Northwestern Mutual Wealth Management Co. Makes New $13.28 Million Investment in Automatic Data Processing, Inc. $ADP

Northwestern Mutual Wealth Management Co. purchased a new position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor purchased 59,313 shares of the business services provider’s stock, valued at approximately $13,283,000.

Other hedge funds and other institutional investors have also recently made changes to their positions in the company. Imprint Wealth LLC acquired a new stake in shares of Automatic Data Processing in the 3rd quarter worth $25,000. Cornerstone Financial Management LLC purchased a new stake in Automatic Data Processing in the fourth quarter valued at about $26,000. Bard Associates Inc. purchased a new stake in Automatic Data Processing in the fourth quarter valued at about $28,000. Whipplewood Advisors LLC boosted its holdings in Automatic Data Processing by 2,740.0% in the first quarter. Whipplewood Advisors LLC now owns 142 shares of the business services provider’s stock worth $29,000 after acquiring an additional 137 shares in the last quarter. Finally, Prosperity Bancshares Inc acquired a new stake in Automatic Data Processing in the fourth quarter worth about $33,000. Hedge funds and other institutional investors own 80.03% of the company’s stock.

Wall Street Analyst Weigh In

Several equities analysts have recently issued reports on ADP shares. TD Cowen upped their price objective on shares of Automatic Data Processing from $216.00 to $223.00 and gave the company a “hold” rating in a report on Monday, July 6th. Robert W. Baird lowered their target price on shares of Automatic Data Processing from $300.00 to $270.00 in a research note on Thursday, April 30th. Citigroup boosted their target price on shares of Automatic Data Processing from $230.00 to $287.00 and gave the stock a “neutral” rating in a research report on Thursday, July 30th. Wells Fargo & Company upped their price target on shares of Automatic Data Processing from $248.00 to $283.00 and gave the company an “equal weight” rating in a research note on Thursday, July 30th. Finally, Mizuho decreased their price target on shares of Automatic Data Processing from $332.00 to $305.00 in a report on Thursday, April 30th. Three equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Automatic Data Processing presently has a consensus rating of “Hold” and an average price target of $273.50.

Insider Transactions at Automatic Data Processing

In related news, VP David Kwon sold 2,414 shares of the business’s stock in a transaction on Thursday, July 30th. The shares were sold at an average price of $265.62, for a total transaction of $641,206.68. Following the completion of the transaction, the vice president directly owned 9,660 shares in the company, valued at $2,565,889.20. The trade was a 19.99% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.20% of the stock is owned by corporate insiders.

Automatic Data Processing Price Performance

Shares of NASDAQ ADP opened at $280.81 on Friday. Automatic Data Processing, Inc. has a 52 week low of $188.16 and a 52 week high of $308.89. The business’s 50 day moving average price is $249.66 and its 200 day moving average price is $226.31. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.82. The firm has a market cap of $111.55 billion, a P/E ratio of 25.67 and a beta of 0.81.

Automatic Data Processing (NASDAQ:ADP) last posted its quarterly earnings results on Wednesday, July 29th. The business services provider reported $2.64 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.59 by $0.05. Automatic Data Processing had a net margin of 20.11% and a return on equity of 71.34%. The company had revenue of $5.47 billion during the quarter, compared to analyst estimates of $5.44 billion. During the same period last year, the firm posted $2.26 EPS. Automatic Data Processing’s revenue for the quarter was up 6.8% compared to the same quarter last year. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. On average, sell-side analysts expect that Automatic Data Processing, Inc. will post 12.26 earnings per share for the current year.

Automatic Data Processing Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Friday, September 11th will be issued a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a dividend yield of 2.4%. The ex-dividend date of this dividend is Friday, September 11th. Automatic Data Processing’s dividend payout ratio (DPR) is 62.16%.

Automatic Data Processing 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.