Envestnet Asset Management Inc. Reduces Stock Holdings in Automatic Data Processing, Inc. $ADP

Envestnet Asset Management Inc. lowered its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 2.6% during the 3rd quarter, HoldingsChannel.com reports. The firm owned 1,517,208 shares of the business services provider’s stock after selling 40,184 shares during the quarter. Envestnet Asset Management Inc.’s holdings in Automatic Data Processing were worth $445,300,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors also recently bought and sold shares of the company. Mid American Wealth Advisory Group Inc. bought a new position in Automatic Data Processing during the second quarter valued at $26,000. Harbor Asset Planning Inc. purchased a new position in shares of Automatic Data Processing during the 2nd quarter worth about $26,000. Howard Hughes Medical Institute purchased a new position in shares of Automatic Data Processing during the 2nd quarter worth about $27,000. Solstein Capital LLC bought a new position in Automatic Data Processing during the 2nd quarter valued at about $28,000. Finally, Westside Investment Management Inc. raised its position 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 worth $28,000 after purchasing an additional 40 shares during the period. Hedge funds and other institutional investors own 80.03% of the company’s stock.

Analyst Ratings Changes

Several brokerages have issued reports on ADP. Citigroup decreased their price objective on shares of Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating for the company in a research note on Thursday, January 29th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Automatic Data Processing in a report on Monday, December 29th. Morgan Stanley decreased their price target on Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating for the company in a research note on Thursday, January 29th. Jefferies Financial Group reaffirmed an “underperform” rating and issued a $230.00 price objective (down previously from $245.00) on shares of Automatic Data Processing in a research report on Tuesday, December 16th. Finally, JPMorgan Chase & Co. reduced their target price on Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating on the stock in a research note on Thursday, January 29th. Two analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, Automatic Data Processing has an average rating of “Hold” and an average price target of $290.83.

Automatic Data Processing Stock Down 0.2%

Shares of NASDAQ:ADP opened at $234.67 on Thursday. The business’s 50 day moving average is $257.49 and its 200 day moving average is $276.49. The stock has a market cap of $94.49 billion, a P/E ratio of 22.56 and a beta of 0.85. Automatic Data Processing, Inc. has a 52-week low of $230.78 and a 52-week high of $329.93. The company has a quick ratio of 1.03, a current ratio of 1.03 and a debt-to-equity ratio of 0.62.

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

Automatic Data Processing Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Shareholders of record on Friday, March 13th will be issued a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a yield of 2.9%. The ex-dividend date is Friday, March 13th. Automatic Data Processing’s dividend payout ratio is presently 65.38%.

Automatic Data Processing declared that its board has approved a stock buyback program on Wednesday, January 14th that authorizes the company to repurchase $6.00 billion in 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 often an indication that the company’s management believes its stock is undervalued.

Insider Transactions at Automatic Data Processing

In other news, VP David Kwon sold 900 shares of the 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 transaction, the vice president directly owned 11,993 shares in the company, valued at approximately $3,118,180. This trade represents a 6.98% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, VP Christopher D’ambrosio sold 543 shares of the business’s stock in a transaction that occurred on Tuesday, January 13th. The stock was sold at an average price of $262.29, for a total transaction of $142,423.47. Following the completion of the transaction, the vice president directly owned 9,998 shares of the company’s stock, valued at $2,622,375.42. This trade represents a 5.15% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 2,249 shares of company stock worth $589,852 in the last three months. Insiders own 0.20% of the company’s stock.

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.