TD Cowen Upgrades Automatic Data Processing (NASDAQ:ADP) to “Hold”

Automatic Data Processing (NASDAQ:ADP) was upgraded by investment analysts at TD Cowen to a “hold” rating in a report issued on Monday,Zacks.com reports.

A number of other research analysts have also recently weighed in on ADP. Argus dropped their price objective on shares of Automatic Data Processing from $300.00 to $240.00 and set a “buy” rating for the company in a report on Tuesday, May 5th. Mizuho dropped their price objective on shares of Automatic Data Processing from $332.00 to $305.00 in a report on Thursday, April 30th. BMO Capital Markets lowered their price target on shares of Automatic Data Processing from $281.00 to $234.00 and set a “market perform” rating for the company in a report on Tuesday, April 7th. Cantor Fitzgerald lowered their price target on shares of Automatic Data Processing from $306.00 to $244.00 and set an “overweight” rating for the company in a report on Wednesday, April 29th. Finally, Robert W. Baird lowered their price target on shares of Automatic Data Processing from $300.00 to $270.00 in a report on Thursday, April 30th. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $253.50.

Automatic Data Processing Price Performance

Automatic Data Processing stock opened at $222.94 on Monday. The company’s 50 day simple moving average is $206.29 and its 200-day simple moving average is $233.09. The company has a market capitalization of $89.12 billion, a price-to-earnings ratio of 20.80 and a beta of 0.83. Automatic Data Processing has a 1 year low of $188.16 and a 1 year high of $329.93. The company has a debt-to-equity ratio of 0.63, a quick ratio of 1.04 and a current ratio of 1.04.

Automatic Data Processing (NASDAQ:ADP) last released its quarterly earnings results on Wednesday, April 29th. The business services provider reported $3.37 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.30 by $0.07. The business had revenue of $5.94 billion for the quarter, compared to the consensus estimate of $5.85 billion. Automatic Data Processing had a net margin of 20.12% and a return on equity of 68.82%. The business’s revenue was up 7.0% on a year-over-year basis. During the same period in the previous year, the firm earned $3.06 EPS. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. As a group, equities research analysts expect that Automatic Data Processing will post 11.07 earnings per share for the current year.

Insider Buying and Selling at Automatic Data Processing

In other news, VP Christopher D’ambrosio sold 543 shares of the business’s stock in a transaction that occurred on Monday, March 16th. The shares were sold at an average price of $208.45, for a total transaction of $113,188.35. Following the completion of the sale, the vice president owned 8,912 shares in the company, valued at approximately $1,857,706.40. The trade was a 5.74% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 0.20% of the company’s stock.

Institutional Trading of Automatic Data Processing

Several institutional investors and hedge funds have recently bought and sold shares of the business. Vanguard Group Inc. raised its position in Automatic Data Processing by 0.9% in the 3rd quarter. Vanguard Group Inc. now owns 41,689,633 shares of the business services provider’s stock valued at $12,235,907,000 after purchasing an additional 389,451 shares during the last quarter. State Street Corp raised its position in Automatic Data Processing by 0.7% in the 4th quarter. State Street Corp now owns 18,940,841 shares of the business services provider’s stock valued at $4,903,769,000 after purchasing an additional 133,039 shares during the last quarter. Geode Capital Management LLC raised its position in Automatic Data Processing by 1.2% in the 4th quarter. Geode Capital Management LLC now owns 11,576,572 shares of the business services provider’s stock valued at $2,977,777,000 after purchasing an additional 136,876 shares during the last quarter. Capital Research Global Investors raised its position in Automatic Data Processing by 4.6% in the 4th quarter. Capital Research Global Investors now owns 8,393,607 shares of the business services provider’s stock valued at $2,159,088,000 after purchasing an additional 372,413 shares during the last quarter. Finally, Wellington Management Group LLP raised its position in Automatic Data Processing by 8.0% in the 4th quarter. Wellington Management Group LLP now owns 7,374,504 shares of the business services provider’s stock valued at $1,896,944,000 after purchasing an additional 544,210 shares during the last quarter. Hedge funds and other institutional investors own 80.03% of the company’s stock.

About Automatic Data Processing

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.