QRG Capital Management Inc. Trims Holdings in Automatic Data Processing, Inc. $ADP

QRG Capital Management Inc. decreased its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 7.1% in the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 87,382 shares of the business services provider’s stock after selling 6,672 shares during the period. QRG Capital Management Inc.’s holdings in Automatic Data Processing were worth $25,647,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also bought and sold shares of ADP. Harbor Asset Planning Inc. purchased a new position in shares of Automatic Data Processing during the second quarter valued at approximately $26,000. Mid American Wealth Advisory Group Inc. bought a new stake in Automatic Data Processing in the second quarter valued at $26,000. Howard Hughes Medical Institute purchased a new position in Automatic Data Processing during the 2nd quarter valued at $27,000. Solstein Capital LLC bought a new position in Automatic Data Processing in the 2nd quarter worth $28,000. Finally, Westside Investment Management Inc. raised its holdings in Automatic Data Processing by 80.0% in the 2nd quarter. Westside Investment Management Inc. now owns 90 shares of the business services provider’s stock worth $28,000 after purchasing an additional 40 shares in the last quarter. Hedge funds and other institutional investors own 80.03% of the company’s stock.

Insider Activity at Automatic Data Processing

In related news, VP Christopher D’ambrosio sold 543 shares of the company’s stock in a transaction that occurred on Tuesday, January 13th. The stock was sold at an average price of $262.29, for a total value of $142,423.47. Following the transaction, the vice president directly owned 9,998 shares of the company’s stock, valued at approximately $2,622,375.42. This represents a 5.15% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, VP David Kwon sold 900 shares of the stock in a transaction on Tuesday, January 6th. The shares were sold at an average price of $260.00, for a total value of $234,000.00. Following the sale, the vice president owned 11,993 shares in the company, valued at approximately $3,118,180. This represents a 6.98% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 2,249 shares of company stock worth $589,852. Insiders own 0.20% of the company’s stock.

Automatic Data Processing Stock Performance

Shares of ADP opened at $260.44 on Friday. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.62. The stock has a market cap of $105.33 billion, a P/E ratio of 25.71 and a beta of 0.86. The business’s 50 day moving average price is $257.93 and its 200-day moving average price is $281.56. Automatic Data Processing, Inc. has a 52 week low of $247.18 and a 52 week high of $329.93.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings data on Wednesday, October 29th. The business services provider reported $2.49 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.44 by $0.05. Automatic Data Processing had a return on equity of 70.63% and a net margin of 19.79%.The business had revenue of $5.18 billion during the quarter, compared to analysts’ expectations of $5.14 billion. During the same quarter in the previous year, the business earned $2.33 earnings per share. The firm’s quarterly revenue was up 7.1% compared to the same quarter last year. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities research analysts anticipate that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current fiscal year.

Automatic Data Processing declared that its Board of Directors has authorized a share buyback program on Wednesday, January 14th that allows the company to repurchase $6.00 billion in shares. This repurchase authorization allows the business services provider to reacquire up to 5.8% of its shares through open market purchases. Shares repurchase programs are generally an indication that the company’s board believes its shares are undervalued.

Automatic Data Processing Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Shareholders of record on Friday, March 13th will be issued a $1.70 dividend. The ex-dividend date of this dividend is Friday, March 13th. This represents a $6.80 annualized dividend and a yield of 2.6%. Automatic Data Processing’s payout ratio is 67.13%.

Wall Street Analyst Weigh In

A number of equities research analysts have recently weighed in on the stock. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Automatic Data Processing in a research note on Monday, December 29th. Wells Fargo & Company cut their price objective on Automatic Data Processing from $288.00 to $272.00 and set an “underweight” rating on the stock in a research report on Thursday, October 30th. JPMorgan Chase & Co. reduced their target price on Automatic Data Processing from $340.00 to $295.00 and set an “underweight” rating on the stock in a report on Thursday, October 30th. Jefferies Financial Group restated an “underperform” rating and issued a $230.00 target price (down previously from $245.00) on shares of Automatic Data Processing in a research note on Tuesday, December 16th. Finally, Citigroup assumed coverage on Automatic Data Processing in a research note on Thursday, October 23rd. They issued a “neutral” rating and a $303.00 price target on the stock. Two investment analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $306.42.

About Automatic Data Processing

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.