PFG Advisors Decreases Stock Holdings in Automatic Data Processing, Inc. $ADP

PFG Advisors trimmed its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 44.1% in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 11,535 shares of the business services provider’s stock after selling 9,095 shares during the quarter. PFG Advisors’ holdings in Automatic Data Processing were worth $2,967,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently modified their holdings of the business. Richards Merrill & Peterson Inc. purchased a new stake in shares of Automatic Data Processing during the fourth quarter valued at approximately $103,000. Davidson Trust Co. increased its position in shares of Automatic Data Processing by 3.6% during the fourth quarter. Davidson Trust Co. now owns 9,676 shares of the business services provider’s stock valued at $2,489,000 after acquiring an additional 332 shares during the last quarter. TD Waterhouse Canada Inc. increased its position in shares of Automatic Data Processing by 5.5% during the fourth quarter. TD Waterhouse Canada Inc. now owns 14,214 shares of the business services provider’s stock valued at $3,656,000 after acquiring an additional 740 shares during the last quarter. Tred Avon Family Wealth LLC increased its position in shares of Automatic Data Processing by 36.9% during the fourth quarter. Tred Avon Family Wealth LLC now owns 1,971 shares of the business services provider’s stock valued at $507,000 after acquiring an additional 531 shares during the last quarter. Finally, Revisor Wealth Management LLC increased its position in shares of Automatic Data Processing by 11.9% during the fourth quarter. Revisor Wealth Management LLC now owns 2,707 shares of the business services provider’s stock valued at $705,000 after acquiring an additional 288 shares during the last quarter. 80.03% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Automatic Data Processing

In other news, VP David Foskett sold 266 shares of the firm’s stock in a transaction on Thursday, February 5th. The stock was sold at an average price of $237.00, for a total value of $63,042.00. Following the completion of the transaction, the vice president directly owned 10,954 shares of the company’s stock, valued at $2,596,098. This trade represents a 2.37% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, VP Brian L. Michaud sold 1,000 shares of the firm’s stock in a transaction on Friday, February 6th. The stock was sold at an average price of $234.18, for a total value of $234,180.00. Following the completion of the transaction, the vice president directly owned 15,310 shares of the company’s stock, valued at $3,585,295.80. The trade was a 6.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 1,809 shares of company stock valued at $410,410 over the last three months. Company insiders own 0.20% of the company’s stock.

Automatic Data Processing Stock Up 0.2%

ADP opened at $202.87 on Wednesday. The company has a 50 day moving average of $208.23 and a 200 day moving average of $242.18. The company has a market cap of $81.68 billion, a PE ratio of 19.51 and a beta of 0.85. Automatic Data Processing, Inc. has a 12 month low of $188.16 and a 12 month high of $329.93. 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 (NASDAQ:ADP) last released its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 EPS for the quarter, topping the consensus estimate of $2.57 by $0.05. The company had revenue of $5.36 billion during the quarter, compared to the consensus estimate of $5.34 billion. Automatic Data Processing had a net margin of 19.96% and a return on equity of 68.44%. Automatic Data Processing’s revenue for the quarter was up 6.2% on a year-over-year basis. During the same period last year, the firm earned $2.35 EPS. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. On average, sell-side analysts expect that Automatic Data Processing, Inc. will post 10.96 EPS for the current year.

Automatic Data Processing declared that its board has approved a share 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 usually a sign that the company’s board of directors believes its shares are undervalued.

Automatic Data Processing Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, July 1st. Stockholders of record on Friday, June 12th will be issued a $1.70 dividend. This represents a $6.80 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date of this dividend is Friday, June 12th. Automatic Data Processing’s dividend payout ratio (DPR) is presently 65.38%.

Wall Street Analyst Weigh In

A number of analysts recently commented on ADP shares. Citigroup decreased their price target on Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating for the company in a research report on Thursday, January 29th. UBS Group decreased their price target on Automatic Data Processing from $220.00 to $210.00 and set a “neutral” rating for the company in a research report on Monday, April 13th. Cantor Fitzgerald reduced their price objective on Automatic Data Processing from $306.00 to $244.00 and set an “overweight” rating for the company in a report on Tuesday. Stifel Nicolaus decreased their target price on Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating for the company in a research report on Monday, February 9th. Finally, Morgan Stanley dropped their price target on Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a research report on Thursday, January 29th. One equities research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $273.85.

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.