Ameriprise Financial Inc. Has $1.26 Billion Stock Position in Automatic Data Processing, Inc. $ADP

Ameriprise Financial Inc. grew its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 3.3% during the third quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 4,323,554 shares of the business services provider’s stock after purchasing an additional 136,142 shares during the quarter. Ameriprise Financial Inc. owned about 1.07% of Automatic Data Processing worth $1,264,118,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors and hedge funds have also modified their holdings of ADP. Exchange Traded Concepts LLC lifted its holdings in Automatic Data Processing by 141.5% in the 3rd quarter. Exchange Traded Concepts LLC now owns 13,283 shares of the business services provider’s stock worth $3,899,000 after purchasing an additional 7,782 shares during the last quarter. Mitchell Capital Management Co. grew its holdings in Automatic Data Processing by 325.0% during the third quarter. Mitchell Capital Management Co. now owns 6,800 shares of the business services provider’s stock valued at $1,996,000 after purchasing an additional 5,200 shares during the last quarter. Atlantic Union Bankshares Corp raised its position in shares of Automatic Data Processing by 136.0% in the third 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 raised its position in shares of Automatic Data Processing by 2.6% in the third 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 during the period. Finally, Thrivent Financial for Lutherans lifted its position in Automatic Data Processing by 18.4% during the 3rd quarter. Thrivent Financial for Lutherans now owns 138,215 shares of the business services provider’s stock worth $40,566,000 after acquiring an additional 21,444 shares during the last quarter. Institutional investors and hedge funds own 80.03% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on the company. Stifel Nicolaus lowered their price target on Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating on the stock in a research report on Monday, February 9th. Cantor Fitzgerald initiated coverage on Automatic Data Processing in a research report on Tuesday, January 27th. They set an “overweight” rating and a $306.00 price objective for the company. Jefferies Financial Group reaffirmed an “underperform” rating and issued a $230.00 target price (down from $245.00) on shares of Automatic Data Processing in a report on Tuesday, December 16th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Automatic Data Processing in a research report on Monday, December 29th. Finally, Citigroup cut their price target on Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating for the company in a report on Thursday, January 29th. Two 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. According to MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $290.00.

Insider Transactions at Automatic Data Processing

In related news, VP Christopher D’ambrosio sold 543 shares of the company’s stock in a transaction on Tuesday, January 13th. The stock was sold at an average price of $262.29, for a total value of $142,423.47. Following the completion of the transaction, the vice president directly owned 9,998 shares in the company, valued at approximately $2,622,375.42. This represents a 5.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, VP David Kwon sold 900 shares of the firm’s stock in a transaction 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 directly owned 11,993 shares of the company’s stock, valued at approximately $3,118,180. This trade represents a 6.98% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 3,515 shares of company stock valued at $887,074. Company insiders own 0.20% of the company’s stock.

Automatic Data Processing Stock Up 0.5%

Shares of ADP opened at $208.52 on Friday. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.03 and a current ratio of 1.03. The company has a 50-day simple moving average of $234.58 and a 200-day simple moving average of $259.94. Automatic Data Processing, Inc. has a 52 week low of $203.26 and a 52 week high of $329.93. The firm has a market capitalization of $83.96 billion, a P/E ratio of 20.05 and a beta of 0.86.

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

Automatic Data Processing Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Stockholders of record on Friday, March 13th will be given a dividend of $1.70 per share. The ex-dividend date is Friday, March 13th. This represents a $6.80 dividend on an annualized basis and a dividend yield of 3.3%. Automatic Data Processing’s payout ratio is currently 65.38%.

Automatic Data Processing announced that its Board of Directors has authorized a stock repurchase plan on Wednesday, January 14th that allows the company to buyback $6.00 billion in outstanding shares. This buyback authorization allows the business services provider to repurchase up to 5.8% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s board believes its shares are undervalued.

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.