Automatic Data Processing (NASDAQ:ADP) Releases Earnings Results

Automatic Data Processing (NASDAQ:ADP - Get Free Report) announced its earnings results on Wednesday. The business services provider reported $2.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.30 by $0.05, Zacks reports. Automatic Data Processing had a return on equity of 82.36% and a net margin of 19.72%. Automatic Data Processing updated its FY 2025 guidance to 9.820-10.010 EPS.

Automatic Data Processing Trading Up 0.9 %

ADP traded up $2.69 on Thursday, hitting $303.26. The company had a trading volume of 1,366,346 shares, compared to its average volume of 1,718,468. The business's fifty day simple moving average is $297.23 and its 200 day simple moving average is $283.77. The company has a quick ratio of 1.01, a current ratio of 1.01 and a debt-to-equity ratio of 0.56. Automatic Data Processing has a 12-month low of $231.27 and a 12-month high of $311.67. The company has a market cap of $123.57 billion, a PE ratio of 32.37, a PEG ratio of 3.45 and a beta of 0.79.

Automatic Data Processing Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, April 1st. Stockholders of record on Friday, March 14th will be given a dividend of $1.54 per share. This represents a $6.16 annualized dividend and a dividend yield of 2.03%. The ex-dividend date of this dividend is Friday, March 14th. Automatic Data Processing's dividend payout ratio is 65.74%.

Wall Street Analysts Forecast Growth

ADP has been the topic of a number of research analyst reports. Barclays upped their price target on Automatic Data Processing from $310.00 to $325.00 and gave the company an "overweight" rating in a report on Monday, November 4th. Jefferies Financial Group upped their price objective on Automatic Data Processing from $290.00 to $305.00 and gave the stock a "hold" rating in a research note on Thursday. StockNews.com downgraded shares of Automatic Data Processing from a "buy" rating to a "hold" rating in a report on Monday. UBS Group increased their price objective on shares of Automatic Data Processing from $270.00 to $295.00 and gave the stock a "neutral" rating in a research note on Tuesday, October 22nd. Finally, Mizuho upped their target price on shares of Automatic Data Processing from $281.00 to $310.00 and gave the stock an "outperform" rating in a report on Monday, November 4th. Two equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating and two have given a buy rating to the company's stock. According to data from MarketBeat.com, Automatic Data Processing currently has a consensus rating of "Hold" and a consensus price target of $291.27.

Insider Activity

In other news, VP Sreenivasa Kutam sold 38,975 shares of Automatic Data Processing stock in a transaction that occurred on Wednesday, November 6th. The shares were sold at an average price of $300.00, for a total transaction of $11,692,500.00. Following the completion of the sale, the vice president now owns 32,604 shares of the company's stock, valued at approximately $9,781,200. The trade was a 54.45 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Brian L. Michaud sold 362 shares of the firm's stock in a transaction on Thursday, January 2nd. The shares were sold at an average price of $293.83, for a total value of $106,366.46. Following the transaction, the vice president now owns 13,706 shares in the company, valued at approximately $4,027,233.98. This represents a 2.57 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 42,129 shares of company stock valued at $12,604,872 in the last ninety days. Insiders own 0.21% of the company's stock.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc provides cloud-based human capital management solutions worldwide. It operates in two segments, Employer Services and Professional Employer Organization (PEO). The Employer Services segment offers strategic, cloud-based platforms, and human resources (HR) outsourcing solutions.