Dorsey Wright & Associates Makes New $287,000 Investment in Automatic Data Processing, Inc. $ADP

Dorsey Wright & Associates purchased a new stake in Automatic Data Processing, Inc. (NASDAQ:ADP) during the second quarter, HoldingsChannel.com reports. The fund purchased 930 shares of the business services provider’s stock, valued at approximately $287,000.

Several other institutional investors and hedge funds also recently made changes to their positions in the stock. Activest Wealth Management boosted its stake in Automatic Data Processing by 2,600.0% in the 1st quarter. Activest Wealth Management now owns 81 shares of the business services provider’s stock worth $25,000 after purchasing an additional 78 shares during the period. Harbor Asset Planning Inc. acquired a new position in shares of Automatic Data Processing during the second quarter worth about $26,000. Mid American Wealth Advisory Group Inc. bought a new position in shares of Automatic Data Processing during the second quarter worth about $26,000. Solstein Capital LLC acquired a new stake in Automatic Data Processing in the 2nd quarter valued at approximately $28,000. Finally, Westside Investment Management Inc. lifted its stake in Automatic Data Processing by 80.0% in the 2nd quarter. Westside Investment Management Inc. now owns 90 shares of the business services provider’s stock valued at $28,000 after acquiring an additional 40 shares in the last quarter. Institutional investors and hedge funds own 80.03% of the company’s stock.

Automatic Data Processing Trading Up 0.3%

Shares of NASDAQ:ADP opened at $250.41 on Thursday. Automatic Data Processing, Inc. has a 52-week low of $247.18 and a 52-week high of $329.93. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.05 and a current ratio of 1.05. The company has a market capitalization of $101.28 billion, a P/E ratio of 24.72, a price-to-earnings-growth ratio of 2.39 and a beta of 0.86. The company has a 50-day simple moving average of $277.59 and a 200 day simple moving average of $297.59.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings results on Wednesday, October 29th. The business services provider reported $2.49 earnings per share for the quarter, topping analysts’ consensus estimates of $2.44 by $0.05. Automatic Data Processing had a return on equity of 70.63% and a net margin of 19.79%.The firm had revenue of $5.18 billion for the quarter, compared to the consensus estimate of $5.14 billion. During the same quarter in the previous year, the business earned $2.33 earnings per share. The business’s revenue was up 7.1% compared to the same quarter last year. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Sell-side analysts forecast that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.

Automatic Data Processing Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, January 1st. Investors of record on Friday, December 12th will be issued a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a dividend yield of 2.7%. The ex-dividend date of this dividend is Friday, December 12th. This is a positive change from Automatic Data Processing’s previous quarterly dividend of $1.54. Automatic Data Processing’s payout ratio is presently 67.13%.

Insiders Place Their Bets

In other Automatic Data Processing news, CEO Maria Black sold 23,605 shares of the stock in a transaction dated Wednesday, September 3rd. The shares were sold at an average price of $298.32, for a total value of $7,041,843.60. Following the transaction, the chief executive officer directly owned 76,161 shares of the company’s stock, valued at $22,720,349.52. This represents a 23.66% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP David Foskett sold 1,373 shares of the firm’s stock in a transaction that occurred on Wednesday, September 3rd. The stock was sold at an average price of $296.57, for a total transaction of $407,190.61. Following the sale, the vice president owned 11,781 shares of the company’s stock, valued at $3,493,891.17. This trade represents a 10.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 52,516 shares of company stock worth $15,632,410 in the last 90 days. Corporate insiders own 0.20% of the company’s stock.

Analysts Set New Price Targets

ADP has been the subject of several research reports. UBS Group decreased their price target on shares of Automatic Data Processing from $315.00 to $290.00 and set a “neutral” rating for the company in a research note on Wednesday, September 17th. Dbs Bank raised shares of Automatic Data Processing to a “hold” rating in a research report on Thursday, August 21st. Morgan Stanley boosted their price target on shares of Automatic Data Processing from $310.00 to $311.00 and gave the stock an “equal weight” rating in a research report on Thursday, July 31st. Citigroup initiated coverage on shares of Automatic Data Processing in a research note on Thursday, October 23rd. They set a “neutral” rating and a $303.00 price objective for the company. Finally, Stifel Nicolaus raised their price objective on Automatic Data Processing from $305.00 to $318.00 and gave the company a “hold” rating in a report on Thursday, July 31st. Three equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, Automatic Data Processing has an average rating of “Hold” and a consensus price target of $312.67.

Automatic Data Processing Company Profile

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.