Wall Street analysts expect that Automatic Data Processing (NASDAQ:ADP) will post $1.46 earnings per share for the current fiscal quarter, Zacks Investment Research reports. Six analysts have issued estimates for Automatic Data Processing’s earnings. The highest EPS estimate is $1.49 and the lowest is $1.42. Automatic Data Processing reported earnings per share of $1.34 during the same quarter last year, which would suggest a positive year-over-year growth rate of 9%. The company is expected to announce its next earnings report on Wednesday, January 29th.

According to Zacks, analysts expect that Automatic Data Processing will report full-year earnings of $6.17 per share for the current financial year, with EPS estimates ranging from $6.12 to $6.20. For the next fiscal year, analysts anticipate that the business will post earnings of $6.91 per share, with EPS estimates ranging from $6.74 to $7.09. Zacks’ earnings per share calculations are a mean average based on a survey of sell-side analysts that follow Automatic Data Processing.

Automatic Data Processing (NASDAQ:ADP) last posted its quarterly earnings results on Wednesday, October 30th. The business services provider reported $1.34 EPS for the quarter, beating the consensus estimate of $1.33 by $0.01. Automatic Data Processing had a return on equity of 46.94% and a net margin of 16.52%. The company had revenue of $3.50 billion during the quarter, compared to analysts’ expectations of $3.52 billion. During the same quarter in the previous year, the business earned $1.20 EPS. The firm’s revenue was up 5.6% on a year-over-year basis.

A number of equities research analysts have recently issued reports on the company. Cowen initiated coverage on Automatic Data Processing in a research note on Wednesday, September 11th. They set an “outperform” rating and a $195.00 price objective on the stock. Bank of America cut shares of Automatic Data Processing from a “buy” rating to a “neutral” rating in a research note on Wednesday, September 11th. Morgan Stanley boosted their target price on shares of Automatic Data Processing from $150.00 to $174.00 and gave the stock an “equal weight” rating in a report on Thursday, August 15th. ValuEngine raised shares of Automatic Data Processing from a “sell” rating to a “hold” rating in a research report on Tuesday. Finally, Credit Suisse Group reiterated a “buy” rating and issued a $185.00 price target on shares of Automatic Data Processing in a research note on Monday, November 4th. Nine equities research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. Automatic Data Processing currently has a consensus rating of “Hold” and a consensus price target of $179.56.

ADP stock opened at $167.13 on Friday. The company has a market cap of $73.90 billion, a price-to-earnings ratio of 30.67, a P/E/G ratio of 2.13 and a beta of 0.88. Automatic Data Processing has a twelve month low of $121.40 and a twelve month high of $174.50. The business has a 50 day moving average price of $165.73 and a two-hundred day moving average price of $164.76. The company has a quick ratio of 1.01, a current ratio of 1.01 and a debt-to-equity ratio of 0.19.

Automatic Data Processing declared that its Board of Directors has approved a stock buyback program on Tuesday, November 12th that allows the company to buyback $5.00 billion in shares. This buyback authorization allows the business services provider to repurchase up to 6.8% of its stock through open market purchases. Stock buyback programs are often a sign that the company’s management believes its stock is undervalued.

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 1st. Stockholders of record on Friday, December 13th will be given a $0.91 dividend. This represents a $3.64 dividend on an annualized basis and a dividend yield of 2.18%. This is a boost from Automatic Data Processing’s previous quarterly dividend of $0.79. The ex-dividend date of this dividend is Thursday, December 12th. Automatic Data Processing’s dividend payout ratio (DPR) is presently 57.98%.

In other Automatic Data Processing news, CEO Carlos A. Rodriguez sold 48,571 shares of the stock in a transaction dated Wednesday, November 13th. The shares were sold at an average price of $168.51, for a total value of $8,184,699.21. Following the transaction, the chief executive officer now directly owns 144,899 shares of the company’s stock, valued at approximately $24,416,930.49. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Carlos A. Rodriguez sold 49,392 shares of the stock in a transaction dated Wednesday, September 11th. The shares were sold at an average price of $161.70, for a total transaction of $7,986,686.40. Following the completion of the transaction, the chief executive officer now directly owns 132,338 shares in the company, valued at $21,399,054.60. The disclosure for this sale can be found here. Insiders own 0.31% of the company’s stock.

A number of hedge funds have recently bought and sold shares of ADP. NEXT Financial Group Inc raised its holdings in shares of Automatic Data Processing by 41.3% during the 2nd quarter. NEXT Financial Group Inc now owns 2,541 shares of the business services provider’s stock valued at $422,000 after buying an additional 743 shares in the last quarter. Bessemer Group Inc. lifted its holdings in Automatic Data Processing by 0.3% in the second quarter. Bessemer Group Inc. now owns 1,047,175 shares of the business services provider’s stock worth $173,130,000 after acquiring an additional 3,100 shares during the last quarter. AE Wealth Management LLC lifted its holdings in Automatic Data Processing by 58.7% in the second quarter. AE Wealth Management LLC now owns 7,768 shares of the business services provider’s stock worth $1,284,000 after acquiring an additional 2,874 shares during the last quarter. Murphy Capital Management Inc. boosted its stake in Automatic Data Processing by 4.4% in the second quarter. Murphy Capital Management Inc. now owns 3,869 shares of the business services provider’s stock valued at $639,000 after acquiring an additional 163 shares during the period. Finally, Arden Trust Co acquired a new position in Automatic Data Processing in the second quarter valued at approximately $522,000. Hedge funds and other institutional investors own 80.19% of the company’s stock.

Automatic Data Processing Company Profile

Automatic Data Processing, Inc provides business process outsourcing services worldwide. It operates through two segments, Employer Services and Professional Employer Organization (PEO) Services. The Employer Services segment offers various human resources (HR) outsourcing and technology-based human capital management solutions.

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