Automatic Data Processing, Inc. (NASDAQ:ADP) Receives $262.18 Average Price Target from Analysts

Shares of Automatic Data Processing, Inc. (NASDAQ:ADP) have been assigned an average rating of “Hold” from the twelve research firms that are presently covering the firm, MarketBeat Ratings reports. Two equities research analysts have rated the stock with a sell recommendation, eight have issued a hold recommendation and two have issued a buy recommendation on the company. The average 12-month price target among analysts that have issued a report on the stock in the last year is $262.18.

ADP has been the subject of several research analyst reports. JPMorgan Chase & Co. decreased their target price on Automatic Data Processing from $254.00 to $250.00 and set an “underweight” rating for the company in a research report on Thursday, May 2nd. Bank of America boosted their price target on Automatic Data Processing from $250.00 to $267.00 and gave the stock a “neutral” rating in a research report on Thursday, August 1st. TD Cowen dropped their target price on Automatic Data Processing from $253.00 to $251.00 and set a “hold” rating for the company in a report on Thursday, May 2nd. Barclays increased their target price on Automatic Data Processing from $282.00 to $310.00 and gave the stock an “overweight” rating in a research note on Monday, August 5th. Finally, Stifel Nicolaus increased their price target on Automatic Data Processing from $271.00 to $287.00 and gave the company a “hold” rating in a research report on Thursday, August 1st.

Hedge Funds Weigh In On Automatic Data Processing

A number of institutional investors have recently made changes to their positions in ADP. Kiely Wealth Advisory Group Inc. purchased a new stake in shares of Automatic Data Processing in the second quarter valued at $27,000. Keener Financial Planning LLC lifted its holdings in shares of Automatic Data Processing by 230.3% in the 1st quarter. Keener Financial Planning LLC now owns 109 shares of the business services provider’s stock worth $28,000 after purchasing an additional 76 shares during the last quarter. Crewe Advisors LLC bought a new stake in shares of Automatic Data Processing in the 1st quarter worth approximately $33,000. Pathway Financial Advisers LLC bought a new stake in shares of Automatic Data Processing in the 1st quarter worth approximately $36,000. Finally, New Millennium Group LLC bought a new stake in shares of Automatic Data Processing in the 2nd quarter worth approximately $40,000. 80.03% of the stock is owned by institutional investors and hedge funds.

Automatic Data Processing Trading Up 0.2 %

Shares of ADP opened at $264.09 on Friday. The company has a 50 day simple moving average of $248.30 and a two-hundred day simple moving average of $247.51. Automatic Data Processing has a 1 year low of $205.53 and a 1 year high of $269.49. The company has a debt-to-equity ratio of 0.66, a current ratio of 1.01 and a quick ratio of 1.01. The firm has a market cap of $108.09 billion, a P/E ratio of 29.47, a price-to-earnings-growth ratio of 2.72 and a beta of 0.78.

Automatic Data Processing (NASDAQ:ADP) last posted its earnings results on Wednesday, July 31st. The business services provider reported $2.09 earnings per share for the quarter, beating analysts’ consensus estimates of $2.06 by $0.03. The firm had revenue of $4.80 billion during the quarter, compared to analyst estimates of $4.74 billion. Automatic Data Processing had a net margin of 19.54% and a return on equity of 89.20%. Automatic Data Processing’s revenue for the quarter was up 7.2% compared to the same quarter last year. During the same period last year, the firm posted $1.89 earnings per share. On average, equities analysts expect that Automatic Data Processing will post 10.01 earnings per share for the current fiscal year.

Automatic Data Processing Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, October 1st. Investors of record on Friday, September 13th will be issued a dividend of $1.40 per share. The ex-dividend date of this dividend is Friday, September 13th. This represents a $5.60 annualized dividend and a yield of 2.12%. Automatic Data Processing’s dividend payout ratio is presently 62.50%.

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.