David Kwon Sells 806 Shares of Automatic Data Processing (NASDAQ:ADP) Stock

by · The Markets Daily

Automatic Data Processing, Inc. (NASDAQ:ADPGet Free Report) VP David Kwon sold 806 shares of the business’s stock in a transaction that occurred on Monday, January 12th. The shares were sold at an average price of $264.80, for a total transaction of $213,428.80. Following the sale, the vice president owned 11,187 shares of the company’s stock, valued at $2,962,317.60. This trade represents a 6.72% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link.

David Kwon also recently made the following trade(s):

  • On Tuesday, January 6th, David Kwon sold 900 shares of Automatic Data Processing stock. The stock was sold at an average price of $260.00, for a total transaction of $234,000.00.

Automatic Data Processing Stock Performance

Automatic Data Processing stock traded up $1.43 during trading on Wednesday, reaching $258.50. The company had a trading volume of 1,894,166 shares, compared to its average volume of 1,837,532. The firm’s 50-day simple moving average is $257.67 and its 200 day simple moving average is $282.21. Automatic Data Processing, Inc. has a 52 week low of $247.18 and a 52 week high of $329.93. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.62. The firm has a market capitalization of $104.55 billion, a price-to-earnings ratio of 25.52 and a beta of 0.86.

Automatic Data Processing (NASDAQ:ADPGet Free Report) last posted its quarterly earnings data on Wednesday, October 29th. The business services provider reported $2.49 EPS for the quarter, topping the consensus estimate of $2.44 by $0.05. The firm had revenue of $5.18 billion for the quarter, compared to the consensus estimate of $5.14 billion. Automatic Data Processing had a return on equity of 70.63% and a net margin of 19.79%.The business’s revenue for the quarter was up 7.1% compared to the same quarter last year. During the same quarter last year, the company earned $2.33 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Sell-side analysts forecast that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current fiscal year.

Automatic Data Processing Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, January 1st. Stockholders of record on Friday, December 12th were given a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a dividend yield of 2.6%. The ex-dividend date was Friday, December 12th. This is a positive change from Automatic Data Processing’s previous quarterly dividend of $1.54. Automatic Data Processing’s payout ratio is 67.13%.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Vanguard Group Inc. lifted its stake in shares of Automatic Data Processing by 0.9% in the 3rd quarter. Vanguard Group Inc. now owns 41,689,633 shares of the business services provider’s stock valued at $12,235,907,000 after purchasing an additional 389,451 shares during the last quarter. State Street Corp raised its holdings in Automatic Data Processing by 1.0% during the 2nd quarter. State Street Corp now owns 18,782,407 shares of the business services provider’s stock valued at $5,820,445,000 after buying an additional 187,415 shares during the period. Geode Capital Management LLC lifted its position in Automatic Data Processing by 3.1% in the second quarter. Geode Capital Management LLC now owns 11,388,935 shares of the business services provider’s stock worth $3,511,698,000 after buying an additional 345,798 shares during the last quarter. Capital Research Global Investors boosted its stake in Automatic Data Processing by 1.5% during the third quarter. Capital Research Global Investors now owns 8,021,194 shares of the business services provider’s stock worth $2,354,220,000 after buying an additional 116,074 shares during the period. Finally, Wellington Management Group LLP boosted its stake in Automatic Data Processing by 47.8% during the third quarter. Wellington Management Group LLP now owns 6,830,294 shares of the business services provider’s stock worth $2,004,691,000 after buying an additional 2,208,927 shares during the period. Institutional investors own 80.03% of the company’s stock.

Analyst Upgrades and Downgrades

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

Read Our Latest Stock Analysis on ADP

About Automatic Data Processing

(Get Free Report)

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.

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