Ashton Thomas Private Wealth LLC Boosts Stock Position in Automatic Data Processing, Inc. $ADP

Ashton Thomas Private Wealth LLC increased its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 20.3% during the third quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 13,648 shares of the business services provider’s stock after buying an additional 2,306 shares during the quarter. Ashton Thomas Private Wealth LLC’s holdings in Automatic Data Processing were worth $4,028,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Harbor Asset Planning Inc. purchased a new stake in shares of Automatic Data Processing in the second quarter valued at about $26,000. Mid American Wealth Advisory Group Inc. purchased a new position in Automatic Data Processing during the second quarter worth about $26,000. Howard Hughes Medical Institute acquired a new position in Automatic Data Processing in the 2nd quarter valued at about $27,000. Solstein Capital LLC purchased a new stake in shares of Automatic Data Processing in the 2nd quarter valued at approximately $28,000. Finally, Westside Investment Management Inc. grew its stake in shares of Automatic Data Processing by 80.0% in the 2nd quarter. Westside Investment Management Inc. now owns 90 shares of the business services provider’s stock valued at $28,000 after buying an additional 40 shares during the period. Institutional investors and hedge funds own 80.03% of the company’s stock.

Automatic Data Processing Stock Performance

Shares of Automatic Data Processing stock opened at $234.67 on Thursday. The stock has a market capitalization of $94.49 billion, a price-to-earnings ratio of 22.56 and a beta of 0.85. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.03 and a quick ratio of 1.03. The business has a 50-day moving average of $257.49 and a 200 day moving average of $276.49. Automatic Data Processing, Inc. has a 12 month low of $230.78 and a 12 month high of $329.93.

Automatic Data Processing (NASDAQ:ADP) last issued its quarterly earnings results on Wednesday, January 28th. The business services provider reported $2.62 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.57 by $0.05. Automatic Data Processing had a net margin of 19.96% and a return on equity of 68.44%. The business had revenue of $5.36 billion for the quarter, compared to analysts’ expectations of $5.34 billion. During the same quarter in the prior year, the company earned $2.35 earnings per share. The business’s quarterly revenue was up 6.2% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. As a group, sell-side analysts forecast that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.

Automatic Data Processing declared that its Board of Directors has initiated a share repurchase program on Wednesday, January 14th that permits the company to repurchase $6.00 billion in shares. This repurchase authorization permits the business services provider to reacquire up to 5.8% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s leadership believes its shares are undervalued.

Automatic Data Processing Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, April 1st. Shareholders of record on Friday, March 13th will be given a $1.70 dividend. This represents a $6.80 annualized dividend and a yield of 2.9%. The ex-dividend date of this dividend is Friday, March 13th. Automatic Data Processing’s dividend payout ratio (DPR) is currently 65.38%.

Insider Buying and Selling at Automatic Data Processing

In related news, VP David Kwon sold 900 shares of the business’s stock in a transaction on Tuesday, January 6th. The stock was sold at an average price of $260.00, for a total transaction of $234,000.00. Following the completion of the transaction, the vice president directly owned 11,993 shares of the company’s stock, valued at $3,118,180. The trade was a 6.98% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, VP Christopher D’ambrosio sold 543 shares of the stock in a transaction dated Tuesday, January 13th. The shares were sold at an average price of $262.29, for a total value of $142,423.47. Following the completion of the sale, the vice president directly owned 9,998 shares in the company, valued at $2,622,375.42. This represents a 5.15% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 2,249 shares of company stock valued at $589,852. Insiders own 0.20% of the company’s stock.

Analysts Set New Price Targets

Several analysts have recently commented on the stock. Morgan Stanley reduced their price target on shares of Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a research report on Thursday, January 29th. Weiss Ratings reissued a “hold (c+)” rating on shares of Automatic Data Processing in a research note on Monday, December 29th. Cantor Fitzgerald assumed coverage on Automatic Data Processing in a research note on Tuesday, January 27th. They issued an “overweight” rating and a $306.00 price target on the stock. Wells Fargo & Company lowered their price target on Automatic Data Processing from $272.00 to $262.00 and set an “underweight” rating for the company in a report on Thursday, January 29th. Finally, Stifel Nicolaus reduced their price objective on shares of Automatic Data Processing from $290.00 to $280.00 and set a “hold” rating on the stock in a report on Thursday, January 29th. Two equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $290.83.

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.