7,742 Automatic Data Processing, Inc. $ADP Shares Sold by Heritage Investors Management Corp

Heritage Investors Management Corp lowered its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 10.9% during the third quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 63,074 shares of the business services provider’s stock after selling 7,742 shares during the quarter. Heritage Investors Management Corp’s holdings in Automatic Data Processing were worth $16,277,000 at the end of the most recent reporting period.

Other hedge funds have also recently added to or reduced their stakes in the company. Thrive Wealth Management LLC raised its holdings in Automatic Data Processing by 3.5% in the 2nd quarter. Thrive Wealth Management LLC now owns 1,085 shares of the business services provider’s stock valued at $243,000 after acquiring an additional 37 shares in the last quarter. Aviance Capital Partners LLC grew its holdings in shares of Automatic Data Processing by 0.4% during the 3rd quarter. Aviance Capital Partners LLC now owns 9,298 shares of the business services provider’s stock worth $2,399,000 after purchasing an additional 37 shares in the last quarter. Tanager Wealth Management LLP grew its holdings in shares of Automatic Data Processing by 4.1% during the 3rd quarter. Tanager Wealth Management LLP now owns 971 shares of the business services provider’s stock worth $251,000 after purchasing an additional 38 shares in the last quarter. AMI Investment Management Inc. grew its holdings in shares of Automatic Data Processing by 3.6% during the 3rd quarter. AMI Investment Management Inc. now owns 1,140 shares of the business services provider’s stock worth $294,000 after purchasing an additional 40 shares in the last quarter. Finally, Aull & Monroe Investment Management Corp increased its position in shares of Automatic Data Processing by 0.3% in the third quarter. Aull & Monroe Investment Management Corp now owns 15,668 shares of the business services provider’s stock worth $4,043,000 after purchasing an additional 44 shares during the period. Institutional investors own 80.03% of the company’s stock.

Wall Street Analyst Weigh In

ADP has been the subject of a number of analyst reports. Cantor Fitzgerald boosted their price target on Automatic Data Processing from $295.00 to $310.00 and gave the company an “overweight” rating in a research note on Monday, August 3rd. Royal Bank Of Canada reiterated a “sector perform” rating and set a $290.00 price objective on shares of Automatic Data Processing in a research note on Thursday. Guggenheim reiterated a “buy” rating and set a $340.00 price objective on shares of Automatic Data Processing in a research note on Thursday. Citigroup raised their target price on shares of Automatic Data Processing from $287.00 to $295.00 and gave the company a “neutral” rating in a report on Thursday. Finally, Wells Fargo & Company boosted their target price on shares of Automatic Data Processing from $248.00 to $283.00 and gave the company an “equal weight” rating in a research report on Thursday, July 30th. Three investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $283.27.

Automatic Data Processing Price Performance

NASDAQ ADP opened at $293.84 on Monday. The business has a fifty day moving average price of $277.25 and a two-hundred day moving average price of $240.83. The stock has a market capitalization of $116.43 billion, a PE ratio of 26.05, a PEG ratio of 2.64 and a beta of 0.83. Automatic Data Processing, Inc. has a fifty-two week low of $188.16 and a fifty-two week high of $309.40. The company has a debt-to-equity ratio of 0.98, a current ratio of 1.03 and a quick ratio of 1.05.

Automatic Data Processing (NASDAQ:ADP) last issued its quarterly earnings results on Wednesday, October 28th. The business services provider reported $2.82 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.77 by $0.05. Automatic Data Processing had a return on equity of 77.01% and a net margin of 20.33%. The company had revenue of $5.49 billion for the quarter, compared to analyst estimates of $5.48 billion. During the same quarter last year, the company posted $2.49 EPS. The company’s revenue for the quarter was up 6.1% compared to the same quarter last year. Equities analysts expect that Automatic Data Processing, Inc. will post 12.36 earnings per share for the current fiscal year.

Automatic Data Processing Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, October 1st. Investors of record on Friday, September 11th were paid a $1.70 dividend. The ex-dividend date of this dividend was Friday, September 11th. This represents a $6.80 annualized dividend and a yield of 2.3%. Automatic Data Processing’s dividend payout ratio (DPR) is 60.28%.

Key Headlines Impacting Automatic Data Processing

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

• Positive Sentiment: Raised fiscal 2027 outlook: ADP now forecasts 10%–12% growth in adjusted earnings per share and raised its outlook for client-funds interest revenue to $1.59 billion–$1.61 billion. The improved guidance is the clearest near-term catalyst for the stock. ADP forecasts fiscal 2027 adjusted EPS growth
• Positive Sentiment: Quarterly results exceeded expectations: ADP reported earnings of $2.82 per share versus the $2.77 consensus estimate, while revenue of $5.49 billion modestly topped forecasts and increased 6.1% year over year. Management also highlighted AI momentum during the earnings call. ADP fiscal 2027 first-quarter results
• Positive Sentiment: Some analysts see additional upside: Guggenheim reaffirmed a Buy rating with a $340 price target, while Stifel raised its target to $305. Jefferies also lifted its target, although it retained an Underperform rating. Guggenheim ADP rating
• Neutral Sentiment: Expansion in small-business payroll: ADP is broadening its reach among small-business customers, a move that could support long-term client and revenue growth but may require additional investment. ADP small-business payroll expansion
• Negative Sentiment: Valuation and analyst caution: Citi, Morgan Stanley, and RBC maintain neutral or equivalent ratings with targets around $288–$295, while Jefferies remains bearish. A Seeking Alpha analysis also argues that investors should not chase the rally despite ADP’s attractive dividend-growth record. ADP dividend growth and valuation analysis

Insiders Place Their Bets

In other Automatic Data Processing news, CEO Maria Black sold 29,810 shares of the business’s stock in a transaction dated Wednesday, September 2nd. The stock was sold at an average price of $280.91, for a total transaction of $8,373,927.10. Following the completion of the transaction, the chief executive officer owned 80,624 shares of the company’s stock, valued at approximately $22,648,087.84. The trade was a 26.99% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Brian L. Michaud sold 120 shares of Automatic Data Processing stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $279.70, for a total transaction of $33,564.00. Following the sale, the vice president directly owned 18,442 shares in the company, valued at $5,158,227.40. This trade represents a 0.65% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 31,359 shares of company stock valued at $8,809,422. 0.15% of the stock is owned by corporate insiders.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc (NASDAQ: ADP) is a global provider of human capital management and business outsourcing solutions. The company helps employers manage payroll, human resources, workforce administration, benefits, tax compliance, time and attendance, talent management, and related employment processes.

ADP offers cloud-based platforms and services designed for businesses of various sizes, from small enterprises to large organizations. Its portfolio includes payroll processing, human resources management, employee benefits administration, retirement services, workforce management, data analytics, and professional employer organization services through ADP TotalSource.

Founded in 1949, ADP serves businesses in the United States and international markets.