Automatic Data Processing (NASDAQ:ADP) Price Target Raised to $260.00

Automatic Data Processing (NASDAQ:ADP) had its target price hoisted by equities research analysts at Stifel Nicolaus from $240.00 to $260.00 in a research report issued on Wednesday,Benzinga reports. The firm currently has a “hold” rating on the business services provider’s stock. Stifel Nicolaus’ price target suggests a potential upside of 7.10% from the company’s current price.

A number of other equities analysts have also recently commented on the stock. Citigroup cut their target price on shares of Automatic Data Processing from $265.00 to $230.00 and set a “neutral” rating on the stock in a report on Thursday, April 30th. Guggenheim assumed coverage on shares of Automatic Data Processing in a research report on Thursday, March 19th. They set a “buy” rating and a $270.00 price objective on the stock. TD Cowen upped their target price on shares of Automatic Data Processing from $216.00 to $223.00 and gave the company a “hold” rating in a report on Monday. UBS Group increased their target price on shares of Automatic Data Processing from $210.00 to $218.00 and gave the stock a “neutral” rating in a research note on Thursday, April 30th. Finally, Morgan Stanley lowered their price target on Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a report on Tuesday, April 28th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, nine have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Automatic Data Processing has a consensus rating of “Hold” and a consensus price target of $246.21.

Automatic Data Processing Stock Performance

NASDAQ ADP opened at $242.75 on Wednesday. The company has a fifty day moving average of $221.74 and a two-hundred day moving average of $225.24. The company has a market capitalization of $97.04 billion, a PE ratio of 22.68 and a beta of 0.83. Automatic Data Processing has a 1 year low of $188.16 and a 1 year high of $315.98. The company has a debt-to-equity ratio of 0.63, a current ratio of 1.04 and a quick ratio of 1.04.

Automatic Data Processing (NASDAQ:ADP) last posted its earnings results on Wednesday, April 29th. The business services provider reported $3.37 earnings per share for the quarter, beating the consensus estimate of $3.30 by $0.07. The business had revenue of $5.94 billion during the quarter, compared to the consensus estimate of $5.85 billion. Automatic Data Processing had a return on equity of 68.82% and a net margin of 20.12%.The business’s quarterly revenue was up 7.0% on a year-over-year basis. During the same period in the previous year, the business earned $3.06 EPS. Automatic Data Processing has set its FY 2026 guidance at 11.010-11.110 EPS. As a group, analysts expect that Automatic Data Processing will post 11.08 earnings per share for the current year.

Institutional Investors Weigh In On Automatic Data Processing

A number of hedge funds have recently added to or reduced their stakes in the company. Northwestern Mutual Wealth Management Co. lifted its position in Automatic Data Processing by 6,493.0% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 3,468,180 shares of the business services provider’s stock worth $892,120,000 after buying an additional 3,415,576 shares during the period. Cardano Risk Management B.V. lifted its holdings in shares of Automatic Data Processing by 950.1% during the 4th quarter. Cardano Risk Management B.V. now owns 3,563,180 shares of the business services provider’s stock worth $916,557,000 after acquiring an additional 3,223,855 shares during the period. Norges Bank purchased a new position in shares of Automatic Data Processing during the 4th quarter worth about $721,738,000. Wellington Management Group LLP boosted its position in shares of Automatic Data Processing by 47.8% in the third quarter. Wellington Management Group LLP now owns 6,830,294 shares of the business services provider’s stock worth $2,004,691,000 after acquiring an additional 2,208,927 shares during the last quarter. Finally, Clearbridge Investments LLC boosted its position in shares of Automatic Data Processing by 133.3% in the fourth quarter. Clearbridge Investments LLC now owns 1,687,793 shares of the business services provider’s stock worth $434,151,000 after acquiring an additional 964,405 shares during the last quarter. Institutional investors and hedge funds own 80.03% 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.