Ferguson Wellman Capital Management Inc. Acquires 120,671 Shares of Automatic Data Processing, Inc. $ADP

Ferguson Wellman Capital Management Inc. increased its holdings in Automatic Data Processing, Inc. (NASDAQ:ADP) by 44.2% during the third quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 393,750 shares of the business services provider’s stock after purchasing an additional 120,671 shares during the quarter. Automatic Data Processing accounts for 1.9% of Ferguson Wellman Capital Management Inc.’s investment portfolio, making the stock its 15th biggest position. Ferguson Wellman Capital Management Inc. owned 0.10% of Automatic Data Processing worth $115,566,000 as of its most recent SEC filing.

Other institutional investors have also added to or reduced their stakes in the company. Laurel Wealth Advisors LLC increased its holdings in shares of Automatic Data Processing by 30,110.7% in the second quarter. Laurel Wealth Advisors LLC now owns 4,668,758 shares of the business services provider’s stock worth $1,439,845,000 after buying an additional 4,653,304 shares during the period. Norges Bank bought a new position in Automatic Data Processing during the 2nd quarter worth approximately $696,841,000. Amundi increased its stake in Automatic Data Processing by 24.9% in the 2nd quarter. Amundi now owns 3,109,120 shares of the business services provider’s stock worth $948,549,000 after purchasing an additional 619,829 shares during the period. JPMorgan Chase & Co. lifted its position in Automatic Data Processing by 26.6% in the second quarter. JPMorgan Chase & Co. now owns 2,812,637 shares of the business services provider’s stock valued at $867,445,000 after purchasing an additional 591,800 shares during the last quarter. Finally, Invesco Ltd. boosted its stake in shares of Automatic Data Processing by 13.5% during the second quarter. Invesco Ltd. now owns 4,576,681 shares of the business services provider’s stock valued at $1,411,449,000 after purchasing an additional 544,968 shares during the period. 80.03% of the stock is currently owned by hedge funds and other institutional investors.

Automatic Data Processing Stock Up 1.7%

Shares of NASDAQ ADP opened at $265.67 on Friday. The firm has a fifty day simple moving average of $257.48 and a two-hundred day simple moving average of $283.43. Automatic Data Processing, Inc. has a 12 month low of $247.18 and a 12 month 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 $107.45 billion, a PE ratio of 26.23 and a beta of 0.86.

Automatic Data Processing (NASDAQ:ADP) last announced its quarterly earnings results on Wednesday, October 29th. The business services provider reported $2.49 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.44 by $0.05. Automatic Data Processing had a net margin of 19.79% and a return on equity of 70.63%. The company had revenue of $5.18 billion for the quarter, compared to analysts’ expectations of $5.14 billion. During the same quarter in the previous year, the company earned $2.33 earnings per share. Automatic Data Processing’s quarterly revenue was up 7.1% on a year-over-year basis. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities analysts expect that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.

Automatic Data Processing Increases Dividend

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

Analyst Ratings Changes

Several research analysts have recently issued reports on the stock. Weiss Ratings restated a “hold (c+)” rating on shares of Automatic Data Processing in a report on Monday, December 29th. Jefferies Financial Group reissued an “underperform” rating and issued a $230.00 price target (down previously from $245.00) on shares of Automatic Data Processing in a report on Tuesday, December 16th. Citigroup started coverage on shares of Automatic Data Processing in a research report on Thursday, October 23rd. They issued a “neutral” rating and a $303.00 price objective on the stock. Wells Fargo & Company dropped their target price on shares of Automatic Data Processing from $288.00 to $272.00 and set an “underweight” rating for the company in a report on Thursday, October 30th. Finally, JPMorgan Chase & Co. cut their target price on Automatic Data Processing from $340.00 to $295.00 and set an “underweight” rating on the stock in a research note on Thursday, October 30th. 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. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $306.42.

Insider Activity at Automatic Data Processing

In other news, VP David Kwon sold 900 shares of the firm’s stock in a transaction that occurred on Tuesday, January 6th. The stock was sold at an average price of $260.00, for a total value of $234,000.00. Following the completion of the transaction, the vice president owned 11,993 shares in the company, valued at $3,118,180. This trade represents a 6.98% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.20% of the stock is currently owned by insiders.

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.