IMPACTfolio LLC Takes Position in Automatic Data Processing, Inc. (NASDAQ:ADP)

IMPACTfolio LLC acquired a new position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) in the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm acquired 697 shares of the business services provider’s stock, valued at approximately $204,000.

Other institutional investors have also recently modified their holdings of the company. Principal Financial Group Inc. grew its holdings in shares of Automatic Data Processing by 4.5% during the third quarter. Principal Financial Group Inc. now owns 529,690 shares of the business services provider’s stock worth $146,581,000 after buying an additional 22,766 shares in the last quarter. Fidelity D & D Bancorp Inc. grew its stake in Automatic Data Processing by 1.4% in the 3rd quarter. Fidelity D & D Bancorp Inc. now owns 3,796 shares of the business services provider’s stock worth $1,050,000 after acquiring an additional 52 shares during the period. Garde Capital Inc. raised its holdings in Automatic Data Processing by 6.6% in the 3rd quarter. Garde Capital Inc. now owns 955 shares of the business services provider’s stock valued at $264,000 after acquiring an additional 59 shares during the last quarter. Franklin Resources Inc. lifted its stake in shares of Automatic Data Processing by 8.4% during the 3rd quarter. Franklin Resources Inc. now owns 667,068 shares of the business services provider’s stock worth $194,117,000 after purchasing an additional 51,828 shares during the period. Finally, Wilmington Savings Fund Society FSB boosted its holdings in shares of Automatic Data Processing by 220.4% during the third quarter. Wilmington Savings Fund Society FSB now owns 46,379 shares of the business services provider’s stock worth $12,834,000 after purchasing an additional 31,904 shares during the last quarter. 80.03% of the stock is currently owned by institutional investors and hedge funds.

Automatic Data Processing Price Performance

Shares of NASDAQ ADP traded down $3.11 during mid-day trading on Thursday, reaching $289.62. 609,974 shares of the company traded hands, compared to its average volume of 1,655,637. The firm has a market cap of $118.01 billion, a PE ratio of 30.91, a price-to-earnings-growth ratio of 3.50 and a beta of 0.79. The company has a debt-to-equity ratio of 0.56, a current ratio of 1.01 and a quick ratio of 1.01. Automatic Data Processing, Inc. has a fifty-two week low of $231.27 and a fifty-two week high of $309.63. The stock has a fifty day simple moving average of $298.35 and a 200-day simple moving average of $276.21.

Automatic Data Processing (NASDAQ:ADP) last posted its quarterly earnings data on Wednesday, October 30th. The business services provider reported $2.33 EPS for the quarter, topping analysts’ consensus estimates of $2.21 by $0.12. The company had revenue of $4.83 billion for the quarter, compared to the consensus estimate of $4.77 billion. Automatic Data Processing had a return on equity of 82.36% and a net margin of 19.72%. The company’s quarterly revenue was up 7.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned $2.08 EPS. Equities research analysts anticipate that Automatic Data Processing, Inc. will post 9.93 EPS for the current fiscal year.

Automatic Data Processing Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, January 1st. Stockholders of record on Friday, December 13th were paid a $1.54 dividend. The ex-dividend date was Friday, December 13th. This represents a $6.16 annualized dividend and a dividend yield of 2.13%. This is a boost from Automatic Data Processing’s previous quarterly dividend of $1.40. Automatic Data Processing’s payout ratio is currently 65.74%.

Analysts Set New Price Targets

Several research firms recently weighed in on ADP. Jefferies Financial Group increased their target price on Automatic Data Processing from $260.00 to $290.00 and gave the stock a “hold” rating in a research report on Tuesday, October 22nd. Citigroup raised their target price on shares of Automatic Data Processing from $260.00 to $295.00 and gave the stock a “neutral” rating in a research report on Wednesday, September 25th. UBS Group upped their price target on shares of Automatic Data Processing from $270.00 to $295.00 and gave the stock a “neutral” rating in a research report on Tuesday, October 22nd. Barclays boosted their price objective on shares of Automatic Data Processing from $310.00 to $325.00 and gave the company an “overweight” rating in a research note on Monday, November 4th. Finally, Mizuho increased their target price on Automatic Data Processing from $281.00 to $310.00 and gave the stock an “outperform” rating in a research report on Monday, November 4th. Two analysts have rated the stock with a sell rating, nine have given a hold rating and two have assigned a buy rating to the company’s stock. According to MarketBeat, Automatic Data Processing has a consensus rating of “Hold” and a consensus price target of $289.91.

Insider Buying and Selling

In other news, VP Sreenivasa Kutam sold 38,975 shares of the firm’s stock in a transaction on Wednesday, November 6th. The stock was 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 directly owns 32,604 shares of the company’s stock, valued at $9,781,200. This trade represents a 54.45 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Insiders own 0.21% of the company’s stock.

About Automatic Data Processing

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.