Insider Selling: Automatic Data Processing (NASDAQ:ADP) VP Sells 4,614 Shares of Stock

Automatic Data Processing, Inc. (NASDAQ:ADP) VP Joseph Desilva sold 4,614 shares of the firm’s stock in a transaction dated Wednesday, September 3rd. The shares were sold at an average price of $296.57, for a total value of $1,368,373.98. Following the transaction, the vice president owned 17,536 shares in the company, valued at approximately $5,200,651.52. This trade represents a 20.83% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

Automatic Data Processing Trading Down 1.7%

Shares of NASDAQ:ADP opened at $295.97 on Friday. The company has a market cap of $119.88 billion, a P/E ratio of 29.66, a P/E/G ratio of 2.76 and a beta of 0.82. The stock’s 50-day moving average is $304.24 and its 200-day moving average is $305.23. Automatic Data Processing, Inc. has a 52-week low of $267.79 and a 52-week high of $329.93. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.05 and a current ratio of 1.05.

Automatic Data Processing (NASDAQ:ADP) last issued its quarterly earnings results on Wednesday, July 30th. The business services provider reported $2.26 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.23 by $0.03. The company had revenue of $5.13 billion for the quarter, compared to the consensus estimate of $5.05 billion. Automatic Data Processing had a return on equity of 72.84% and a net margin of 19.84%.The firm’s revenue was up 6.3% compared to the same quarter last year. During the same period last year, the business posted $2.09 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities research analysts predict that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.

Automatic Data Processing Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Friday, September 12th will be given a $1.54 dividend. This represents a $6.16 annualized dividend and a dividend yield of 2.1%. The ex-dividend date of this dividend is Friday, September 12th. Automatic Data Processing’s dividend payout ratio (DPR) is currently 61.72%.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on ADP shares. TD Securities raised their price target on Automatic Data Processing from $298.00 to $321.00 and gave the company a “hold” rating in a research report on Wednesday, May 21st. Stifel Nicolaus lifted their target price on Automatic Data Processing from $305.00 to $318.00 and gave the stock a “hold” rating in a research report on Thursday, July 31st. Mizuho lifted their target price on Automatic Data Processing from $321.00 to $332.00 and gave the stock an “outperform” rating in a research report on Friday, June 13th. BMO Capital Markets raised Automatic Data Processing to a “hold” rating and set a $340.00 target price on the stock in a research report on Thursday, July 10th. Finally, UBS Group decreased their target price on Automatic Data Processing from $323.00 to $315.00 and set a “neutral” rating on the stock in a research report on Friday, June 13th. Two analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company. According to MarketBeat.com, Automatic Data Processing has a consensus rating of “Hold” and an average target price of $317.00.

Institutional Investors Weigh In On Automatic Data Processing

Institutional investors have recently added to or reduced their stakes in the stock. AlphaCore Capital LLC acquired a new stake in Automatic Data Processing during the first quarter valued at approximately $688,000. Golden State Wealth Management LLC boosted its holdings in Automatic Data Processing by 29.6% during the first quarter. Golden State Wealth Management LLC now owns 565 shares of the business services provider’s stock valued at $173,000 after purchasing an additional 129 shares in the last quarter. GAMMA Investing LLC boosted its holdings in Automatic Data Processing by 13.8% during the first quarter. GAMMA Investing LLC now owns 9,495 shares of the business services provider’s stock valued at $2,901,000 after purchasing an additional 1,148 shares in the last quarter. Toronto Dominion Bank boosted its holdings in Automatic Data Processing by 10.2% during the fourth quarter. Toronto Dominion Bank now owns 236,707 shares of the business services provider’s stock valued at $69,290,000 after purchasing an additional 21,910 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC boosted its holdings in Automatic Data Processing by 8.9% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 250,836 shares of the business services provider’s stock valued at $76,638,000 after purchasing an additional 20,467 shares in the last quarter. 80.03% of the stock is owned by institutional investors and hedge funds.

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.