5,462 Shares in Automatic Data Processing, Inc. $ADP Bought by Magnetar Financial LLC

Magnetar Financial LLC acquired a new position in Automatic Data Processing, Inc. (NASDAQ:ADP) in the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund acquired 5,462 shares of the business services provider’s stock, valued at approximately $1,603,000.

A number of other institutional investors and hedge funds also recently modified their holdings of the business. PGIM Custom Harvest LLC boosted its holdings in shares of Automatic Data Processing by 4.9% in the 2nd quarter. PGIM Custom Harvest LLC now owns 722 shares of the business services provider’s stock valued at $223,000 after buying an additional 34 shares during the period. Heritage Wealth Management Inc. lifted its holdings in Automatic Data Processing by 1.1% in the second quarter. Heritage Wealth Management Inc. now owns 3,340 shares of the business services provider’s stock worth $1,030,000 after acquiring an additional 35 shares during the last quarter. Fairvoy Private Wealth LLC lifted its holdings in Automatic Data Processing by 4.2% in the third quarter. Fairvoy Private Wealth LLC now owns 863 shares of the business services provider’s stock worth $253,000 after acquiring an additional 35 shares during the last quarter. Wealthspire Advisors LLC boosted its stake in Automatic Data Processing by 0.4% in the second quarter. Wealthspire Advisors LLC now owns 9,335 shares of the business services provider’s stock valued at $2,879,000 after acquiring an additional 36 shares during the period. Finally, Central Pacific Bank Trust Division grew its holdings in shares of Automatic Data Processing by 4.3% during the third quarter. Central Pacific Bank Trust Division now owns 889 shares of the business services provider’s stock valued at $261,000 after purchasing an additional 37 shares during the last quarter. 80.03% of the stock is owned by institutional investors and hedge funds.

Automatic Data Processing Trading Down 2.6%

Shares of ADP stock opened at $207.45 on Friday. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.03 and a current ratio of 1.03. Automatic Data Processing, Inc. has a 1 year low of $203.26 and a 1 year high of $329.93. The stock has a fifty day moving average of $235.47 and a two-hundred day moving average of $260.90. The firm has a market capitalization of $83.53 billion, a PE ratio of 19.95 and a beta of 0.86.

Automatic Data Processing (NASDAQ:ADP) last issued its quarterly earnings results on Wednesday, January 28th. The business services provider reported $2.62 EPS for the quarter, beating analysts’ consensus estimates of $2.57 by $0.05. Automatic Data Processing had a return on equity of 68.44% and a net margin of 19.96%.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 earned $2.35 earnings per share. The company’s quarterly 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. As a group, research analysts expect that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing Announces Dividend

The business 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 dividend of $1.70 per share. This represents a $6.80 dividend on an annualized basis and a dividend yield of 3.3%. The ex-dividend date is Friday, March 13th. Automatic Data Processing’s payout ratio is 65.38%.

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

Analyst Upgrades and Downgrades

Several analysts recently issued reports on the company. Morgan Stanley cut their price target on Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a report on Thursday, January 29th. JPMorgan Chase & Co. lowered their price objective on 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. Cantor Fitzgerald assumed coverage on shares of Automatic Data Processing in a report on Tuesday, January 27th. They set an “overweight” rating and a $306.00 price target for the company. Stifel Nicolaus lowered their price target on shares of 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. Finally, Citigroup dropped their price objective on shares of Automatic Data Processing from $303.00 to $265.00 and set a “neutral” 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 assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $290.00.

Insider Activity at Automatic Data Processing

In other news, VP Brian L. Michaud sold 1,000 shares of the company’s stock in a transaction that occurred on Friday, February 6th. The shares were sold at an average price of $234.18, for a total value of $234,180.00. Following the completion of the sale, the vice president directly owned 15,310 shares of the company’s stock, valued at approximately $3,585,295.80. This represents a 6.13% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP David Kwon sold 806 shares of the stock in a transaction that occurred on Monday, January 12th. The shares were sold at an average price of $264.80, for a total transaction of $213,428.80. Following the completion of the transaction, the vice president 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. Insiders have sold a total of 3,515 shares of company stock valued at $887,074 over the last quarter. Corporate 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.