Automatic Data Processing, Inc. $ADP Position Trimmed by Profund Advisors LLC

Profund Advisors LLC decreased its stake in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 8.9% during the third quarter, Holdings Channel reports. The firm owned 28,626 shares of the business services provider’s stock after selling 2,794 shares during the quarter. Profund Advisors LLC’s holdings in Automatic Data Processing were worth $7,387,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds have also recently made changes to their positions in the business. Vise Technologies Inc. purchased a new stake in shares of Automatic Data Processing in the third quarter valued at $7,168,000. Investment Partners LTD. grew its stake in Automatic Data Processing by 46.8% in the third quarter. Investment Partners LTD. now owns 10,250 shares of the business services provider’s stock valued at $2,645,000 after purchasing an additional 3,270 shares during the last quarter. Cidel Asset Management Inc. lifted its position in Automatic Data Processing by 8.8% during the third quarter. Cidel Asset Management Inc. now owns 2,093 shares of the business services provider’s stock valued at $540,000 after acquiring an additional 169 shares during the last quarter. MGO One Seven LLC increased its position in shares of Automatic Data Processing by 9.1% during the third quarter. MGO One Seven LLC now owns 15,139 shares of the business services provider’s stock worth $3,907,000 after purchasing an additional 1,268 shares in the last quarter. Finally, Marin Bay Wealth Advisors LLC acquired a new stake in shares of Automatic Data Processing in the 3rd quarter worth $232,000. Institutional investors own 80.03% of the company’s stock.

Automatic Data Processing Trading Up 2.7%

NASDAQ:ADP opened at $293.84 on Friday. The company has a market cap of $116.43 billion, a PE ratio of 26.05, a P/E/G ratio of 2.65 and a beta of 0.83. The business’s 50 day moving average is $277.25 and its two-hundred day moving average is $240.83. The company has a quick ratio of 1.05, a current ratio of 1.03 and a debt-to-equity ratio of 0.98. Automatic Data Processing, Inc. has a 52 week low of $188.16 and a 52 week high of $309.40.

Automatic Data Processing (NASDAQ:ADP) last announced its earnings results on Wednesday, October 28th. The business services provider reported $2.82 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.77 by $0.05. Automatic Data Processing had a net margin of 20.33% and a return on equity of 77.01%. The firm had revenue of $5.49 billion during the quarter, compared to analyst estimates of $5.48 billion. During the same quarter in the prior year, the firm posted $2.49 EPS. Automatic Data Processing’s revenue was up 6.1% compared to the same quarter last year. On average, analysts predict that Automatic Data Processing, Inc. will post 12.36 EPS for the current year.

Automatic Data Processing Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Friday, September 11th were given a $1.70 dividend. The ex-dividend date was Friday, September 11th. This represents a $6.80 dividend on an annualized basis and a dividend yield of 2.3%. Automatic Data Processing’s dividend payout ratio (DPR) is currently 60.28%.

Key Headlines Impacting Automatic Data Processing

Here are the key news stories impacting Automatic Data Processing this week:

• Positive Sentiment: Raised fiscal 2027 outlook: ADP now forecasts 10%–12% growth in adjusted earnings per share and raised its outlook for client-funds interest revenue to $1.59 billion–$1.61 billion. The improved guidance is the clearest near-term catalyst for the stock. ADP forecasts fiscal 2027 adjusted EPS growth
• Positive Sentiment: Quarterly results exceeded expectations: ADP reported earnings of $2.82 per share versus the $2.77 consensus estimate, while revenue of $5.49 billion modestly topped forecasts and increased 6.1% year over year. Management also highlighted AI momentum during the earnings call. ADP fiscal 2027 first-quarter results
• Positive Sentiment: Some analysts see additional upside: Guggenheim reaffirmed a Buy rating with a $340 price target, while Stifel raised its target to $305. Jefferies also lifted its target, although it retained an Underperform rating. Guggenheim ADP rating
• Neutral Sentiment: Expansion in small-business payroll: ADP is broadening its reach among small-business customers, a move that could support long-term client and revenue growth but may require additional investment. ADP small-business payroll expansion
• Negative Sentiment: Valuation and analyst caution: Citi, Morgan Stanley, and RBC maintain neutral or equivalent ratings with targets around $288–$295, while Jefferies remains bearish. A Seeking Alpha analysis also argues that investors should not chase the rally despite ADP’s attractive dividend-growth record. ADP dividend growth and valuation analysis

Insider Buying and Selling at Automatic Data Processing

In other Automatic Data Processing news, VP David Kwon sold 798 shares of the stock in a transaction dated Thursday, August 20th. The stock was sold at an average price of $280.00, for a total value of $223,440.00. Following the completion of the sale, the vice president directly owned 13,193 shares in the company, valued at $3,694,040. This represents a 5.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Brian L. Michaud sold 120 shares of the business’s stock in a transaction on Friday, August 21st. The stock was sold at an average price of $279.70, for a total transaction of $33,564.00. Following the transaction, the vice president owned 18,442 shares in the company, valued at approximately $5,158,227.40. The trade was a 0.65% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 31,359 shares of company stock worth $8,809,422 in the last three months. 0.15% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

Several research firms recently issued reports on ADP. Cantor Fitzgerald upped their target price on Automatic Data Processing from $295.00 to $310.00 and gave the company an “overweight” rating in a research report on Monday, August 3rd. Citigroup boosted their price objective on shares of Automatic Data Processing from $287.00 to $295.00 and gave the company a “neutral” rating in a report on Thursday. TD Cowen increased their target price on Automatic Data Processing from $216.00 to $223.00 and gave the company a “hold” rating in a report on Monday, July 6th. Jefferies Financial Group lifted their price objective on shares of Automatic Data Processing from $225.00 to $250.00 and gave the company an “underperform” rating in a research note on Wednesday. Finally, Royal Bank Of Canada reiterated a “sector perform” rating and set a $290.00 price target on shares of Automatic Data Processing in a research note on Thursday. Three analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $283.27.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc (NASDAQ: ADP) is a global provider of human capital management and business outsourcing solutions. The company helps employers manage payroll, human resources, workforce administration, benefits, tax compliance, time and attendance, talent management, and related employment processes.

ADP offers cloud-based platforms and services designed for businesses of various sizes, from small enterprises to large organizations. Its portfolio includes payroll processing, human resources management, employee benefits administration, retirement services, workforce management, data analytics, and professional employer organization services through ADP TotalSource.

Founded in 1949, ADP serves businesses in the United States and international markets.