Automatic Data Processing (NASDAQ:ADP) Given New $280.00 Price Target at Stifel Nicolaus

Automatic Data Processing (NASDAQ:ADP) had its price target dropped by equities research analysts at Stifel Nicolaus from $290.00 to $280.00 in a note issued to investors on Thursday,Benzinga reports. The brokerage presently has a “hold” rating on the business services provider’s stock. Stifel Nicolaus’ target price points to a potential upside of 13.09% from the stock’s current price.

Other research analysts also recently issued reports about the stock. Weiss Ratings restated a “hold (c+)” rating on shares of Automatic Data Processing in a research note on Monday, December 29th. Citigroup initiated coverage on Automatic Data Processing in a report on Thursday, October 23rd. They set a “neutral” rating and a $303.00 price objective on the stock. Jefferies Financial Group reiterated an “underperform” rating and set a $230.00 target price (down from $245.00) on shares of Automatic Data Processing in a research note on Tuesday, December 16th. JPMorgan Chase & Co. dropped their price target on shares of Automatic Data Processing from $340.00 to $295.00 and set an “underweight” rating for the company in a research note on Thursday, October 30th. Finally, Cantor Fitzgerald began coverage on shares of Automatic Data Processing in a report on Tuesday. They issued an “overweight” rating and a $306.00 price target on the stock. Three research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $302.69.

Automatic Data Processing Stock Down 1.2%

Shares of NASDAQ:ADP traded down $3.10 during midday trading on Thursday, hitting $247.59. 887,336 shares of the company’s stock traded hands, compared to its average volume of 2,145,235. The firm’s fifty day moving average price is $258.55 and its two-hundred day moving average price is $278.55. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.05 and a current ratio of 1.05. Automatic Data Processing has a twelve month low of $247.18 and a twelve month high of $329.93. The company has a market cap of $100.14 billion, a PE ratio of 24.44 and a beta of 0.86.

Automatic Data Processing (NASDAQ:ADP) last released its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 EPS for the quarter, beating the consensus estimate of $2.57 by $0.05. Automatic Data Processing had a return on equity of 70.63% and a net margin of 19.79%.The company had revenue of $5.36 billion for the quarter, compared to analyst estimates of $5.34 billion. During the same period last year, the company posted $2.35 earnings per share. The firm’s revenue was up 6.2% compared to the same quarter last year. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. On average, equities research analysts anticipate that Automatic Data Processing will post 9.93 EPS for the current fiscal year.

Automatic Data Processing declared that its board has initiated a share buyback program on Wednesday, January 14th that allows the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization allows the business services provider to repurchase up to 5.8% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s board believes its stock is undervalued.

Insider Transactions at Automatic Data Processing

In other Automatic Data Processing news, VP Christopher D’ambrosio sold 543 shares of Automatic Data Processing stock in a transaction that occurred on Tuesday, January 13th. The stock was sold at an average price of $262.29, for a total value of $142,423.47. Following the completion of the transaction, the vice president directly owned 9,998 shares in the company, valued at $2,622,375.42. The trade was a 5.15% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, VP David Kwon sold 806 shares of the company’s stock in a transaction that occurred on Monday, January 12th. The shares were sold at an average price of $264.80, for a total value of $213,428.80. Following the transaction, the vice president directly owned 11,187 shares of the company’s stock, valued at $2,962,317.60. This trade represents a 6.72% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 2,249 shares of company stock valued at $589,852. Insiders own 0.20% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in ADP. Imprint Wealth LLC acquired a new position in shares of Automatic Data Processing during the third quarter valued at $25,000. Harbor Asset Planning Inc. acquired a new stake in shares of Automatic Data Processing in the 2nd quarter worth about $26,000. Mid American Wealth Advisory Group Inc. acquired a new stake in shares of Automatic Data Processing in the 2nd quarter worth about $26,000. Howard Hughes Medical Institute bought a new stake in Automatic Data Processing in the 2nd quarter valued at about $27,000. Finally, Solstein Capital LLC bought a new stake in Automatic Data Processing in the 2nd quarter valued at about $28,000. Institutional investors and hedge funds own 80.03% of the company’s stock.

More Automatic Data Processing News

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

• Positive Sentiment: Q2 results beat expectations — EPS $2.62 vs. consensus ~$2.57 and revenue $5.36B (+6.2% Y/Y); management raised FY2026 guidance. This fundamental beat and guidance lift are the primary positive catalysts. ADP boosts guidance after Q2 earnings, revenue beat on strong Employer Services performance
• Positive Sentiment: Management reiterated an upbeat outlook on the earnings call and emphasized a sizable buyback program (authorized $6B in January) — supports EPS accretion and signals management confidence in the share base. ADP Earnings Call Highlights Upbeat Outlook and Buyback
• Positive Sentiment: Product/AI innovation: ADP launched ADP Assist AI agents to automate HR and payroll tasks — strengthens product differentiation and addressable market for subscription services. ADP Accelerates AI Leadership with Launch of New AI Agents Designed to Solve Workforce Challenges
• Positive Sentiment: Sell-side interest: Cantor Fitzgerald initiated coverage with an overweight call, which can help buy-side attention and liquidity. Cantor Fitzgerald initiates coverage of Automatic Data Processing (ADP) with overweight recommendation
• Neutral Sentiment: Earnings materials and call transcript available for deeper read — management provided slides, a transcript and detailed metrics that investors can model into FY2026 EPS range of ~10.09–11.01. Automatic Data Processing Inc (ADP) Q2 2026 Earnings Call Highlights
• Negative Sentiment: Hiring weakness / valuation concerns: commentary that client headcount growth is soft and a recent analysis flagged that ADP still looks pricey given macro headwinds — these factors likely explain selling pressure despite the beat. Automatic Data Processing: Still Expensive Given Macro Headwinds

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.