Automatic Data Processing Reveals FY 2023 ADP Stock Earnings Outlook

On Wednesday, Automatic Data Processing (ADP:NSD) revised the ADP stock forecast for the fiscal year 2023 earnings. Compared to the consensus estimate of $8.03, the business offered earnings per share (EPS) guidance of $8.06 to $8.20 for the relevant period. In contrast to the consensus revenue estimate of $17.87 billion, the company provided revenue guidance of $17.82 billion to $17.98 billion.

 

ADP Stock- Analyst Forecasts and Price Targets:

Many research companies have recently commented on ADP. In a research note published on October 27th, Morgan Stanley raised their ADP stock price target from $245.00 to $250.00 and reiterated its equal weight rating on the stock.

In a research note published on Thursday, October 27th, Cowen increased their ADP stock price target to $237.00.

In a research note published on Tuesday, August 9th, Barclays increased their target price on shares of Automatic Data Processing to $280.00.

In another research note published on Tuesday, Robert W. Baird raised their target price on shares of Automatic Data Processing to $251.00.

3 Analysts have rated the company as a ‘Buy’, while 6 have given it a ‘Hold’ recommendation.

The ADP stock currently has an average rating of “Buy” and an average stock price target of $248.09, according to data from Stock Target Advisor.

 

Trading for Automatic Data Processing is Down by 0.2%

During the day’s trading on Wednesday, ADP stock experienced a $0.55 decline, reaching $243.09. 5,119 shares of the stock exchanged hands as opposed to the 1,793,457 average daily volume.

Automatic Data Processing’s 1-year range is from $192.26 to $261.59. The company’s 50-day and 200-day moving average prices are $236.29 and $227.87, respectively.

The company has a debt-to-equity ratio of 1.16, a quick ratio of 0.99, a current ratio of 0.97. The market capitalization for the company is $100.95 billion, the PE ratio is 33.70, the PEG ratio is 2.49, and the beta is 0.83.

 

ADP Stock Quarterly Earnings:

On Wednesday, October 26th, Automatic Data Processing (ADP:NSD) last disclosed its quarterly earnings data. The provider of business services announced $1.86 earnings per share (EPS) for the quarter, $0.06 more than the $1.80 analyst consensus forecast.

Net margin for Automatic Data Processing was 17.93%, and return on equity was 80.50%. In contrast to expert expectations of $4.16 billion, the company’s sales for the quarter came in at $4.22 billion.

The company’s earnings per share for the same quarter last year were $1.65. When compared to the same quarter previous year, the company’s revenue increased by 10.3%. According to the average prediction of equity research analysts, Automatic Data Processing will report 8.13 EPS this year.

 

Buying and Selling By the Insiders:

In other Automatic Data Processing news, on Monday, August 8th, VP Donald Weinstein sold 10,150 shares of the company’s stock. The shares were sold for a total of $2,537,500 at an average price of $250 per share. The vice president now owns 41,035 company shares, valued at around $10,258,750, after the transaction.

In other developments, on September 8th, CEO Carlos A. Rodriguez sold 58,864 shares of the company’s stock. The shares were sold for a total sum of $13,932,520.16 at an average price of $236.69 per share. The CEO now owns 44,426 shares in the company, valued at approximately $10,515,189.94, after the purchase. The sale was made public in a document submitted to the SEC and made available on the SEC website.

Insiders today own 0.33% of the company’s stock after selling 107,034 shares for a total transaction value of $25,514,241.

 

ADP Stock-Institutional Trading:

Large investors recently changed how much of the ADP shares they own. During the first quarter, Zions Bancorporation N.A. increased its stake in Automatic Data Processing by 12.4%. After acquiring an additional 50 shares during the, Zions Bancorporation N.A. now owns 453 shares of the business services provider’s stock, valued at $103,000.

During the first quarter, Covestor Ltd increased its stake in Automatic Data Processing by 82.8%. After acquiring an additional 288 shares during the time period, Covestor Ltd now owns 636 shares of the business services provider’s stock, valued at $145,000.

During the first quarter, Quantamental Technologies LLC acquired a new $270,000 position in Automatic Data Processing shares.

During the first quarter, West Michigan Advisors LLC acquired a new interest in Automatic Data Processing for $289,000.

Finally, in the first quarter, Golden State Equity Partners acquired a new interest in Automatic Data Processing for $258,000. Investors with institutional ownership hold 79.06% of the 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. Its offerings include payroll, benefits administration, talent management, HR management, workforce management, insurance, retirement, and compliance services, as well as integrated HCM solutions.

The PEO Services segment provides HR outsourcing solutions to small and mid-sized businesses through a co-employment model. This segment offers benefits package, protection and compliance, talent engagement, expertise, comprehensive outsourcing, and recruitment process outsourcing services. The company was founded in 1949 and is headquartered in Roseland, New Jersey.