Key Points
- VP Christopher D'ambrosio sold 543 shares on Jan. 13 at an average price of $262.29 for about $142,423, reducing his stake by 5.15% to 9,998 shares (≈$2.62M) per the SEC filing.
- The Board authorized a $6.0 billion share repurchase (up to ~5.8% of outstanding stock), a move that typically supports the share price and EPS.
- ADP declared a quarterly dividend of $1.70 ($6.80 annualized, ~2.6% yield) and set FY2026 guidance of 10.811–11.011 EPS after a recent quarter that beat estimates ($2.49 vs. $2.44) with revenue up 7.1% year-over-year.
Automatic Data Processing, Inc. (NASDAQ:ADP - Get Free Report) VP Christopher D'ambrosio sold 543 shares of Automatic Data Processing stock in a transaction on Tuesday, January 13th. The shares were sold at an average price of $262.29, for a total value of $142,423.47. Following the transaction, the vice president owned 9,998 shares in the company, valued at approximately $2,622,375.42. This trade represents a 5.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website.
Automatic Data Processing Stock Up 0.6%
Shares of Automatic Data Processing stock opened at $258.50 on Thursday. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.62. Automatic Data Processing, Inc. has a 12-month low of $247.18 and a 12-month high of $329.93. The firm has a market capitalization of $104.55 billion, a PE ratio of 25.52 and a beta of 0.86. The stock's fifty day moving average is $257.64 and its 200-day moving average is $282.05.
Automatic Data Processing (NASDAQ:ADP - Get Free Report) last released its quarterly earnings results on Wednesday, October 29th. The business services provider reported $2.49 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.44 by $0.05. Automatic Data Processing had a net margin of 19.79% and a return on equity of 70.63%. The business had revenue of $5.18 billion for the quarter, compared to analyst estimates of $5.14 billion. During the same quarter in the previous year, the business earned $2.33 earnings per share. The firm's revenue was up 7.1% compared to the same quarter last year. Automatic Data Processing has set its FY 2026 guidance at 10.811-11.011 EPS. Equities analysts anticipate that Automatic Data Processing, Inc. will post 9.93 earnings per share for the current year.
Automatic Data Processing Announces Dividend
The firm also recently announced a quarterly dividend, which will be paid on Wednesday, April 1st. Stockholders of record on Friday, March 13th will be given a $1.70 dividend. This represents a $6.80 annualized dividend and a dividend yield of 2.6%. The ex-dividend date of this dividend is Friday, March 13th. Automatic Data Processing's dividend payout ratio (DPR) is 67.13%.
Automatic Data Processing declared that its Board of Directors has authorized a share repurchase plan on Wednesday, January 14th that allows the company to buyback $6.00 billion in outstanding shares. This buyback authorization allows the business services provider to buy up to 5.8% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's management believes its stock is undervalued.
Institutional Investors Weigh In On Automatic Data Processing
Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Trust Co. of Oklahoma increased its stake in Automatic Data Processing by 8.1% in the fourth quarter. Trust Co. of Oklahoma now owns 1,779 shares of the business services provider's stock valued at $458,000 after purchasing an additional 134 shares in the last quarter. MeadowBrook Investment Advisors LLC grew its position in shares of Automatic Data Processing by 1.0% in the fourth quarter. MeadowBrook Investment Advisors LLC now owns 6,829 shares of the business services provider's stock valued at $1,757,000 after purchasing an additional 65 shares during the last quarter. Mitchell & Pahl Private Wealth LLC grew its position in Automatic Data Processing by 3.8% during the fourth quarter. Mitchell & Pahl Private Wealth LLC now owns 8,867 shares of the business services provider's stock worth $2,281,000 after buying an additional 322 shares in the last quarter. Chatham Capital Group Inc. raised its position in Automatic Data Processing by 16.4% during the fourth quarter. Chatham Capital Group Inc. now owns 816 shares of the business services provider's stock valued at $210,000 after purchasing an additional 115 shares in the last quarter. Finally, Woodstock Corp increased its position in Automatic Data Processing by 1.0% during the 4th quarter. Woodstock Corp now owns 56,128 shares of the business services provider's stock worth $14,438,000 after purchasing an additional 540 shares in the last quarter. Institutional investors and hedge funds own 80.03% of the company's stock.
Analyst Upgrades and Downgrades
ADP has been the topic of several research analyst reports. Wells Fargo & Company lowered their target price on Automatic Data Processing from $288.00 to $272.00 and set an "underweight" rating on the stock in a research note on Thursday, October 30th. Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Automatic Data Processing in a research report on Monday, December 29th. Jefferies Financial Group reiterated an "underperform" rating and issued a $230.00 target price (down previously from $245.00) on shares of Automatic Data Processing in a research report on Tuesday, December 16th. Citigroup assumed coverage on shares of Automatic Data Processing in a report on Thursday, October 23rd. They set a "neutral" rating and a $303.00 price target on the stock. Finally, UBS Group reduced their price objective on Automatic Data Processing from $315.00 to $290.00 and set a "neutral" rating for the company in a research report on Wednesday, September 17th. Two investment analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $306.42.
Get Our Latest Research Report on Automatic Data Processing
Trending Headlines about Automatic Data Processing
Here are the key news stories impacting Automatic Data Processing this week:
- Positive Sentiment: Board authorizes $6.0 billion share repurchase (up to ~5.8% of outstanding stock) — buybacks reduce share count and signal management believes shares are undervalued, which typically supports the stock and EPS. ADP AUTHORIZED TO PURCHASE $6 BILLION OF ITS COMMON STOCK
- Positive Sentiment: Board declares regular quarterly dividend of $1.70/share payable April 1, 2026 — steady dividend income and a raised/maintained payout tend to attract income-oriented investors and signal confidence in cash flow. ADP Declares Regular Quarterly Dividend
- Neutral Sentiment: ADP National Employment Report (NER Pulse) shows private employers adding ~11,750 jobs per week (four weeks ending Dec 20, 2025) — reinforces ADP’s core data business and demand for payroll/HR services but is not a direct earnings driver in the near term. ADP National Employment Report Preliminary Estimate December 20, 2025
- Neutral Sentiment: Coverage and analyst target shifts are getting attention — analyst reassessments can move sentiment but the net impact depends on whether targets are raised or lowered; watch for specific rating/target changes. How The Story Behind Automatic Data Processing (ADP) Is Shifting With New Analyst Targets
- Negative Sentiment: Insider sales: VP David Kwon sold 806 shares (~$213k) on Jan 12 (reducing his stake ~6.7%) — single executive sales can be perceived negatively if viewed as lack of conviction, though the position remains sizable. SEC Filing — David Kwon Sale
- Negative Sentiment: Insider sales: VP Christopher D'ambrosio sold 543 shares (~$142k) on Jan 13 (reducing his stake ~5.2%) — another modest, routine sale that investors may note but is small relative to overall float. SEC Filing — Christopher D'ambrosio Sale
Automatic Data Processing Company Profile
(
Get Free Report)
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.
Recommended Stories
This instant news alert was generated by narrative science technology and financial data from InsiderTrades.com in order to provide readers with the fastest and most accurate reporting. Please send any questions or comments about this story to [email protected].
