Automatic Data Processing, Inc. $ADP Shares Sold by Raiffeisen Bank International AG

Raiffeisen Bank International AG lowered its position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 30.0% in the 2nd quarter, HoldingsChannel reports. The institutional investor owned 73,405 shares of the business services provider’s stock after selling 31,393 shares during the period. Raiffeisen Bank International AG’s holdings in Automatic Data Processing were worth $16,514,000 at the end of the most recent reporting period.

A number of other hedge funds have also recently bought and sold shares of ADP. BlackRock Inc. acquired a new position in shares of Automatic Data Processing in the 2nd quarter worth approximately $8,097,229,000. Bank of America Corp DE bought a new stake in shares of Automatic Data Processing during the 2nd quarter worth $1,231,175,000. Deutsche Bank AG bought a new stake in shares of Automatic Data Processing during the 2nd quarter worth $994,937,000. Northwestern Mutual Wealth Management Co. grew its holdings in shares of Automatic Data Processing by 6,493.0% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 3,468,180 shares of the business services provider’s stock worth $892,120,000 after acquiring an additional 3,415,576 shares during the last quarter. Finally, Bank of New York Mellon Corp purchased a new stake in shares of Automatic Data Processing during the second quarter valued at $725,513,000. 80.03% of the stock is owned by institutional investors and hedge funds.

Insider Transactions at Automatic Data Processing

In other news, CEO Maria Black sold 29,810 shares of Automatic Data Processing stock in a transaction dated Wednesday, September 2nd. The stock was sold at an average price of $280.91, for a total transaction of $8,373,927.10. Following the completion of the sale, the chief executive officer directly owned 80,624 shares in the company, valued at $22,648,087.84. The trade was a 26.99% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP David Kwon sold 798 shares of the firm’s stock in a transaction that occurred on Thursday, August 20th. The shares were sold at an average price of $280.00, for a total transaction of $223,440.00. Following the transaction, the vice president directly owned 13,193 shares in the company, valued at approximately $3,694,040. The trade was a 5.70% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 33,142 shares of company stock valued at $9,272,138 in the last three months. Corporate insiders own 0.20% of the company’s stock.

Automatic Data Processing News Roundup

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

• Positive Sentiment: ADP’s August National Employment Report showed private-sector employment increased by 38,000 jobs, while base pay rose 3.2% and gross pay increased 4.7%. The report reinforces ADP’s role as a major source of employment and wage data and points to continued payroll growth, despite a moderating labor market. ADP National Employment Report
• Positive Sentiment: ADP continues to attract income-focused investors as a Dividend Aristocrat with more than 25 consecutive years of annual dividend increases. Its recurring payroll and human-resources revenue base may also appeal to investors seeking defensive exposure. Dividend Stocks Article
• Neutral Sentiment: Analysts and valuation commentary remain broadly balanced. ADP has lagged the broader technology sector over the past year, while one analysis described the shares as approximately 1% undervalued based on fresh labor data. The stock trades near the upper end of its 52-week range, which may limit near-term upside without stronger earnings catalysts. ADP Sector Performance Article
• Neutral Sentiment: Recent data showing Canadian workers benefiting from changing jobs highlights continued wage pressure and employment mobility, factors that could support demand for payroll and workforce-management services but also raise employer costs. Canadian Wage Data
• Negative Sentiment: August private payroll growth of 38,000 fell short of the 47,000 forecast and the prior month’s 44,000 increase. The slowdown could signal weaker hiring activity and slower growth in ADP’s payroll-processing volumes, although it may also increase expectations for easier Federal Reserve policy. ADP August Jobs Report
• Negative Sentiment: CEO Maria Black sold 29,810 shares worth approximately $8.4 million, reducing her direct stake by about 27%. The transaction was executed under a pre-arranged Rule 10b5-1 plan, which reduces its significance as a discretionary bearish signal but may still weigh modestly on sentiment. Maria Black Insider Sale

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on ADP shares. Morgan Stanley lifted their price target on Automatic Data Processing from $240.00 to $286.00 and gave the stock an “equal weight” rating in a research note on Thursday, July 30th. Guggenheim raised their target price on shares of Automatic Data Processing from $270.00 to $300.00 and gave the stock a “buy” rating in a report on Thursday, July 30th. BMO Capital Markets lifted their target price on shares of Automatic Data Processing from $248.00 to $305.00 and gave the stock a “market perform” rating in a research report on Wednesday, July 29th. Wells Fargo & Company boosted 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 report on Thursday, July 30th. Finally, Cantor Fitzgerald lifted their price objective on shares of Automatic Data Processing from $295.00 to $310.00 and gave the stock an “overweight” rating in a research report on Monday, August 3rd. Three equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Automatic Data Processing currently has an average rating of “Hold” and a consensus price target of $273.50.

Automatic Data Processing Stock Up 0.8%

Automatic Data Processing stock opened at $283.53 on Friday. Automatic Data Processing, Inc. has a twelve month low of $188.16 and a twelve month high of $302.68. The company has a debt-to-equity ratio of 0.82, a quick ratio of 1.05 and a current ratio of 1.05. The firm has a market cap of $112.64 billion, a PE ratio of 25.92, a P/E/G ratio of 2.55 and a beta of 0.82. The firm’s 50 day moving average price is $261.29 and its two-hundred day moving average price is $229.88.

Automatic Data Processing (NASDAQ:ADP) last issued its earnings results on Wednesday, July 29th. The business services provider reported $2.64 earnings per share (EPS) for the quarter, beating 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 quarter last year, the business posted $2.26 EPS. The company’s revenue for the quarter was up 6.8% on a year-over-year basis. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. On average, research analysts predict that Automatic Data Processing, Inc. will post 12.26 EPS for the current fiscal year.

Automatic Data Processing Dividend Announcement

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

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.