Nykredit A S Takes Position in Automatic Data Processing, Inc. $ADP

Nykredit A S bought a new stake in Automatic Data Processing, Inc. (NASDAQ:ADP) during the 2nd quarter, HoldingsChannel reports. The institutional investor bought 178,241 shares of the business services provider’s stock, valued at approximately $39,917,000.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in ADP. Thrive Wealth Management LLC lifted its position in shares of Automatic Data Processing by 3.5% during the 2nd quarter. Thrive Wealth Management LLC now owns 1,085 shares of the business services provider’s stock worth $243,000 after purchasing an additional 37 shares during the last quarter. B. Metzler seel. Sohn & Co. AG raised its stake in Automatic Data Processing by 17.0% in the second quarter. B. Metzler seel. Sohn & Co. AG now owns 55,122 shares of the business services provider’s stock valued at $12,345,000 after buying an additional 7,997 shares in the last quarter. PYA Waltman Capital LLC purchased a new stake in Automatic Data Processing during the 2nd quarter worth about $3,450,000. Natural Investments LLC boosted its position in shares of Automatic Data Processing by 19.5% during the 2nd quarter. Natural Investments LLC now owns 4,507 shares of the business services provider’s stock worth $1,009,000 after acquiring an additional 734 shares in the last quarter. Finally, Keeler Thomas Management LLC increased its holdings in shares of Automatic Data Processing by 20.1% in the 2nd quarter. Keeler Thomas Management LLC now owns 9,656 shares of the business services provider’s stock valued at $2,163,000 after acquiring an additional 1,615 shares during the last quarter. Institutional investors and hedge funds own 80.03% of the company’s stock.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on ADP. Citigroup raised their price objective on shares of Automatic Data Processing from $230.00 to $287.00 and gave the stock a “neutral” rating in a report on Thursday, July 30th. UBS Group raised their price objective on Automatic Data Processing from $260.00 to $270.00 and gave the stock a “neutral” rating in a report on Wednesday, July 22nd. Cantor Fitzgerald boosted their target price on Automatic Data Processing from $295.00 to $310.00 and gave the company an “overweight” rating in a report on Monday, August 3rd. Guggenheim lifted their price target on Automatic Data Processing from $270.00 to $300.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. Finally, Weiss Ratings upgraded shares of Automatic Data Processing from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, July 21st. Three analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $273.50.

Insiders Place Their Bets

In other news, VP David Kwon sold 798 shares of Automatic Data Processing stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $280.00, for a total transaction of $223,440.00. Following the completion of the transaction, the vice president owned 13,193 shares of the company’s stock, valued at $3,694,040. The trade was a 5.70% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Brian Michaud sold 120 shares of the firm’s stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $279.70, for a total transaction of $33,564.00. Following the transaction, the vice president owned 18,442 shares of the company’s stock, valued at $5,158,227.40. This trade represents a 0.65% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 33,142 shares of company stock worth $9,272,138. 0.20% of the stock is owned by corporate insiders.

Automatic Data Processing Price Performance

Shares of NASDAQ:ADP opened at $283.53 on Friday. Automatic Data Processing, Inc. has a 52 week low of $188.16 and a 52 week high of $302.68. The company has a 50-day moving average price of $261.29 and a 200 day moving average price of $229.88. The company has a market cap of $112.64 billion, a P/E ratio of 25.92, a PEG ratio of 2.55 and a beta of 0.82. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.82.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings data on Wednesday, July 29th. The business services provider reported $2.64 earnings per share for the quarter, topping analysts’ consensus estimates of $2.59 by $0.05. The firm had revenue of $5.47 billion for the quarter, compared to analyst estimates of $5.44 billion. Automatic Data Processing had a return on equity of 71.34% and a net margin of 20.11%.Automatic Data Processing’s quarterly revenue was up 6.8% on a year-over-year basis. During the same quarter in the prior year, the company posted $2.26 earnings per share. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. Research analysts predict that Automatic Data Processing, Inc. will post 12.26 earnings per share for the current year.

Automatic Data Processing Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Friday, September 11th will be issued a dividend of $1.70 per share. The ex-dividend date of this dividend is Friday, September 11th. This represents a $6.80 annualized dividend and a yield of 2.4%. Automatic Data Processing’s payout ratio is currently 62.16%.

Key Stories Impacting Automatic Data Processing

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

• Positive Sentiment: ADP’s August National Employment Report showed private-sector employment increased by 38,000 jobs, while base pay rose 3.2% and gross pay increased 4.7%. The report reinforces ADP’s role as a major source of employment and wage data and points to continued payroll growth, despite a moderating labor market. ADP National Employment Report
• Positive Sentiment: ADP continues to attract income-focused investors as a Dividend Aristocrat with more than 25 consecutive years of annual dividend increases. Its recurring payroll and human-resources revenue base may also appeal to investors seeking defensive exposure. Dividend Stocks Article
• Neutral Sentiment: Analysts and valuation commentary remain broadly balanced. ADP has lagged the broader technology sector over the past year, while one analysis described the shares as approximately 1% undervalued based on fresh labor data. The stock trades near the upper end of its 52-week range, which may limit near-term upside without stronger earnings catalysts. ADP Sector Performance Article
• Neutral Sentiment: Recent data showing Canadian workers benefiting from changing jobs highlights continued wage pressure and employment mobility, factors that could support demand for payroll and workforce-management services but also raise employer costs. Canadian Wage Data
• Negative Sentiment: August private payroll growth of 38,000 fell short of the 47,000 forecast and the prior month’s 44,000 increase. The slowdown could signal weaker hiring activity and slower growth in ADP’s payroll-processing volumes, although it may also increase expectations for easier Federal Reserve policy. ADP August Jobs Report
• Negative Sentiment: CEO Maria Black sold 29,810 shares worth approximately $8.4 million, reducing her direct stake by about 27%. The transaction was executed under a pre-arranged Rule 10b5-1 plan, which reduces its significance as a discretionary bearish signal but may still weigh modestly on sentiment. Maria Black Insider Sale

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.