California State Teachers Retirement System Sells 15,681 Shares of Automatic Data Processing, Inc. $ADP

California State Teachers Retirement System cut its holdings in shares of Automatic Data Processing, Inc. (NASDAQ:ADP) by 2.4% during the 1st quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 633,103 shares of the business services provider’s stock after selling 15,681 shares during the quarter. California State Teachers Retirement System owned 0.16% of Automatic Data Processing worth $128,634,000 at the end of the most recent quarter.

Other hedge funds have also recently made changes to their positions in the company. Horizon Investments LLC increased its stake in Automatic Data Processing by 34.1% in the 4th quarter. Horizon Investments LLC now owns 26,144 shares of the business services provider’s stock worth $6,725,000 after purchasing an additional 6,655 shares during the period. Compass Capital Management Inc. boosted its stake in shares of Automatic Data Processing by 3.0% during the fourth quarter. Compass Capital Management Inc. now owns 203,710 shares of the business services provider’s stock valued at $52,400,000 after purchasing an additional 5,899 shares during the period. Mirae Asset Global Investments Co. Ltd. grew its holdings in shares of Automatic Data Processing by 27.0% in the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 234,273 shares of the business services provider’s stock worth $60,262,000 after purchasing an additional 49,774 shares during the last quarter. Jefferies Financial Group Inc. grew its holdings in shares of Automatic Data Processing by 439.2% in the fourth quarter. Jefferies Financial Group Inc. now owns 51,341 shares of the business services provider’s stock worth $13,206,000 after purchasing an additional 41,820 shares during the last quarter. Finally, DNB Asset Management AS increased its stake in shares of Automatic Data Processing by 11.1% in the fourth quarter. DNB Asset Management AS now owns 152,697 shares of the business services provider’s stock worth $39,278,000 after buying an additional 15,287 shares during the period. 80.03% of the stock is currently owned by institutional investors.

Automatic Data Processing Stock Performance

Shares of ADP stock opened at $273.37 on Thursday. The stock has a fifty day moving average of $234.18 and a 200 day moving average of $224.32. Automatic Data Processing, Inc. has a 52 week low of $188.16 and a 52 week high of $315.98. The firm has a market capitalization of $109.27 billion, a price-to-earnings ratio of 25.50 and a beta of 0.83. The company has a quick ratio of 1.04, a current ratio of 1.04 and a debt-to-equity ratio of 0.63.

Automatic Data Processing (NASDAQ:ADP) last released its quarterly earnings results on Wednesday, July 29th. The business services provider reported $2.64 earnings per share for the quarter, beating the consensus estimate of $2.59 by $0.05. The business had revenue of $5.47 billion for the quarter, compared to analysts’ expectations of $5.44 billion. Automatic Data Processing had a net margin of 20.12% and a return on equity of 68.82%. The firm’s revenue for the quarter was up 6.8% compared to the same quarter last year. During the same quarter in the previous year, the business posted $2.26 earnings per share. Automatic Data Processing has set its FY 2027 guidance at 12.120-12.340 EPS. As a group, research analysts expect that Automatic Data Processing, Inc. will post 11.08 earnings per share for the current year.

Automatic Data Processing News Roundup

Here are the key news stories impacting Automatic Data Processing this week:

• Positive Sentiment: Quarterly earnings and revenue topped estimates. ADP reported fiscal Q4 adjusted earnings of $2.64 per share, above the $2.59 consensus, while revenue reached $5.47 billion versus expectations of $5.44 billion. Revenue rose 6.8% year over year, and earnings increased from $2.26 a year earlier. ADP Reports Fourth Quarter and Fiscal 2026 Results
• Positive Sentiment: Broad-based growth supported profitability. Management cited gains in both employer services and human-resources outsourcing, along with client-funds income and productivity improvements that helped lift margins and profits. The results reinforced expectations for continued growth in fiscal 2027. ADP Targets More Gains Ahead After Quarterly Growth
• Positive Sentiment: Analyst support improved. BMO Capital Markets raised its ADP price target from $248 to $305 while maintaining a “market perform” rating. The higher target reflects improved expectations, although the neutral rating limits the strength of the bullish signal.
• Neutral Sentiment: Fiscal 2027 guidance was close to expectations. ADP forecast adjusted EPS of $12.12 to $12.34, compared with the $12.19 consensus, and revenue of $23.0 billion to $23.3 billion versus expectations of $23.1 billion. The outlook is solid but does not represent a major consensus beat. ADP Q4 2026 Earnings Call Highlights
• Negative Sentiment: Broader market conditions remain a risk. A sharp oil-price surge tied to heightened U.S.-Iran tensions pressured major equity indexes ahead of the Federal Reserve’s decision. ADP’s defensive, recurring-revenue profile helped its shares outperform the market backdrop, but volatility and interest-rate uncertainty could still weigh on valuation.

Analysts Set New Price Targets

A number of equities research analysts recently commented on ADP shares. TD Cowen upped their price target on shares of Automatic Data Processing from $216.00 to $223.00 and gave the company a “hold” rating in a report on Monday, July 6th. Morgan Stanley decreased their price objective on shares of Automatic Data Processing from $311.00 to $274.00 and set an “equal weight” rating on the stock in a research report on Tuesday, April 28th. Stifel Nicolaus upped their price objective on shares of Automatic Data Processing from $240.00 to $260.00 and gave the company a “hold” rating in a research note on Wednesday, July 8th. Mizuho dropped their target price on shares of Automatic Data Processing from $332.00 to $305.00 in a report on Thursday, April 30th. Finally, Wells Fargo & Company raised their target price on Automatic Data Processing from $214.00 to $248.00 and gave the stock an “equal weight” rating in a research note on Thursday, July 9th. Three research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock has an average rating of “Hold” and an average price target of $261.07.

About Automatic Data Processing

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.