Automatic Data Processing, Inc. (NASDAQ:ADP) Given Average Rating of “Hold” by Brokerages

Shares of Automatic Data Processing, Inc. (NASDAQ:ADP) have earned an average recommendation of “Hold” from the twelve ratings firms that are currently covering the firm, Marketbeat.com reports. Two research analysts have rated the stock with a sell recommendation, eight have issued a hold recommendation and two have given a buy recommendation to the company. The average 1-year price objective among brokers that have issued ratings on the stock in the last year is $265.36.

Several equities research analysts have recently issued reports on the company. Royal Bank of Canada reaffirmed a “sector perform” rating and issued a $267.00 target price on shares of Automatic Data Processing in a report on Thursday, August 1st. Bank of America upped their price objective on Automatic Data Processing from $250.00 to $267.00 and gave the stock a “neutral” rating in a report on Thursday, August 1st. Barclays raised their target price on shares of Automatic Data Processing from $282.00 to $310.00 and gave the company an “overweight” rating in a report on Monday, August 5th. JPMorgan Chase & Co. upped their price target on shares of Automatic Data Processing from $250.00 to $285.00 and gave the company an “underweight” rating in a research note on Tuesday. Finally, TD Cowen dropped their price objective on shares of Automatic Data Processing from $253.00 to $251.00 and set a “hold” rating for the company in a research note on Thursday, May 2nd.

Hedge Funds Weigh In On Automatic Data Processing

Several hedge funds have recently bought and sold shares of the business. Tennessee Valley Asset Management Partners bought a new stake in Automatic Data Processing during the 4th quarter valued at about $150,000. Desjardins Global Asset Management Inc. boosted its holdings in shares of Automatic Data Processing by 4.3% in the fourth quarter. Desjardins Global Asset Management Inc. now owns 2,239 shares of the business services provider’s stock valued at $522,000 after purchasing an additional 93 shares during the period. TRUE Private Wealth Advisors grew its stake in Automatic Data Processing by 25.5% in the fourth quarter. TRUE Private Wealth Advisors now owns 2,197 shares of the business services provider’s stock worth $512,000 after purchasing an additional 447 shares in the last quarter. Telos Capital Management Inc. purchased a new position in Automatic Data Processing during the 4th quarter worth $201,000. Finally, Livforsakringsbolaget Skandia Omsesidigt raised its position in Automatic Data Processing by 69.3% during the 4th quarter. Livforsakringsbolaget Skandia Omsesidigt now owns 1,033 shares of the business services provider’s stock valued at $241,000 after purchasing an additional 423 shares in the last quarter. Institutional investors own 80.03% of the company’s stock.

Automatic Data Processing Trading Up 0.6 %

ADP stock opened at $269.38 on Friday. The company has a debt-to-equity ratio of 0.66, a current ratio of 1.01 and a quick ratio of 1.01. Automatic Data Processing has a 1-year low of $205.53 and a 1-year high of $269.58. The business has a 50 day simple moving average of $249.95 and a two-hundred day simple moving average of $248.03. The company has a market capitalization of $110.25 billion, a price-to-earnings ratio of 30.06, a PEG ratio of 2.72 and a beta of 0.78.

Automatic Data Processing (NASDAQ:ADP) last issued its earnings results on Wednesday, July 31st. The business services provider reported $2.09 earnings per share for the quarter, topping analysts’ consensus estimates of $2.06 by $0.03. The firm had revenue of $4.80 billion during the quarter, compared to analyst estimates of $4.74 billion. Automatic Data Processing had a net margin of 19.54% and a return on equity of 89.20%. Automatic Data Processing’s revenue for the quarter was up 7.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.89 earnings per share. Research analysts anticipate that Automatic Data Processing will post 10.01 EPS for the current fiscal year.

Automatic Data Processing Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, October 1st. Shareholders of record on Friday, September 13th will be given a dividend of $1.40 per share. The ex-dividend date is Friday, September 13th. This represents a $5.60 annualized dividend and a dividend yield of 2.08%. Automatic Data Processing’s dividend payout ratio (DPR) is presently 62.50%.

About Automatic Data Processing

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.