Lecap Asset Management Ltd. Buys New Holdings in Automatic Data Processing, Inc. $ADP

Lecap Asset Management Ltd. bought a new stake in Automatic Data Processing, Inc. (NASDAQ:ADP) in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 6,122 shares of the business services provider’s stock, valued at approximately $1,888,000.

A number of other large investors have also modified their holdings of the company. DMKC Advisory Services LLC acquired a new position in shares of Automatic Data Processing in the second quarter valued at $1,889,000. Wiser Wealth Management Inc grew its position in Automatic Data Processing by 5.0% in the second quarter. Wiser Wealth Management Inc now owns 989 shares of the business services provider’s stock valued at $305,000 after acquiring an additional 47 shares during the period. Vicus Capital bought a new stake in Automatic Data Processing in the second quarter valued at $202,000. Naples Global Advisors LLC grew its position in Automatic Data Processing by 24.7% in the second quarter. Naples Global Advisors LLC now owns 5,614 shares of the business services provider’s stock valued at $1,740,000 after acquiring an additional 1,111 shares during the period. Finally, Pure Financial Advisors LLC grew its position in Automatic Data Processing by 6.8% in the second quarter. Pure Financial Advisors LLC now owns 1,020 shares of the business services provider’s stock valued at $314,000 after acquiring an additional 65 shares during the period. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Automatic Data Processing Price Performance

Shares of ADP stock opened at $291.61 on Thursday. The stock’s fifty day moving average is $299.76 and its 200-day moving average is $303.45. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.05 and a current ratio of 1.05. The stock has a market capitalization of $118.13 billion, a PE ratio of 29.22, a PEG ratio of 2.69 and a beta of 0.82. Automatic Data Processing, Inc. has a 52 week low of $272.62 and a 52 week high of $329.93.

Automatic Data Processing (NASDAQ:ADP) last announced its earnings results on Wednesday, July 30th. The business services provider reported $2.26 EPS for the quarter, topping the consensus estimate of $2.23 by $0.03. The company had revenue of $5.13 billion for the quarter, compared to analysts’ expectations of $5.05 billion. Automatic Data Processing had a return on equity of 72.84% and a net margin of 19.84%.The business’s revenue for the quarter was up 6.3% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.09 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities research analysts expect that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, October 1st. Investors of record on Friday, September 12th were issued a $1.54 dividend. The ex-dividend date was Friday, September 12th. This represents a $6.16 annualized dividend and a yield of 2.1%. Automatic Data Processing’s dividend payout ratio (DPR) is currently 61.72%.

Insiders Place Their Bets

In related news, VP Michael A. Bonarti sold 8,728 shares of the firm’s stock in a transaction dated Tuesday, September 9th. The stock was sold at an average price of $298.43, for a total value of $2,604,697.04. Following the transaction, the vice president owned 80,531 shares in the company, valued at $24,032,866.33. This trade represents a 9.78% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, VP David Foskett sold 1,373 shares of the firm’s stock in a transaction dated Wednesday, September 3rd. The shares were sold at an average price of $296.57, for a total value of $407,190.61. Following the completion of the transaction, the vice president owned 11,781 shares in the company, valued at approximately $3,493,891.17. This represents a 10.44% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 52,516 shares of company stock valued at $15,632,410 over the last 90 days. Corporate insiders own 0.20% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the company. Mizuho upped their price target on Automatic Data Processing from $321.00 to $332.00 and gave the company an “outperform” rating in a research report on Friday, June 13th. BMO Capital Markets upgraded Automatic Data Processing to a “hold” rating and set a $340.00 price target on the stock in a research report on Thursday, July 10th. Morgan Stanley upped their price target on Automatic Data Processing from $310.00 to $311.00 and gave the company an “equal weight” rating in a research report on Thursday, July 31st. Stifel Nicolaus upped their price target on Automatic Data Processing from $305.00 to $318.00 and gave the company a “hold” rating in a research report on Thursday, July 31st. Finally, Royal Bank Of Canada restated a “sector perform” rating and set a $315.00 target price on shares of Automatic Data Processing in a report on Thursday, June 5th. Two investment analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $316.70.

About Automatic Data Processing

Automatic Data Processing, Inc provides cloud-based human capital management solutions worldwide. It operates in two segments, Employer Services and Professional Employer Organization (PEO). The Employer Services segment offers strategic, cloud-based platforms, and human resources (HR) outsourcing solutions.