Citigroup Inc. Has $225.03 Million Stake in Automatic Data Processing, Inc. $ADP

Citigroup Inc. reduced its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 12.7% in the third quarter, according to its most recent filing with the SEC. The institutional investor owned 766,723 shares of the business services provider’s stock after selling 111,194 shares during the period. Citigroup Inc. owned about 0.19% of Automatic Data Processing worth $225,033,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds have also recently modified their holdings of the company. Exchange Traded Concepts LLC grew its stake in Automatic Data Processing by 141.5% during the third quarter. Exchange Traded Concepts LLC now owns 13,283 shares of the business services provider’s stock valued at $3,899,000 after acquiring an additional 7,782 shares in the last quarter. Mitchell Capital Management Co. lifted its stake in Automatic Data Processing by 325.0% in the 3rd quarter. Mitchell Capital Management Co. now owns 6,800 shares of the business services provider’s stock worth $1,996,000 after purchasing an additional 5,200 shares in the last quarter. Atlantic Union Bankshares Corp boosted its holdings in Automatic Data Processing by 136.0% in the 3rd quarter. Atlantic Union Bankshares Corp now owns 47,974 shares of the business services provider’s stock valued at $14,080,000 after purchasing an additional 27,644 shares during the period. CIBC Asset Management Inc grew its position in shares of Automatic Data Processing by 2.6% during the 3rd quarter. CIBC Asset Management Inc now owns 183,561 shares of the business services provider’s stock valued at $53,875,000 after purchasing an additional 4,720 shares in the last quarter. Finally, Thrivent Financial for Lutherans increased its holdings in shares of Automatic Data Processing by 18.4% in the third quarter. Thrivent Financial for Lutherans now owns 138,215 shares of the business services provider’s stock worth $40,566,000 after purchasing an additional 21,444 shares during the period. 80.03% of the stock is owned by hedge funds and other institutional investors.

Automatic Data Processing Price Performance

Shares of Automatic Data Processing stock opened at $214.47 on Friday. The business’s 50-day moving average price is $247.87 and its 200-day moving average price is $269.28. The firm has a market capitalization of $86.35 billion, a PE ratio of 20.62 and a beta of 0.85. Automatic Data Processing, Inc. has a 12 month low of $208.62 and a 12 month high of $329.93. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 0.62.

Automatic Data Processing (NASDAQ:ADP) last issued its earnings results on Wednesday, January 28th. The business services provider reported $2.62 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.57 by $0.05. The business had revenue of $5.36 billion during the quarter, compared to analyst estimates of $5.34 billion. Automatic Data Processing had a return on equity of 68.44% and a net margin of 19.96%.Automatic Data Processing’s revenue for the quarter was up 6.2% on a year-over-year basis. During the same quarter in the prior year, the firm earned $2.35 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. Sell-side analysts forecast that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing declared that its Board of Directors has initiated a stock 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 reacquire up to 5.8% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board believes its shares are undervalued.

Automatic Data Processing Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, April 1st. Shareholders of record on Friday, March 13th will be paid a $1.70 dividend. The ex-dividend date of this dividend is Friday, March 13th. This represents a $6.80 annualized dividend and a yield of 3.2%. Automatic Data Processing’s payout ratio is currently 65.38%.

Insider Buying and Selling at Automatic Data Processing

In other news, VP Christopher D’ambrosio sold 543 shares of the firm’s stock in a transaction dated Tuesday, January 13th. The stock was sold at an average price of $262.29, for a total transaction of $142,423.47. Following the transaction, the vice president directly owned 9,998 shares of the company’s stock, valued at approximately $2,622,375.42. This trade represents a 5.15% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, VP David Foskett sold 266 shares of Automatic Data Processing stock in a transaction dated Thursday, February 5th. The stock was sold at an average price of $237.00, for a total value of $63,042.00. Following the completion of the transaction, the vice president owned 10,954 shares in the company, valued at approximately $2,596,098. This represents a 2.37% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 3,515 shares of company stock valued at $887,074. Corporate insiders own 0.20% of the company’s stock.

Analysts Set New Price Targets

Several research firms recently issued reports on ADP. JPMorgan Chase & Co. dropped their price objective on Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating for the company in a research note on Thursday, January 29th. Citigroup lowered their price target on Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating on the stock in a report on Thursday, January 29th. Weiss Ratings reissued a “hold (c+)” rating on shares of Automatic Data Processing in a report on Monday, December 29th. Morgan Stanley decreased their price objective on shares of Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a research report on Thursday, January 29th. Finally, Stifel Nicolaus dropped their target price on shares of Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating for the company in a research report on Monday, February 9th. Two equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, Automatic Data Processing has a consensus rating of “Hold” and a consensus price target of $290.00.

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.