Ethic Inc. Purchases 2,664 Shares of Automatic Data Processing, Inc. $ADP

Ethic Inc. grew its position in Automatic Data Processing, Inc. (NASDAQ:ADP) by 3.7% during the 4th quarter, according to the company in its most recent disclosure with the SEC. The firm owned 75,607 shares of the business services provider’s stock after purchasing an additional 2,664 shares during the period. Ethic Inc.’s holdings in Automatic Data Processing were worth $19,448,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently made changes to their positions in the company. Imprint Wealth LLC acquired a new stake in Automatic Data Processing during the 3rd quarter worth $25,000. Cloud Capital Management LLC acquired a new position in Automatic Data Processing in the third quarter valued at about $29,000. Board of the Pension Protection Fund acquired a new position in Automatic Data Processing in the fourth quarter valued at about $31,000. Y.D. More Investments Ltd bought a new stake in shares of Automatic Data Processing in the third quarter worth about $32,000. Finally, High Point Wealth Management LLC acquired a new stake in shares of Automatic Data Processing during the fourth quarter worth about $34,000. Institutional investors and hedge funds own 80.03% of the company’s stock.

Automatic Data Processing Stock Down 0.5%

NASDAQ:ADP opened at $212.99 on Friday. Automatic Data Processing, Inc. has a twelve month low of $188.16 and a twelve month high of $329.93. The firm has a market capitalization of $85.14 billion, a price-to-earnings ratio of 19.87 and a beta of 0.83. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.63. The stock’s 50 day moving average price is $206.79 and its two-hundred day moving average price is $236.48.

Automatic Data Processing (NASDAQ:ADP) last issued its earnings results on Wednesday, April 29th. The business services provider reported $3.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.30 by $0.07. Automatic Data Processing had a net margin of 20.12% and a return on equity of 68.82%. The business had revenue of $5.94 billion during the quarter, compared to the consensus estimate of $5.85 billion. During the same period last year, the business posted $3.06 EPS. Automatic Data Processing’s revenue was up 7.0% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. Equities research analysts expect that Automatic Data Processing, Inc. will post 11.07 earnings per share for the current fiscal year.

Automatic Data Processing Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Shareholders of record on Friday, June 12th will be issued a $1.70 dividend. This represents a $6.80 annualized dividend and a dividend yield of 3.2%. The ex-dividend date is Friday, June 12th. Automatic Data Processing’s payout ratio is currently 63.43%.

Automatic Data Processing declared that its board has authorized a stock buyback plan on Wednesday, January 14th that authorizes the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization authorizes the business services provider to repurchase up to 5.8% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s leadership believes its shares are undervalued.

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on the company. Jefferies Financial Group decreased their price objective on Automatic Data Processing from $230.00 to $190.00 in a research report on Thursday, April 30th. Cantor Fitzgerald cut their price target on shares of Automatic Data Processing from $306.00 to $244.00 and set an “overweight” rating on the stock in a research note on Wednesday, April 29th. TD Cowen upped their price target on shares of Automatic Data Processing from $208.00 to $216.00 and gave the company a “hold” rating in a report on Thursday, April 30th. Stifel Nicolaus lowered their price objective on shares of Automatic Data Processing from $270.00 to $240.00 in a research report on Thursday, April 30th. Finally, Wells Fargo & Company dropped their price objective on shares of Automatic Data Processing from $262.00 to $214.00 and set an “underweight” rating on the stock in a report on Friday, March 27th. One analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, ten have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $253.50.

Insider Activity at Automatic Data Processing

In other news, VP Christopher D’ambrosio sold 543 shares of the stock in a transaction dated Monday, March 16th. The shares were sold at an average price of $208.45, for a total value of $113,188.35. Following the transaction, the vice president directly owned 8,912 shares of the company’s stock, valued at $1,857,706.40. This represents a 5.74% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 0.20% of the stock is currently owned by corporate insiders.

About Automatic Data Processing

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.