Automatic Data Processing, Inc. $ADP Shares Sold by Assenagon Asset Management S.A.

Assenagon Asset Management S.A. cut its stake in Automatic Data Processing, Inc. (NASDAQ:ADP) by 96.9% in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 19,575 shares of the business services provider’s stock after selling 616,368 shares during the period. Assenagon Asset Management S.A.’s holdings in Automatic Data Processing were worth $5,035,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

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

Wall Street Analyst Weigh In

ADP has been the subject of a number of recent analyst reports. Morgan Stanley cut their price objective on Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating for the company in a research report on Thursday, January 29th. Guggenheim assumed coverage on shares of Automatic Data Processing in a research report on Thursday, March 19th. They issued a “buy” rating and a $270.00 target price on the stock. Wells Fargo & Company lowered their target price on shares of Automatic Data Processing from $262.00 to $214.00 and set an “underweight” rating for the company in a research note on Friday. Weiss Ratings reiterated a “hold (c+)” rating on shares of Automatic Data Processing in a research report on Monday, December 29th. Finally, Stifel Nicolaus reduced their price target on shares of Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating on the stock in a research note on Monday, February 9th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, Automatic Data Processing has a consensus rating of “Hold” and an average target price of $284.77.

Insider Buying and Selling

In related news, VP David Foskett sold 266 shares of the business’s stock in a transaction on Thursday, February 5th. The stock was 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 directly owned 10,954 shares of the company’s stock, valued at $2,596,098. The trade was a 2.37% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, VP Christopher D’ambrosio sold 543 shares of the company’s stock in a transaction dated Tuesday, January 13th. The stock was sold at an average price of $262.29, for a total value of $142,423.47. Following the sale, the vice president owned 9,998 shares in the company, valued at approximately $2,622,375.42. This trade represents a 5.15% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 4,058 shares of company stock valued at $1,000,263. 0.20% of the stock is currently owned by company insiders.

Automatic Data Processing Trading Down 1.6%

NASDAQ ADP opened at $201.25 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 firm has a market cap of $81.03 billion, a price-to-earnings ratio of 19.35 and a beta of 0.86. The firm has a 50 day simple moving average of $223.75 and a 200-day simple moving average of $253.38. Automatic Data Processing, Inc. has a one year low of $198.59 and a one year high of $329.93.

Automatic Data Processing (NASDAQ:ADP) last announced its earnings results on Wednesday, January 28th. The business services provider reported $2.62 earnings per share for the quarter, topping the consensus estimate of $2.57 by $0.05. Automatic Data Processing had a net margin of 19.96% and a return on equity of 68.44%. The firm had revenue of $5.36 billion for the quarter, compared to the consensus estimate of $5.34 billion. During the same period in the prior year, the firm earned $2.35 EPS. The firm’s revenue for the quarter 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. Equities research analysts anticipate that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 1st. Stockholders of record on Friday, March 13th will be paid a $1.70 dividend. This represents a $6.80 annualized dividend and a dividend yield of 3.4%. The ex-dividend date is Friday, March 13th. Automatic Data Processing’s dividend payout ratio (DPR) is presently 65.38%.

Automatic Data Processing announced that its board has authorized a share buyback program on Wednesday, January 14th that permits the company to buyback $6.00 billion in outstanding shares. This buyback authorization permits the business services provider to purchase up to 5.8% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s board believes its shares are undervalued.

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.