Vontobel Holding Ltd. Reduces Stake in Automatic Data Processing, Inc. $ADP

Vontobel Holding Ltd. reduced its stake in Automatic Data Processing, Inc. (NASDAQ:ADP) by 15.4% in the 2nd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 134,268 shares of the business services provider’s stock after selling 24,522 shares during the quarter. Vontobel Holding Ltd.’s holdings in Automatic Data Processing were worth $41,408,000 at the end of the most recent quarter.

Several other large investors also recently added to or reduced their stakes in the stock. Nuveen LLC purchased a new position in shares of Automatic Data Processing during the 1st quarter worth $661,771,000. Mackenzie Financial Corp grew its holdings in shares of Automatic Data Processing by 128.1% during the 1st quarter. Mackenzie Financial Corp now owns 1,585,704 shares of the business services provider’s stock worth $484,480,000 after purchasing an additional 890,440 shares during the period. Ameriprise Financial Inc. grew its holdings in shares of Automatic Data Processing by 15.7% during the 1st quarter. Ameriprise Financial Inc. now owns 4,431,478 shares of the business services provider’s stock worth $1,348,805,000 after purchasing an additional 601,400 shares during the period. Goldman Sachs Group Inc. grew its holdings in shares of Automatic Data Processing by 22.6% during the 1st quarter. Goldman Sachs Group Inc. now owns 3,059,100 shares of the business services provider’s stock worth $934,647,000 after purchasing an additional 564,187 shares during the period. Finally, Jacobs Levy Equity Management Inc. grew its holdings in shares of Automatic Data Processing by 110.1% during the 1st quarter. Jacobs Levy Equity Management Inc. now owns 608,997 shares of the business services provider’s stock worth $186,067,000 after purchasing an additional 319,132 shares during the period. 80.03% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently weighed in on ADP shares. Mizuho increased their price target on Automatic Data Processing from $321.00 to $332.00 and gave the stock an “outperform” rating in a report on Friday, June 13th. UBS Group lowered their price target on Automatic Data Processing from $315.00 to $290.00 and set a “neutral” rating for the company in a report on Wednesday, September 17th. Weiss Ratings reissued a “buy (b)” rating on shares of Automatic Data Processing in a research note on Wednesday. Dbs Bank raised Automatic Data Processing to a “hold” rating in a research note on Thursday, August 21st. Finally, BMO Capital Markets raised Automatic Data Processing to a “hold” rating and set a $340.00 target price on the stock in a research note on Thursday, July 10th. Three investment analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Automatic Data Processing has an average rating of “Hold” and an average price target of $316.70.

Automatic Data Processing Price Performance

ADP stock opened at $290.70 on Thursday. Automatic Data Processing, Inc. has a 1 year low of $272.62 and a 1 year high of $329.93. The firm has a market capitalization of $117.76 billion, a P/E ratio of 29.13, a P/E/G ratio of 2.68 and a beta of 0.82. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.05 and a quick ratio of 1.05. The business’s 50-day moving average is $298.04 and its two-hundred day moving average is $303.25.

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

Automatic Data Processing Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, October 1st. Stockholders 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 dividend on an annualized basis and a dividend yield of 2.1%. Automatic Data Processing’s dividend payout ratio is presently 61.72%.

Insiders Place Their Bets

In other news, CEO Maria Black sold 23,605 shares of the stock in a transaction dated Wednesday, September 3rd. The stock was sold at an average price of $298.32, for a total value of $7,041,843.60. Following the transaction, the chief executive officer owned 76,161 shares in the company, valued at approximately $22,720,349.52. This represents a 23.66% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, VP David Foskett sold 1,373 shares of the 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. The trade was a 10.44% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 52,516 shares of company stock worth $15,632,410. 0.20% of the stock is currently owned by company insiders.

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.