Engineers Gate Manager LP Boosts Position in Automatic Data Processing, Inc. $ADP

Engineers Gate Manager LP raised its position in Automatic Data Processing, Inc. (NASDAQ:ADP) by 656.7% during the second quarter, according to the company in its most recent disclosure with the SEC. The firm owned 42,142 shares of the business services provider’s stock after acquiring an additional 36,573 shares during the quarter. Engineers Gate Manager LP’s holdings in Automatic Data Processing were worth $9,438,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also bought and sold shares of the company. California State Teachers Retirement System increased its position in shares of Automatic Data Processing by 22,166.8% during the 2nd quarter. California State Teachers Retirement System now owns 140,971,822 shares of the business services provider’s stock valued at $31,570,640,000 after purchasing an additional 140,338,719 shares during the last quarter. BlackRock Inc. purchased a new position in shares of Automatic Data Processing in the second quarter worth approximately $8,097,229,000. State Street Corp boosted its holdings in shares of Automatic Data Processing by 0.7% in the fourth quarter. State Street Corp now owns 18,940,841 shares of the business services provider’s stock worth $4,903,769,000 after buying an additional 133,039 shares during the last quarter. Geode Capital Management LLC grew its position in Automatic Data Processing by 1.2% during the fourth quarter. Geode Capital Management LLC now owns 11,576,572 shares of the business services provider’s stock valued at $2,977,777,000 after buying an additional 136,876 shares during the period. Finally, Capital Research Global Investors grew its position in Automatic Data Processing by 4.6% during the fourth quarter. Capital Research Global Investors now owns 8,393,607 shares of the business services provider’s stock valued at $2,159,088,000 after buying an additional 372,413 shares during the period. 80.03% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several research analysts have weighed in on the stock. Citigroup increased their price target on shares of Automatic Data Processing from $230.00 to $287.00 and gave the stock a “neutral” rating in a research report on Thursday, July 30th. Weiss Ratings raised shares of Automatic Data Processing from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, July 21st. UBS Group raised their target price on Automatic Data Processing from $260.00 to $270.00 and gave the stock a “neutral” rating in a report on Wednesday, July 22nd. TD Cowen lifted their target price on Automatic Data Processing from $216.00 to $223.00 and gave the company a “hold” rating in a research report on Monday, July 6th. Finally, Stifel Nicolaus lifted their target price on Automatic Data Processing from $260.00 to $285.00 and gave the company a “hold” rating in a research report on Thursday, July 30th. Three research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $273.50.

Insiders Place Their Bets

In related news, VP Joseph Desilva sold 631 shares of the stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $282.87, for a total transaction of $178,490.97. Following the completion of the sale, the vice president owned 18,824 shares in the company, valued at approximately $5,324,744.88. This trade represents a 3.24% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Brian L. Michaud sold 120 shares of the stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $279.70, for a total transaction of $33,564.00. Following the sale, the vice president directly owned 18,442 shares of the company’s stock, valued at approximately $5,158,227.40. This trade represents a 0.65% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 33,773 shares of company stock valued at $9,450,629 over the last three months. Insiders own 0.20% of the company’s stock.

Automatic Data Processing Price Performance

Shares of NASDAQ:ADP opened at $267.33 on Friday. The company has a market capitalization of $106.20 billion, a P/E ratio of 24.44, a P/E/G ratio of 2.40 and a beta of 0.82. Automatic Data Processing, Inc. has a 1-year low of $188.16 and a 1-year high of $299.22. The firm’s 50 day simple moving average is $265.40 and its two-hundred day simple moving average is $231.87. The company has a debt-to-equity ratio of 0.82, a current ratio of 1.05 and a quick ratio of 1.05.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings data on Wednesday, July 29th. The business services provider reported $2.64 earnings per share (EPS) for the quarter, topping 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 firm had revenue of $5.47 billion during the quarter, compared to analysts’ expectations of $5.44 billion. During the same period in the prior year, the company posted $2.26 earnings per share. The company’s revenue for the quarter was up 6.8% compared to the same quarter last year. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. Research analysts expect that Automatic Data Processing, Inc. will post 12.26 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Shareholders of record on Friday, September 11th will be issued 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 yield of 2.5%. Automatic Data Processing’s dividend payout ratio (DPR) is currently 62.16%.

About Automatic Data Processing

Automatic Data Processing, Inc (NASDAQ: ADP) is a provider of human capital management (HCM) solutions and business outsourcing services. The company helps organizations manage payroll, employment taxes, human resources administration, employee benefits, workforce management, talent management, and compliance.

ADP offers cloud-based products for businesses of different sizes, including payroll and HR platforms, time and attendance tools, recruiting and talent solutions, benefits administration, and data and analytics services.