Automatic Data Processing, Inc. $ADP Position Increased by Invesco Ltd.

Invesco Ltd. increased its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 13.5% in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 4,576,681 shares of the business services provider’s stock after buying an additional 544,968 shares during the quarter. Invesco Ltd. owned about 1.13% of Automatic Data Processing worth $1,411,449,000 at the end of the most recent quarter.

Other large investors have also recently added to or reduced their stakes in the company. Activest Wealth Management grew its position in shares of Automatic Data Processing by 2,600.0% during the first quarter. Activest Wealth Management now owns 81 shares of the business services provider’s stock worth $25,000 after acquiring an additional 78 shares during the last quarter. Harbor Asset Planning Inc. acquired a new position in Automatic Data Processing during the 2nd quarter valued at about $26,000. Mid American Wealth Advisory Group Inc. acquired a new stake in shares of Automatic Data Processing in the second quarter valued at approximately $26,000. Solstein Capital LLC bought a new stake in shares of Automatic Data Processing during the second quarter valued at approximately $28,000. Finally, Westside Investment Management Inc. raised its holdings in shares of Automatic Data Processing by 80.0% during the second quarter. Westside Investment Management Inc. now owns 90 shares of the business services provider’s stock valued at $28,000 after buying an additional 40 shares during the last quarter. 80.03% of the stock is owned by institutional investors and hedge funds.

Insider Activity

In other news, VP Michael A. Bonarti sold 8,728 shares of Automatic Data Processing stock in a transaction that occurred on Tuesday, September 9th. The shares were sold at an average price of $298.43, for a total value of $2,604,697.04. Following the transaction, the vice president directly owned 80,531 shares of the company’s stock, valued at $24,032,866.33. This trade represents a 9.78% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, VP Christopher D’ambrosio sold 597 shares of the business’s stock in a transaction that occurred on Wednesday, September 10th. The shares were sold at an average price of $296.90, for a total transaction of $177,249.30. Following the sale, the vice president owned 10,541 shares in the company, valued at $3,129,622.90. This represents a 5.36% decrease in their position. The disclosure for this sale is available in the SEC filing. 0.20% of the stock is currently owned by insiders.

Automatic Data Processing Trading Up 0.5%

Shares of NASDAQ:ADP opened at $257.18 on Wednesday. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.05 and a current ratio of 1.05. The stock has a market capitalization of $104.02 billion, a price-to-earnings ratio of 25.39 and a beta of 0.86. Automatic Data Processing, Inc. has a 1-year low of $247.18 and a 1-year high of $329.93. The company has a 50 day moving average price of $270.79 and a 200 day moving average price of $294.02.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings data on Wednesday, October 29th. The business services provider reported $2.49 EPS for the quarter, beating analysts’ consensus estimates of $2.44 by $0.05. The company had revenue of $5.18 billion during the quarter, compared to the consensus estimate of $5.14 billion. Automatic Data Processing had a return on equity of 70.63% and a net margin of 19.79%.The company’s quarterly revenue was up 7.1% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $2.33 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. On average, research analysts anticipate that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, January 1st. Investors of record on Friday, December 12th will be paid a $1.70 dividend. The ex-dividend date of this dividend is Friday, December 12th. This represents a $6.80 dividend on an annualized basis and a yield of 2.6%. This is an increase from Automatic Data Processing’s previous quarterly dividend of $1.54. Automatic Data Processing’s dividend payout ratio (DPR) is 60.81%.

Analyst Ratings Changes

ADP has been the subject of a number of recent analyst reports. UBS Group decreased their target price on shares of Automatic Data Processing from $315.00 to $290.00 and set a “neutral” rating for the company in a research report on Wednesday, September 17th. Weiss Ratings cut shares of Automatic Data Processing from a “buy (b-)” rating to a “hold (c+)” rating in a report on Monday. JPMorgan Chase & Co. dropped their target price on Automatic Data Processing from $340.00 to $295.00 and set an “underweight” rating on the stock in a report on Thursday, October 30th. Citigroup began coverage on Automatic Data Processing in a research note on Thursday, October 23rd. They set a “neutral” rating and a $303.00 price target for the company. Finally, Wells Fargo & Company dropped their price objective on Automatic Data Processing from $288.00 to $272.00 and set an “underweight” rating on the stock in a research note on Thursday, October 30th. Two investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $312.67.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc provides cloud-based human capital management solutions worldwide. It operates in two segments, Employer Services and Professional Employer Organization (PEO). The Employer Services segment offers strategic, cloud-based platforms, and human resources (HR) outsourcing solutions.