Murphy Middleton Hinkle & Parker Inc. Buys New Shares in Automatic Data Processing, Inc. $ADP

Murphy Middleton Hinkle & Parker Inc. bought a new position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) during the 4th quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor bought 6,005 shares of the business services provider’s stock, valued at approximately $1,545,000.

Other large investors have also bought and sold shares of the company. Imprint Wealth LLC acquired a new position in shares of Automatic Data Processing during the third quarter valued at about $25,000. Howard Hughes Medical Institute acquired a new stake in shares of Automatic Data Processing in the 2nd quarter valued at about $27,000. TruNorth Capital Management LLC acquired a new stake in shares of Automatic Data Processing in the 3rd quarter valued at about $28,000. Cloud Capital Management LLC bought a new stake in Automatic Data Processing in the 3rd quarter valued at about $29,000. Finally, Board of the Pension Protection Fund bought a new stake in Automatic Data Processing in the 4th quarter valued at about $31,000. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In related news, VP David Foskett sold 266 shares of the stock in a transaction on Thursday, February 5th. The stock was sold at an average price of $237.00, for a total value of $63,042.00. Following the completion of the sale, the vice president directly owned 10,954 shares of the company’s stock, valued at approximately $2,596,098. This represents a 2.37% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, VP Christopher D’ambrosio sold 543 shares of the firm’s stock in a transaction on 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 owned 8,912 shares in the company, valued at approximately $1,857,706.40. This trade represents a 5.74% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 4,058 shares of company stock worth $1,000,263. 0.20% of the stock is owned by corporate insiders.

Automatic Data Processing Price Performance

Shares of NASDAQ ADP opened at $209.71 on Tuesday. The stock has a market cap of $84.44 billion, a price-to-earnings ratio of 20.16 and a beta of 0.86. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.03 and a current ratio of 1.03. Automatic Data Processing, Inc. has a fifty-two week low of $203.26 and a fifty-two week high of $329.93. The firm’s 50-day simple moving average is $228.22 and its 200 day simple moving average is $255.72.

Automatic Data Processing (NASDAQ:ADP) last issued its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 EPS for the quarter, topping analysts’ consensus estimates of $2.57 by $0.05. The firm had revenue of $5.36 billion during the quarter, compared to analyst estimates of $5.34 billion. Automatic Data Processing had a return on equity of 68.44% and a net margin of 19.96%.The company’s revenue for the quarter was up 6.2% on a year-over-year basis. During the same period in the previous year, the company posted $2.35 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. As a group, research analysts anticipate that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current fiscal year.

Automatic Data Processing announced that its Board of Directors has initiated a share buyback program on Wednesday, January 14th that permits the company to repurchase $6.00 billion in shares. This repurchase authorization permits the business services provider to purchase up to 5.8% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s board believes its stock is undervalued.

Automatic Data Processing Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Friday, March 13th will be issued a dividend of $1.70 per share. The ex-dividend date is Friday, March 13th. This represents a $6.80 annualized dividend and a yield of 3.2%. Automatic Data Processing’s dividend payout ratio is 65.38%.

Wall Street Analyst Weigh In

Several research analysts have issued reports on the company. Jefferies Financial Group reiterated an “underperform” rating and issued a $230.00 price target (down from $245.00) on shares of Automatic Data Processing in a report on Tuesday, December 16th. Cantor Fitzgerald began coverage on Automatic Data Processing in a report on Tuesday, January 27th. They set an “overweight” rating and a $306.00 price objective for the company. Wells Fargo & Company lowered their target price on Automatic Data Processing from $272.00 to $262.00 and set an “underweight” rating on the stock in a research report on Thursday, January 29th. Guggenheim initiated coverage on Automatic Data Processing in a report on Thursday, March 19th. They issued a “buy” rating and a $270.00 target price on the stock. Finally, Stifel Nicolaus reduced their price target on shares of Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating for the company in a research report on Monday, February 9th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $288.46.

Automatic Data Processing Company Profile

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.