AEGON ASSET MANAGEMENT UK Plc Sells 87,186 Shares of Automatic Data Processing, Inc. $ADP

AEGON ASSET MANAGEMENT UK Plc reduced its stake in Automatic Data Processing, Inc. (NASDAQ:ADP) by 22.5% during the third quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 299,553 shares of the business services provider’s stock after selling 87,186 shares during the period. Automatic Data Processing comprises approximately 1.0% of AEGON ASSET MANAGEMENT UK Plc’s investment portfolio, making the stock its 19th largest position. AEGON ASSET MANAGEMENT UK Plc owned 0.07% of Automatic Data Processing worth $87,839,000 as of its most recent SEC filing.

A number of other institutional investors have also added to or reduced their stakes in ADP. Mid American Wealth Advisory Group Inc. bought a new stake in shares of Automatic Data Processing during the second quarter worth $26,000. Harbor Asset Planning Inc. bought a new position in shares of Automatic Data Processing in the 2nd quarter valued at $26,000. Howard Hughes Medical Institute acquired a new stake in shares of Automatic Data Processing during the 2nd quarter valued at $27,000. Solstein Capital LLC acquired a new stake in shares of Automatic Data Processing during the 2nd quarter valued at $28,000. Finally, Westside Investment Management Inc. grew its position in Automatic Data Processing by 80.0% during the 2nd quarter. Westside Investment Management Inc. now owns 90 shares of the business services provider’s stock worth $28,000 after acquiring an additional 40 shares during the last quarter. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Insiders Place Their Bets

In other news, VP Christopher D’ambrosio sold 543 shares of the stock in a transaction dated Tuesday, January 13th. The shares were sold at an average price of $262.29, for a total transaction of $142,423.47. Following the transaction, the vice president owned 9,998 shares of the company’s stock, valued at $2,622,375.42. This represents a 5.15% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP David Kwon sold 806 shares of the firm’s stock in a transaction dated Monday, January 12th. The shares were sold at an average price of $264.80, for a total value of $213,428.80. Following the completion of the sale, the vice president owned 11,187 shares of the company’s stock, valued at approximately $2,962,317.60. This represents a 6.72% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 2,249 shares of company stock valued at $589,852 over the last 90 days. Corporate insiders own 0.20% of the company’s stock.

Automatic Data Processing Stock Down 0.8%

Shares of Automatic Data Processing stock opened at $257.87 on Monday. The stock’s 50-day moving average is $258.30 and its 200 day moving average is $279.42. Automatic Data Processing, Inc. has a one year low of $247.18 and a one year high of $329.93. The firm has a market cap of $104.30 billion, a price-to-earnings ratio of 25.46 and a beta of 0.86. The company has a debt-to-equity ratio of 0.62, a current ratio of 1.05 and a quick ratio of 1.05.

Automatic Data Processing (NASDAQ:ADP) last issued 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. The firm had revenue of $5.18 billion for the quarter, compared to analyst estimates of $5.14 billion. Automatic Data Processing had a return on equity of 70.63% and a net margin of 19.79%.The company’s revenue was up 7.1% compared to the same quarter last year. During the same period in the previous year, the firm earned $2.33 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities research analysts anticipate that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing declared that its Board of Directors has initiated a share repurchase program on Wednesday, January 14th that permits the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization permits the business services provider to purchase up to 5.8% of its stock through open market purchases. Stock repurchase programs are generally an indication that the company’s leadership believes its shares are undervalued.

Automatic Data Processing Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Investors of record on Friday, March 13th will be paid a dividend of $1.70 per share. The ex-dividend date of this dividend is Friday, March 13th. This represents a $6.80 annualized dividend and a yield of 2.6%. Automatic Data Processing’s dividend payout ratio is currently 67.13%.

Analyst Upgrades and Downgrades

Several research firms have commented on ADP. JPMorgan Chase & Co. dropped their target price on Automatic Data Processing from $340.00 to $295.00 and set an “underweight” rating for the company in a research report on Thursday, October 30th. 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. Weiss Ratings reiterated a “hold (c+)” rating on shares of Automatic Data Processing in a report on Monday, December 29th. Wells Fargo & Company cut their target price on shares of Automatic Data Processing from $288.00 to $272.00 and set an “underweight” rating on the stock in a research report on Thursday, October 30th. Finally, Jefferies Financial Group reissued an “underperform” rating and set a $230.00 target price (down from $245.00) on shares of Automatic Data Processing in a report on Tuesday, December 16th. 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 stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and an average target price of $306.42.

Automatic Data Processing Profile

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.