatic Data Processing by 9.7% during the second quarter. Fifth Third Wealth Advisors LLC now owns 6,712 shares of the business services provider’s stock valued at $2,070,000 after purchasing an additional 594 shares during the last quarter. Finally, Apollon Wealth Management LLC lifted its position in Automatic Data Processing by 3.7% during the second quarter. Apollon Wealth Management LLC now owns 15,009 shares of the business services provider’s stock valued at $4,629,000 after purchasing an additional 532 shares during the period. Hedge funds and other institutional investors own 80.03% of the company’s stock.

Key Automatic Data Processing News

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

• Positive Sentiment: ADP’s weekly National Employment Report showed U.S. private employers added about 6,500 jobs per week (four weeks ending Jan. 24), supporting continued demand for payroll and HCM services. This macro data can be constructive for ADP’s revenue mix and recurring revenue stream. ADP National Employment Report Preliminary Estimate for January 24, 2026
• Positive Sentiment: ADP’s most recent quarterly results beat on EPS and revenue, and management provided FY2026 EPS guidance in the ~10.09–11.01 range — a sign of continued profitable growth and clear near‑term visibility. That underlying beat/guidance supports longer‑term cash generation.
• Positive Sentiment: The board has authorized a large buyback (≈$6.0B) and ADP maintains a healthy dividend (quarterly $1.70 / ~3% yield), which support shareholder returns and can provide backstop to the share price.
• Neutral Sentiment: Large institutional ownership and recent reported position changes (MarketBeat summary) show ADP remains a widely held, index/ETF‑embedded large cap — this magnifies flows but also dampens volatility from retail noise.
• Negative Sentiment: Short interest rose in late January to ~8.9M shares (about 2.2% of float) with a ~3.2 days-to-cover — increased shorting can pressure the stock if negative catalysts continue or if sentiment weakens. (Note: a February short-interest entry in the feed appears erroneous and should be treated with caution.)
• Negative Sentiment: Recent insider selling by senior VPs (small blocks: 266 and 1,000 shares reported) and headlines calling out larger insider reductions drew attention — while sizes are modest vs. total insider holdings, such disclosures can amplify near‑term investor caution. Insider Selling: Automatic Data Processing (NASDAQ:ADP) VP Sells 266 Shares of Stock
• Negative Sentiment: Stifel trimmed its price target (from $280 to $270) and maintains a hold — analyst downgrades/target cuts can exert downward pressure on sentiment and make the stock less attractive for momentum buyers. Benzinga

Analyst Ratings Changes

A number of research firms have recently commented on ADP. Cantor Fitzgerald assumed coverage on Automatic Data Processing in a research report on Tuesday, January 27th. They set an “overweight” rating and a $306.00 price target on the stock. Citigroup lowered their price objective on Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating for the company in a research report on Thursday, January 29th. JPMorgan Chase & Co. reduced their target price on shares of Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating on the stock in a research report on Thursday, January 29th. Wells Fargo & Company decreased their price target on shares of Automatic Data Processing from $272.00 to $262.00 and set an “underweight” rating for the company in a research note on Thursday, January 29th. Finally, Morgan Stanley lowered their price target on shares of Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating for the company in a research report on Thursday, January 29th. Two equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, Automatic Data Processing currently has a consensus rating of “Hold” and an average target price of $290.00.

About Automatic Data Processing

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.