Sierra Legacy Group Purchases New Stake in Automatic Data Processing, Inc. $ADP

Sierra Legacy Group acquired a new position in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) during the fourth quarter, Holdings Channel.com reports. The institutional investor acquired 6,392 shares of the business services provider’s stock, valued at approximately $1,644,000. Automatic Data Processing comprises 1.2% of Sierra Legacy Group’s holdings, making the stock its 22nd largest holding.

Several other large investors have also recently bought and sold shares of the business. PGIM Custom Harvest LLC lifted its holdings in Automatic Data Processing by 4.9% in the second quarter. PGIM Custom Harvest LLC now owns 722 shares of the business services provider’s stock valued at $223,000 after acquiring an additional 34 shares during the period. Heritage Wealth Management Inc. grew its stake in shares of Automatic Data Processing by 1.1% during the 2nd quarter. Heritage Wealth Management Inc. now owns 3,340 shares of the business services provider’s stock worth $1,030,000 after purchasing an additional 35 shares during the period. Fairvoy Private Wealth LLC increased its holdings in shares of Automatic Data Processing by 4.2% in the 3rd quarter. Fairvoy Private Wealth LLC now owns 863 shares of the business services provider’s stock valued at $253,000 after purchasing an additional 35 shares in the last quarter. Central Pacific Bank Trust Division increased its holdings in shares of Automatic Data Processing by 4.3% in the 3rd quarter. Central Pacific Bank Trust Division now owns 889 shares of the business services provider’s stock valued at $261,000 after purchasing an additional 37 shares in the last quarter. Finally, Baker Tilly Wealth Management LLC lifted its stake in shares of Automatic Data Processing by 2.7% in the third quarter. Baker Tilly Wealth Management LLC now owns 1,431 shares of the business services provider’s stock valued at $420,000 after purchasing an additional 38 shares during the period. Hedge funds and other institutional investors own 80.03% of the company’s stock.

Insiders Place Their Bets

In related news, VP David Foskett sold 266 shares of the firm’s stock in a transaction that occurred on Thursday, February 5th. The shares were sold at an average price of $237.00, for a total value of $63,042.00. Following the sale, the vice president directly owned 10,954 shares of the company’s stock, valued at approximately $2,596,098. This trade represents a 2.37% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, VP Brian L. Michaud sold 1,000 shares of the business’s stock in a transaction that occurred on Friday, February 6th. The shares were sold at an average price of $234.18, for a total transaction of $234,180.00. Following the completion of the sale, the vice president owned 15,310 shares of the company’s stock, valued at approximately $3,585,295.80. The trade was a 6.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 4,058 shares of company stock worth $1,000,263 over the last 90 days. Corporate insiders own 0.20% of the company’s stock.

Wall Street Analyst Weigh In

A number of research firms recently commented on ADP. Stifel Nicolaus decreased their price objective on shares of Automatic Data Processing from $280.00 to $270.00 and set a “hold” rating on the stock in a report on Monday, February 9th. Cantor Fitzgerald started coverage on shares of Automatic Data Processing in a report on Tuesday, January 27th. They issued an “overweight” rating and a $306.00 target price for the company. Citigroup reduced their price target on shares of Automatic Data Processing from $303.00 to $265.00 and set a “neutral” rating for the company in a research report on Thursday, January 29th. Guggenheim started coverage on Automatic Data Processing in a research note on Thursday, March 19th. They set a “buy” rating and a $270.00 price target on the stock. Finally, JPMorgan Chase & Co. lowered their price target on Automatic Data Processing from $295.00 to $275.00 and set an “underweight” rating on the stock in a report on Thursday, January 29th. One equities research analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, Automatic Data Processing has a consensus rating of “Hold” and a consensus price target of $284.77.

Automatic Data Processing Stock Performance

Shares of ADP opened at $204.01 on Friday. Automatic Data Processing, Inc. has a fifty-two week low of $197.08 and a fifty-two week high of $329.93. The company has a market capitalization of $82.14 billion, a PE ratio of 19.62 and a beta of 0.85. The stock has a fifty day moving average of $218.31 and a two-hundred day moving average of $250.26. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.03 and a current ratio of 1.03.

Automatic Data Processing (NASDAQ:ADP) last posted its quarterly earnings data on Wednesday, January 28th. The business services provider reported $2.62 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.57 by $0.05. The business had revenue of $5.36 billion for the quarter, compared to analysts’ expectations of $5.34 billion. Automatic Data Processing had a return on equity of 68.44% and a net margin of 19.96%.The business’s revenue was up 6.2% on a year-over-year basis. During the same quarter last year, the firm earned $2.35 earnings per share. Automatic Data Processing has set its FY 2026 guidance at 10.091-11.011 EPS. As a group, analysts forecast that Automatic Data Processing, Inc. will post 9.93 EPS for the current year.

Automatic Data Processing declared that its Board of Directors has authorized a share buyback plan on Wednesday, January 14th that authorizes the company to repurchase $6.00 billion in outstanding shares. This repurchase authorization authorizes the business services provider to buy up to 5.8% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s leadership believes its shares are undervalued.

Automatic Data Processing Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 1st. Shareholders of record on Friday, March 13th were issued a $1.70 dividend. The ex-dividend date was Friday, March 13th. This represents a $6.80 annualized dividend and a yield of 3.3%. Automatic Data Processing’s payout ratio is 65.38%.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc (ADP) is a global provider of cloud-based human capital management (HCM) and payroll solutions. Founded in 1949 and headquartered in Roseland, New Jersey, ADP began as a payroll processing company and has evolved into a diversified provider of workforce management, HR, benefits administration, tax and compliance services, and analytics for employers of all sizes.

ADP’s product portfolio includes payroll processing and tax filing, time and attendance systems, benefits administration, talent management, and HR outsourcing.