Automatic Data Processing, Inc. $ADP Shares Sold by GUARDCAP ASSET MANAGEMENT Ltd

GUARDCAP ASSET MANAGEMENT Ltd lowered its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 13.2% during the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 656,802 shares of the business services provider’s stock after selling 99,569 shares during the quarter. Automatic Data Processing makes up about 4.5% of GUARDCAP ASSET MANAGEMENT Ltd’s holdings, making the stock its 10th biggest position. GUARDCAP ASSET MANAGEMENT Ltd owned 0.16% of Automatic Data Processing worth $192,771,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors have also modified their holdings of the company. Mid American Wealth Advisory Group Inc. purchased a new stake in Automatic Data Processing in the second quarter valued at $26,000. Harbor Asset Planning Inc. acquired a new stake in shares of Automatic Data Processing during the second quarter worth about $26,000. Howard Hughes Medical Institute acquired a new stake in shares of Automatic Data Processing during the second quarter worth about $27,000. Solstein Capital LLC purchased a new stake in shares of Automatic Data Processing in the 2nd quarter valued at about $28,000. Finally, Westside Investment Management Inc. boosted its position in shares of 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 valued at $28,000 after purchasing an additional 40 shares during the period. Hedge funds and other institutional investors own 80.03% of the company’s stock.

Automatic Data Processing Price Performance

Shares of NASDAQ ADP opened at $226.63 on Tuesday. The stock has a fifty day moving average price of $256.02 and a 200 day moving average price of $274.75. Automatic Data Processing, Inc. has a 1-year low of $224.93 and a 1-year high of $329.93. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.03 and a quick ratio of 1.03. The company has a market cap of $91.25 billion, a PE ratio of 21.79 and a beta of 0.85.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 EPS for the quarter, topping analysts’ consensus estimates of $2.57 by $0.05. Automatic Data Processing had a net margin of 19.96% and a return on equity of 68.44%. The company had revenue of $5.36 billion during the quarter, compared to the consensus estimate of $5.34 billion. During the same quarter in the prior year, the firm earned $2.35 EPS. Automatic Data Processing’s quarterly revenue was up 6.2% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Sell-side analysts forecast that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing declared that its board has authorized a share buyback program on Wednesday, January 14th that authorizes the company to buyback $6.00 billion in outstanding shares. This buyback authorization authorizes the business services provider to purchase up to 5.8% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s leadership believes its stock is undervalued.

Automatic Data Processing Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Friday, March 13th will be given a $1.70 dividend. The ex-dividend date is Friday, March 13th. This represents a $6.80 dividend on an annualized basis and a yield of 3.0%. Automatic Data Processing’s dividend payout ratio (DPR) is presently 65.38%.

Insider Activity

In other Automatic Data Processing news, VP David Foskett sold 266 shares of the business’s stock in a transaction that occurred on Thursday, February 5th. The stock was sold at an average price of $237.00, for a total transaction of $63,042.00. Following the transaction, the vice president owned 10,954 shares in the company, valued at approximately $2,596,098. The trade was a 2.37% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, VP Brian L. Michaud sold 1,000 shares of the stock in a transaction that occurred on Friday, February 6th. The stock was sold at an average price of $234.18, for a total value of $234,180.00. Following the transaction, the vice president directly owned 15,310 shares of the company’s stock, valued at approximately $3,585,295.80. This trade represents a 6.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 3,515 shares of company stock worth $887,074 in the last three months. 0.20% of the stock is currently owned by company insiders.

Wall Street Analysts Forecast Growth

Several research firms have commented on ADP. Cantor Fitzgerald started coverage on Automatic Data Processing in a research report on Tuesday, January 27th. They set an “overweight” rating and a $306.00 price target on the stock. Morgan Stanley lowered their target price on shares of Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a research report on Thursday, January 29th. Stifel Nicolaus reduced their price target on shares of Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating for the company in a research report on Monday. Jefferies Financial Group reiterated an “underperform” rating and set a $230.00 price target (down previously from $245.00) on shares of Automatic Data Processing in a research note on Tuesday, December 16th. Finally, JPMorgan Chase & Co. dropped their price objective on shares of Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating on the stock in a research note on Thursday, January 29th. Two equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $290.00.

More Automatic Data Processing News

Here are the key news stories impacting Automatic Data Processing this week:

• Positive Sentiment: Board authorized a $6.0 billion buyback and ADP declared a $1.70 quarterly dividend (ex-dividend March 13, payable April 1), which support buyback-driven EPS accretion and income demand. Read More.
• Neutral Sentiment: Q2 results showed a modest beat (EPS $2.62 vs. $2.57) and revenue growth ~6.2%; FY‑2026 EPS guidance was set at 10.091–11.011 — positive fundamentals but largely already priced in. Read More.
• Negative Sentiment: Insider selling: VP David Foskett sold 266 shares at an average $237 on Feb. 5 (reducing his stake ~2.4%), a small but visible insider sale that may spook short‑term sentiment. Read More.
• Negative Sentiment: Another VP, Brian L. Michaud, sold 1,000 shares at ~$234.18 on Feb. 6 (a ~6.1% reduction in his holding), adding to the insider selling narrative that coincided with a new 12‑month low. Read More.
• Negative Sentiment: Analyst action: Stifel cut its price target from $280 to $270 and kept a “hold” rating, signaling more cautious near‑term expectations and contributing to downward pressure. Read More.
• Negative Sentiment: Market commentary flagged ADP hitting a new 12‑month low amid the recent insider sales and analyst downgrades — a technical/psychological negative for momentum traders. Read More.

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.