Handelsbanken Fonder AB Sells 3,758 Shares of Automatic Data Processing, Inc. $ADP

Handelsbanken Fonder AB cut its position in Automatic Data Processing, Inc. (NASDAQ:ADP) by 2.3% in the 3rd quarter, HoldingsChannel.com reports. The firm owned 158,277 shares of the business services provider’s stock after selling 3,758 shares during the period. Handelsbanken Fonder AB’s holdings in Automatic Data Processing were worth $46,454,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds and other institutional investors also recently modified their holdings of the company. Brighton Jones LLC boosted its position in shares of Automatic Data Processing by 92.1% during the 4th quarter. Brighton Jones LLC now owns 10,026 shares of the business services provider’s stock worth $2,935,000 after acquiring an additional 4,808 shares in the last quarter. Bison Wealth LLC lifted its stake in Automatic Data Processing by 22.8% during 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. boosted its holdings in shares of 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 in the last quarter. Y Intercept Hong Kong Ltd bought a new position in shares of Automatic Data Processing in the 2nd quarter valued at $814,000. Finally, World Investment Advisors lifted its position in shares of Automatic Data Processing by 14.3% during the 2nd quarter. World Investment Advisors now owns 10,157 shares of the business services provider’s stock worth $3,132,000 after buying an additional 1,274 shares during the last quarter. Institutional investors and hedge funds own 80.03% of the company’s stock.

Wall Street Analysts Forecast Growth

Several brokerages recently commented on ADP. JPMorgan Chase & Co. dropped their price objective on shares of Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating for the company in a research note on Thursday, January 29th. Wells Fargo & Company lowered 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 report on Thursday, January 29th. Cantor Fitzgerald began coverage on Automatic Data Processing in a report on Tuesday, January 27th. They set an “overweight” rating and a $306.00 price objective on the stock. Citigroup reduced their price objective on Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating on the stock in a research report on Thursday, January 29th. Finally, Stifel Nicolaus dropped their target price on Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating for the company in a research report on Monday, February 9th. Two investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $290.00.

Automatic Data Processing Stock Performance

Shares of ADP opened at $214.36 on Friday. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 0.62. The firm’s fifty day simple moving average is $242.81 and its two-hundred day simple moving average is $266.32. Automatic Data Processing, Inc. has a 12 month low of $203.26 and a 12 month high of $329.93. The stock has a market capitalization of $86.31 billion, a P/E ratio of 20.61 and a beta of 0.85.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings data 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 company had revenue of $5.36 billion during the quarter, compared to the consensus estimate 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% on a year-over-year basis. During the same quarter last year, the firm posted $2.35 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. As a group, analysts predict that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Friday, March 13th will be given a $1.70 dividend. The ex-dividend date of this dividend is Friday, March 13th. This represents a $6.80 annualized dividend and a yield of 3.2%. Automatic Data Processing’s dividend payout ratio (DPR) is presently 65.38%.

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

Insider Buying and Selling

In other news, VP David Foskett sold 266 shares of the firm’s stock in a transaction that occurred 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 transaction, the vice president owned 10,954 shares in the company, valued at $2,596,098. This trade represents a 2.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP David Kwon sold 900 shares of the firm’s stock in a transaction on Tuesday, January 6th. The shares were sold at an average price of $260.00, for a total value of $234,000.00. Following the transaction, the vice president owned 11,993 shares in the company, valued at approximately $3,118,180. This trade represents a 6.98% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 3,515 shares of company stock worth $887,074 over the last 90 days. Company insiders own 0.20% of the company’s stock.

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.