Automatic Data Processing, Inc. $ADP Stock: Calamos Advisors LLC Grows Holdings

Calamos Advisors LLC lifted its stake in Automatic Data Processing, Inc. (NASDAQ:ADP) by 2.1% in the 3rd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 96,099 shares of the business services provider’s stock after buying an additional 2,022 shares during the period. Calamos Advisors LLC’s holdings in Automatic Data Processing were worth $24,799,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other large investors have also added to or reduced their stakes in the stock. BlackRock Inc. bought a new position in Automatic Data Processing during the 2nd quarter worth $8,097,229,000. Bank of America Corp DE bought a new stake in shares of Automatic Data Processing during the 2nd quarter valued at $1,231,175,000. Deutsche Bank AG acquired a new stake in shares of Automatic Data Processing during the 2nd quarter worth $994,937,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in shares of Automatic Data Processing by 3.1% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 4,251,447 shares of the business services provider’s stock worth $952,112,000 after purchasing an additional 129,376 shares in the last quarter. Finally, Bank of New York Mellon Corp acquired a new stake in shares of Automatic Data Processing during the 2nd quarter worth $725,513,000. Institutional investors and hedge funds own 80.03% of the company’s stock.

Analyst Upgrades and Downgrades

ADP has been the subject of a number of analyst reports. BMO Capital Markets boosted their price target on Automatic Data Processing from $248.00 to $305.00 and gave the company a “market perform” rating in a research note on Wednesday, July 29th. Morgan Stanley increased their price objective on shares of Automatic Data Processing from $286.00 to $288.00 and gave the stock an “equal weight” rating in a research note on Thursday, October 29th. Weiss Ratings raised shares of Automatic Data Processing from a “hold (c)” rating to a “hold (c+)” rating in a report on Tuesday, September 22nd. Royal Bank Of Canada reaffirmed a “sector perform” rating and issued a $290.00 price objective on shares of Automatic Data Processing in a research note on Thursday, October 29th. Finally, Jefferies Financial Group increased 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, October 28th. Three analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, Automatic Data Processing currently has an average rating of “Hold” and a consensus price target of $285.00.

Insider Buying and Selling at Automatic Data Processing

In other Automatic Data Processing news, VP Jonathan Lehberger sold 770 shares of Automatic Data Processing stock in a transaction that occurred on Wednesday, November 4th. The stock was sold at an average price of $300.35, for a total value of $231,269.50. Following the completion of the sale, the vice president directly owned 4,961 shares in the company, valued at approximately $1,490,036.35. The trade was a 13.44% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Virginia Magliulo sold 852 shares of the stock in a transaction that occurred on Thursday, November 5th. The stock was sold at an average price of $310.01, for a total value of $264,128.52. Following the transaction, the vice president owned 14,865 shares in the company, valued at $4,608,298.65. The trade was a 5.42% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 50,207 shares of company stock valued at $14,522,300 over the last ninety days. Insiders own 0.15% of the company’s stock.

Key Stories Impacting Automatic Data Processing

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

• Positive Sentiment: ADP’s October employment report showed private employers added 86,000 jobs, above expectations of 69,000. Continued hiring could support demand for ADP’s payroll and human-resources services. October private-sector hiring report
• Neutral Sentiment: Three ADP vice presidents—Michael Bonarti, Virginia Magliulo and Jonathan Lehberger—reported share sales. Each transaction was made under a pre-arranged Rule 10b5-1 plan, so the sales are not necessarily a signal about their outlook for the company. SEC filing for Bonarti sale SEC filing for Magliulo sale SEC filing for Lehberger sale
• Negative Sentiment: Recent valuation commentary argues ADP may be priced above estimated fair value, including one analysis identifying a potential 13% gap. Such concerns could temper demand for the shares, particularly after a strong run-up. ADP fair-value analysis ADP cash-flow valuation analysis

Automatic Data Processing Trading Down 1.2%

NASDAQ ADP traded down $3.79 during mid-day trading on Friday, reaching $303.35. 2,401,873 shares of the stock were exchanged, compared to its average volume of 2,114,692. The stock has a market cap of $119.75 billion, a P/E ratio of 26.89, a P/E/G ratio of 2.68 and a beta of 0.77. The company has a debt-to-equity ratio of 0.98, a current ratio of 1.03 and a quick ratio of 1.05. Automatic Data Processing, Inc. has a one year low of $188.16 and a one year high of $310.98. The stock has a 50 day simple moving average of $279.18 and a 200-day simple moving average of $241.91.

Automatic Data Processing (NASDAQ:ADP) last issued its quarterly earnings results on Wednesday, October 28th. The business services provider reported $2.82 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 business had revenue of $5.49 billion for the quarter, compared to analysts’ expectations of $5.48 billion. During the same quarter in the prior year, the firm posted $2.49 earnings per share. The business’s quarterly revenue was up 6.1% compared to the same quarter last year. On average, analysts anticipate that Automatic Data Processing, Inc. will post 12.38 EPS for the current year.

Automatic Data Processing Profile

Automatic Data Processing, Inc (ADP) provides payroll processing and human resources technology and services to businesses of varying sizes. Its offerings include payroll administration, tax filing, benefits administration, workforce management, talent management, and human capital management software.

ADP also provides services such as compliance support and professional employer organization solutions, which help businesses manage employment responsibilities. Its products combine software with payroll and HR services to support organizations’ workforce operations.

Founded in 1949 as Automatic Payrolls, Inc, the company has grown from a payroll-processing business into a global provider of HR and workforce solutions.