AIA Group Ltd Has $14.46 Million Stock Position in Automatic Data Processing, Inc. $ADP

AIA Group Ltd lessened its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 41.7% during the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 49,257 shares of the business services provider’s stock after selling 35,233 shares during the quarter. AIA Group Ltd’s holdings in Automatic Data Processing were worth $14,457,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in ADP. Vanguard Group Inc. increased its holdings in shares of Automatic Data Processing by 0.9% in the third quarter. Vanguard Group Inc. now owns 41,689,633 shares of the business services provider’s stock worth $12,235,907,000 after acquiring an additional 389,451 shares in the last quarter. State Street Corp grew its position in shares of Automatic Data Processing by 1.0% in the 2nd quarter. State Street Corp now owns 18,782,407 shares of the business services provider’s stock valued at $5,820,445,000 after purchasing an additional 187,415 shares during the period. Capital Research Global Investors increased its stake in Automatic Data Processing by 1.5% during the 3rd quarter. Capital Research Global Investors now owns 8,021,194 shares of the business services provider’s stock worth $2,354,220,000 after purchasing an additional 116,074 shares in the last quarter. Wellington Management Group LLP increased its stake in Automatic Data Processing by 47.8% during the 3rd quarter. Wellington Management Group LLP now owns 6,830,294 shares of the business services provider’s stock worth $2,004,691,000 after purchasing an additional 2,208,927 shares in the last quarter. Finally, Invesco Ltd. raised its holdings in Automatic Data Processing by 5.7% during the 3rd quarter. Invesco Ltd. now owns 4,837,993 shares of the business services provider’s stock worth $1,419,951,000 after buying an additional 261,312 shares during the period. 80.03% of the stock is currently owned by institutional investors.

Automatic Data Processing Stock Down 0.7%

Shares of ADP stock opened at $208.28 on Thursday. Automatic Data Processing, Inc. has a 52-week low of $203.26 and a 52-week high of $329.93. The stock has a market cap of $83.86 billion, a price-to-earnings ratio of 20.03 and a beta of 0.86. The firm’s 50-day moving average is $231.53 and its 200-day moving average is $257.95. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.03 and a current ratio of 1.03.

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

Automatic Data Processing Announces Dividend

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

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

Wall Street Analyst Weigh In

ADP has been the topic of a number of research reports. JPMorgan Chase & Co. cut their price target on shares of Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating on the stock in a research note on Thursday, January 29th. Morgan Stanley dropped 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 report on Thursday, January 29th. Stifel Nicolaus cut their price objective on shares of 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. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Automatic Data Processing in a research note on Monday, December 29th. Finally, Wells Fargo & Company lowered their target price on Automatic Data Processing from $272.00 to $262.00 and set an “underweight” 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 issued a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $290.00.

Insiders Place Their Bets

In other Automatic Data Processing news, VP Christopher D’ambrosio sold 543 shares of Automatic Data Processing stock in a transaction on Monday, March 16th. The shares were sold at an average price of $208.45, for a total transaction of $113,188.35. Following the completion of the transaction, the vice president directly owned 8,912 shares of the company’s stock, valued at $1,857,706.40. The trade was a 5.74% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, VP David Foskett sold 266 shares of the company’s stock in a transaction on Thursday, February 5th. The shares were sold at an average price of $237.00, for a total transaction 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 ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 4,058 shares of company stock worth $1,000,263 in the last quarter. Insiders own 0.20% of the company’s stock.

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.