Richard Bernstein Advisors LLC Lowers Stock Holdings in Automatic Data Processing, Inc. $ADP

Richard Bernstein Advisors LLC lessened its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 51.3% during the third quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm owned 4,825 shares of the business services provider’s stock after selling 5,075 shares during the quarter. Richard Bernstein Advisors LLC’s holdings in Automatic Data Processing were worth $1,416,000 at the end of the most recent quarter.

Several other hedge funds have also modified their holdings of ADP. Howard Hughes Medical Institute acquired a new position in shares of Automatic Data Processing in the 2nd quarter valued at about $27,000. TruNorth Capital Management LLC acquired a new position in Automatic Data Processing in the 3rd quarter worth $28,000. Cloud Capital Management LLC acquired a new position in shares of Automatic Data Processing in the third quarter worth about $29,000. Y.D. More Investments Ltd purchased a new position in shares of Automatic Data Processing during the 3rd quarter valued at approximately $32,000. Finally, AlphaQuest LLC bought a new position in Automatic Data Processing during the third quarter worth $38,000. 80.03% of the stock is owned by institutional investors and hedge funds.

Automatic Data Processing Stock Down 2.5%

Shares of ADP opened at $217.37 on Wednesday. The company has a 50-day simple moving average of $237.35 and a 200-day simple moving average of $261.62. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.03 and a current ratio of 1.03. The firm has a market capitalization of $87.52 billion, a P/E ratio of 20.90 and a beta of 0.86. Automatic Data Processing, Inc. has a 52 week low of $203.26 and a 52 week high of $329.93.

Automatic Data Processing (NASDAQ:ADP) last posted 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. The firm had revenue of $5.36 billion during the quarter, compared to analyst estimates 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 quarter in the prior year, the business posted $2.35 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. On average, equities research analysts expect that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.

Automatic Data Processing declared that its board has initiated a share buyback plan on Wednesday, January 14th that allows the company to repurchase $6.00 billion in shares. This repurchase authorization allows the business services provider to purchase up to 5.8% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company’s leadership believes its stock is undervalued.

Automatic Data Processing Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Stockholders of record on Friday, March 13th will be paid a $1.70 dividend. The ex-dividend date is Friday, March 13th. This represents a $6.80 dividend on an annualized basis and a dividend yield of 3.1%. Automatic Data Processing’s payout ratio is 65.38%.

Insiders Place Their Bets

In other Automatic Data Processing news, VP Brian L. Michaud sold 1,000 shares of Automatic Data Processing stock in a transaction on Friday, February 6th. The stock was sold at an average price of $234.18, for a total value of $234,180.00. Following the completion of the transaction, the vice president owned 15,310 shares in the company, valued at approximately $3,585,295.80. The trade was a 6.13% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, 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 value of $234,000.00. Following the completion of the transaction, the vice president directly owned 11,993 shares in the company, valued at approximately $3,118,180. This represents a 6.98% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 3,515 shares of company stock valued at $887,074 over the last quarter. 0.20% of the stock is owned by insiders.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the stock. Cantor Fitzgerald initiated coverage on shares of Automatic Data Processing in a research note on Tuesday, January 27th. They set an “overweight” rating and a $306.00 target price for the company. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Automatic Data Processing in a research note on Monday, December 29th. JPMorgan Chase & Co. decreased their target price on Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating on the stock in a report on Thursday, January 29th. Morgan Stanley cut their target price on shares of Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a research note on Thursday, January 29th. Finally, Wells Fargo & Company reduced 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 report on Thursday, January 29th. Two investment 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’s stock. According to MarketBeat.com, Automatic Data Processing currently has an average rating of “Hold” and a consensus price target of $290.00.

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.