Prudential PLC Sells 6,174 Shares of Automatic Data Processing, Inc. $ADP

Prudential PLC reduced its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP) by 6.4% during the 3rd quarter, HoldingsChannel reports. The institutional investor owned 90,737 shares of the business services provider’s stock after selling 6,174 shares during the quarter. Prudential PLC’s holdings in Automatic Data Processing were worth $26,631,000 at the end of the most recent quarter.

A number of other institutional investors have also recently bought and sold shares of the business. Exchange Traded Concepts LLC increased its stake in Automatic Data Processing by 141.5% in the third quarter. Exchange Traded Concepts LLC now owns 13,283 shares of the business services provider’s stock valued at $3,899,000 after purchasing an additional 7,782 shares in the last quarter. Mitchell Capital Management Co. boosted its position in shares of Automatic Data Processing by 325.0% during the third quarter. Mitchell Capital Management Co. now owns 6,800 shares of the business services provider’s stock worth $1,996,000 after purchasing an additional 5,200 shares in the last quarter. Atlantic Union Bankshares Corp grew its holdings in shares of Automatic Data Processing by 136.0% in the 3rd quarter. Atlantic Union Bankshares Corp now owns 47,974 shares of the business services provider’s stock valued at $14,080,000 after buying an additional 27,644 shares during the period. CIBC Asset Management Inc grew its holdings in shares of Automatic Data Processing by 2.6% in the 3rd quarter. CIBC Asset Management Inc now owns 183,561 shares of the business services provider’s stock valued at $53,875,000 after buying an additional 4,720 shares during the period. Finally, Thrivent Financial for Lutherans increased its position in shares of Automatic Data Processing by 18.4% in the 3rd quarter. Thrivent Financial for Lutherans now owns 138,215 shares of the business services provider’s stock valued at $40,566,000 after buying an additional 21,444 shares in the last quarter. Institutional investors and hedge funds own 80.03% of the company’s stock.

Automatic Data Processing Price Performance

Shares of NASDAQ ADP opened at $208.52 on Friday. The company has a fifty day moving average price of $234.58 and a 200 day moving average price of $260.24. The firm has a market cap of $83.96 billion, a PE ratio of 20.05 and a beta of 0.86. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 0.62. Automatic Data Processing, Inc. has a 1-year low of $203.26 and a 1-year high of $329.93.

Automatic Data Processing (NASDAQ:ADP) last released its quarterly earnings results on Wednesday, January 28th. The business services provider reported $2.62 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.57 by $0.05. The firm had revenue of $5.36 billion for the quarter, compared to the consensus estimate 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 quarter last year, the business posted $2.35 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Research analysts predict 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 stock repurchase plan on Wednesday, January 14th that allows the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization allows the business services provider to repurchase up to 5.8% of its stock through open market purchases. Stock repurchase plans are often a sign that the company’s management believes its shares are undervalued.

Automatic Data Processing Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Friday, March 13th will be given a $1.70 dividend. This represents a $6.80 dividend on an annualized basis and a yield of 3.3%. The ex-dividend date of this dividend is Friday, March 13th. Automatic Data Processing’s dividend payout ratio (DPR) is currently 65.38%.

Insider Transactions at Automatic Data Processing

In other Automatic Data Processing news, VP David Kwon sold 806 shares of the business’s stock in a transaction that occurred on Monday, January 12th. The stock was sold at an average price of $264.80, for a total value of $213,428.80. Following the sale, the vice president owned 11,187 shares in the company, valued at approximately $2,962,317.60. The trade was a 6.72% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Christopher D’ambrosio sold 543 shares of the company’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 value of $142,423.47. Following the transaction, the vice president directly owned 9,998 shares of the company’s stock, valued at approximately $2,622,375.42. This trade represents a 5.15% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 3,515 shares of company stock worth $887,074. 0.20% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

ADP has been the topic of several research analyst reports. Citigroup dropped their price objective on Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating on the stock in a research note on Thursday, January 29th. Cantor Fitzgerald started coverage on Automatic Data Processing in a report on Tuesday, January 27th. They issued an “overweight” rating and a $306.00 price target for the company. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Automatic Data Processing in a research report on Monday, December 29th. Jefferies Financial Group reiterated an “underperform” rating and set a $230.00 price objective (down from $245.00) on shares of Automatic Data Processing in a report on Tuesday, December 16th. Finally, JPMorgan Chase & Co. lowered their target price on Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating for the company in a research note on Thursday, January 29th. Two equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, Automatic Data Processing has a consensus rating of “Hold” and an average target price of $290.00.

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.