Automatic Data Processing (NASDAQ:ADP) Given New $275.00 Price Target at JPMorgan Chase & Co.

Posted by Teresa Graham on Jan 29th, 2026

Automatic Data Processing (NASDAQ:ADP – Get Free Report) had its target price dropped by analysts at JPMorgan Chase & Co. from $295.00 to $275.00 in a report issued on Thursday,Benzinga reports. The firm presently has an “underweight” rating on the business services provider’s stock. JPMorgan Chase & Co.‘s price objective suggests a potential upside of 11.59% from the stock’s previous close.

Other equities research analysts have also issued research reports about the stock. Citigroup began coverage on shares of Automatic Data Processing in a report on Thursday, October 23rd. They issued a “neutral” rating and a $303.00 price target on the stock. Weiss Ratings restated a “hold (c+)” rating on shares of Automatic Data Processing in a report on Monday, December 29th. Wells Fargo & Company dropped their price objective on Automatic Data Processing from $272.00 to $262.00 and set an “underweight” rating for the company in a report on Thursday. Jefferies Financial Group reissued an “underperform” rating and set a $230.00 target price (down from $245.00) on shares of Automatic Data Processing in a research note on Tuesday, December 16th. Finally, Stifel Nicolaus cut their price target on shares of Automatic Data Processing from $290.00 to $280.00 and set a “hold” rating on the stock in a report on Thursday. Three equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $298.23.

Read Our Latest Stock Analysis on ADP

Automatic Data Processing Trading Down 1.7%

ADP stock traded down $4.24 during trading on Thursday, hitting $246.45. 914,782 shares of the company traded hands, compared to its average volume of 2,145,235. The company has a 50-day moving average of $258.55 and a 200-day moving average of $278.55. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.05 and a current ratio of 1.05. Automatic Data Processing has a 1 year low of $247.18 and a 1 year high of $329.93. The firm has a market capitalization of $99.68 billion, a PE ratio of 24.40 and a beta of 0.86.

Automatic Data Processing (NASDAQ:ADP – Get Free Report) last announced its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 earnings per share for the quarter, beating the consensus estimate of $2.57 by $0.05. The firm had revenue of $5.36 billion during the quarter, compared to the consensus estimate of $5.34 billion. Automatic Data Processing had a return on equity of 70.63% and a net margin of 19.79%.The business’s revenue was up 6.2% on a year-over-year basis. During the same quarter in the previous year, the company posted $2.35 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Analysts predict that Automatic Data Processing will post 9.93 earnings per share for the current fiscal year.

Automatic Data Processing announced that its board has approved a share repurchase program 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 programs are usually an indication that the company’s management believes its stock is undervalued.

Insider Transactions at Automatic Data Processing

In other news, VP Christopher D’ambrosio sold 543 shares of the stock in a transaction that occurred on Tuesday, January 13th. The shares were sold at an average price of $262.29, for a total transaction of $142,423.47. Following the sale, the vice president owned 9,998 shares in the company, valued at $2,622,375.42. This represents a 5.15% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, VP David Kwon sold 900 shares of the firm’s stock in a transaction that occurred on Tuesday, January 6th. The shares were sold at an average price of $260.00, for a total transaction of $234,000.00. Following the sale, the vice president directly owned 11,993 shares of the company’s stock, valued at $3,118,180. This trade represents a 6.98% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 2,249 shares of company stock worth $589,852. 0.20% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. Mid American Wealth Advisory Group Inc. bought a new stake in Automatic Data Processing in the 2nd quarter worth about $26,000. Harbor Asset Planning Inc. bought a new stake in shares of Automatic Data Processing in the second quarter worth approximately $26,000. Imprint Wealth LLC purchased a new position in shares of Automatic Data Processing during the third quarter valued at approximately $25,000. Howard Hughes Medical Institute bought a new position in Automatic Data Processing during the second quarter valued at approximately $27,000. Finally, Solstein Capital LLC purchased a new stake in Automatic Data Processing in the second quarter worth approximately $28,000. Hedge funds and other institutional investors own 80.03% of the company’s stock.

More Automatic Data Processing News

Here are the key news stories impacting Automatic Data Processing this week:

Positive Sentiment: Q2 results beat expectations — EPS $2.62 vs. consensus ~$2.57 and revenue $5.36B (+6.2% Y/Y); management raised FY2026 guidance. This fundamental beat and guidance lift are the primary positive catalysts. ADP boosts guidance after Q2 earnings, revenue beat on strong Employer Services performance
Positive Sentiment: Management reiterated an upbeat outlook on the earnings call and emphasized a sizable buyback program (authorized $6B in January) — supports EPS accretion and signals management confidence in the share base. ADP Earnings Call Highlights Upbeat Outlook and Buyback
Positive Sentiment: Product/AI innovation: ADP launched ADP Assist AI agents to automate HR and payroll tasks — strengthens product differentiation and addressable market for subscription services. ADP Accelerates AI Leadership with Launch of New AI Agents Designed to Solve Workforce Challenges
Positive Sentiment: Sell-side interest: Cantor Fitzgerald initiated coverage with an overweight call, which can help buy-side attention and liquidity. Cantor Fitzgerald initiates coverage of Automatic Data Processing (ADP) with overweight recommendation
Neutral Sentiment: Earnings materials and call transcript available for deeper read — management provided slides, a transcript and detailed metrics that investors can model into FY2026 EPS range of ~10.09–11.01. Automatic Data Processing Inc (ADP) Q2 2026 Earnings Call Highlights
Negative Sentiment: Hiring weakness / valuation concerns: commentary that client headcount growth is soft and a recent analysis flagged that ADP still looks pricey given macro headwinds — these factors likely explain selling pressure despite the beat. Automatic Data Processing: Still Expensive Given Macro Headwinds

Automatic Data Processing Company Profile

(Get Free Report)

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.