Automatic Data Processing (NASDAQ:ADP) Price Target Raised to $340.00

by · The Markets Daily

Automatic Data Processing (NASDAQ:ADP – Free Report) had its price target upped by Guggenheim from $300.00 to $340.00 in a research report sent to investors on Friday morning,Benzinga reports. The firm currently has a buy rating on the business services provider’s stock.

ADP has been the topic of a number of other reports. Cantor Fitzgerald lifted their target price on Automatic Data Processing from $295.00 to $310.00 and gave the stock an “overweight” rating in a report on Monday, August 3rd. Stifel Nicolaus lifted their price objective on shares of Automatic Data Processing from $260.00 to $285.00 and gave the stock a “hold” rating in a research report on Thursday, July 30th. BMO Capital Markets boosted their target price on shares of Automatic Data Processing from $248.00 to $305.00 and gave the company a “market perform” rating in a research note on Wednesday, July 29th. Morgan Stanley increased their target price on Automatic Data Processing from $240.00 to $286.00 and gave the company an “equal weight” rating in a report on Thursday, July 30th. Finally, Wells Fargo & Company increased their price target on shares of Automatic Data Processing from $248.00 to $283.00 and gave the stock an “equal weight” rating in a research report on Thursday, July 30th. Three research analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $276.36.

View Our Latest Analysis on Automatic Data Processing

Automatic Data Processing Stock Performance

Shares of ADP stock opened at $304.16 on Friday. Automatic Data Processing has a 52 week low of $188.16 and a 52 week high of $309.40. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.82. The business has a 50 day moving average of $275.45 and a two-hundred day moving average of $245.77. The company has a market cap of $120.52 billion, a P/E ratio of 27.80, a PEG ratio of 2.75 and a beta of 0.83.

Automatic Data Processing (NASDAQ:ADP – Get Free Report) last posted 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 return on equity of 71.34% and a net margin of 20.11%. The company had revenue of $5.47 billion for the quarter, compared to analysts’ expectations of $5.44 billion. During the same period last year, the business posted $2.26 earnings per share. The firm’s quarterly revenue 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. As a group, analysts anticipate that Automatic Data Processing will post 12.27 EPS for the current year.

Automatic Data Processing Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Friday, September 11th were given a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend was Friday, September 11th. Automatic Data Processing’s dividend payout ratio is presently 62.16%.

Insider Buying and Selling

In other news, VP Joseph Desilva sold 631 shares of the company’s 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 represents a 3.24% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Maria Black sold 29,810 shares of the stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $280.91, for a total value of $8,373,927.10. Following the transaction, the chief executive officer directly owned 80,624 shares in the company, valued at approximately $22,648,087.84. This represents a 26.99% decrease in their position. 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 in the last three months. 0.15% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the stock. Polaris Financial Partners acquired a new position in Automatic Data Processing during the third quarter valued at approximately $25,000. Whipplewood Advisors LLC boosted its holdings in shares of Automatic Data Processing by 2,740.0% during the 1st quarter. Whipplewood Advisors LLC now owns 142 shares of the business services provider’s stock worth $29,000 after buying an additional 137 shares during the period. Kelly Lawrence W & Associates Inc. CA bought a new stake in shares of Automatic Data Processing during the 2nd quarter worth $34,000. Cornerstone Financial Management LLC boosted its holdings in shares of Automatic Data Processing by 59.2% during the 2nd quarter. Cornerstone Financial Management LLC now owns 156 shares of the business services provider’s stock worth $35,000 after buying an additional 58 shares during the period. Finally, N.E.W. Advisory Services LLC acquired a new position in Automatic Data Processing in the 2nd quarter valued at $36,000. 80.03% of the stock is owned by institutional investors.

About Automatic Data Processing

(Get Free Report)

Automatic Data Processing, Inc (NASDAQ: ADP) is a global provider of human capital management and business outsourcing solutions. The company helps employers manage payroll, human resources, workforce administration, benefits, tax compliance, time and attendance, talent management, and related employment processes.

ADP offers cloud-based platforms and services designed for businesses of various sizes, from small enterprises to large organizations. Its portfolio includes payroll processing, human resources management, employee benefits administration, retirement services, workforce management, data analytics, and professional employer organization services through ADP TotalSource.

Founded in 1949, ADP serves businesses in the United States and international markets.

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