$1.13 EPS Expected for Automatic Data Processing (NASDAQ:ADP) This Quarter

Equities research analysts expect Automatic Data Processing (NASDAQ:ADP) to announce $1.13 earnings per share for the current quarter, Zacks Investment Research reports. Seven analysts have made estimates for Automatic Data Processing’s earnings, with estimates ranging from $1.12 to $1.15. Automatic Data Processing reported earnings of $0.92 per share during the same quarter last year, which indicates a positive year-over-year growth rate of 22.8%. The firm is scheduled to issue its next quarterly earnings report before the market opens on Wednesday, July 31st.

According to Zacks, analysts expect that Automatic Data Processing will report full-year earnings of $5.44 per share for the current fiscal year, with EPS estimates ranging from $5.42 to $5.49. For the next financial year, analysts anticipate that the business will report earnings of $6.03 per share, with EPS estimates ranging from $5.85 to $6.20. Zacks Investment Research’s earnings per share averages are a mean average based on a survey of sell-side research firms that that provide coverage for Automatic Data Processing.

Automatic Data Processing (NASDAQ:ADP) last posted its earnings results on Wednesday, May 1st. The business services provider reported $1.77 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $1.69 by $0.08. Automatic Data Processing had a return on equity of 50.53% and a net margin of 13.76%. The firm had revenue of $3.85 billion for the quarter, compared to analyst estimates of $3.91 billion. During the same quarter in the prior year, the company earned $1.57 EPS. Automatic Data Processing’s revenue was up 4.2% on a year-over-year basis.

Several brokerages have weighed in on ADP. Zacks Investment Research upgraded Automatic Data Processing from a “hold” rating to a “buy” rating and set a $179.00 price target on the stock in a report on Friday, June 21st. BidaskClub downgraded Automatic Data Processing from a “buy” rating to a “hold” rating in a report on Monday, June 24th. Sanford C. Bernstein downgraded Automatic Data Processing from an “outperform” rating to a “market perform” rating in a report on Tuesday, April 30th. Barclays upped their price target on Automatic Data Processing from $168.00 to $180.00 and gave the stock an “overweight” rating in a report on Monday, May 6th. Finally, Citigroup upped their price target on Automatic Data Processing from $147.00 to $162.00 and gave the stock a “neutral” rating in a report on Thursday, May 2nd. Five research analysts have rated the stock with a hold rating and seven have issued a buy rating to the company. Automatic Data Processing has a consensus rating of “Buy” and a consensus price target of $167.00.

In related news, VP Donald Weinstein sold 1,706 shares of the firm’s stock in a transaction that occurred on Tuesday, April 23rd. The stock was sold at an average price of $165.01, for a total transaction of $281,507.06. Following the transaction, the vice president now owns 26,220 shares in the company, valued at approximately $4,326,562.20. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Jan Siegmund sold 27,272 shares of the firm’s stock in a transaction that occurred on Tuesday, April 23rd. The stock was sold at an average price of $165.00, for a total value of $4,499,880.00. Following the transaction, the insider now owns 77,595 shares in the company, valued at approximately $12,803,175. The disclosure for this sale can be found here. Corporate insiders own 0.33% of the company’s stock.

A number of large investors have recently added to or reduced their stakes in the stock. Cox Capital Mgt LLC grew its stake in Automatic Data Processing by 3.8% during the 2nd quarter. Cox Capital Mgt LLC now owns 16,455 shares of the business services provider’s stock worth $2,721,000 after buying an additional 603 shares during the last quarter. Amundi Pioneer Asset Management Inc. grew its stake in Automatic Data Processing by 8.7% during the 1st quarter. Amundi Pioneer Asset Management Inc. now owns 454,241 shares of the business services provider’s stock worth $72,561,000 after buying an additional 36,533 shares during the last quarter. FMR LLC lifted its position in Automatic Data Processing by 18.3% during the 1st quarter. FMR LLC now owns 1,703,312 shares of the business services provider’s stock worth $272,086,000 after acquiring an additional 263,615 shares during the period. Horizon Investments LLC lifted its position in Automatic Data Processing by 32.4% during the 1st quarter. Horizon Investments LLC now owns 6,989 shares of the business services provider’s stock worth $1,116,000 after acquiring an additional 1,710 shares during the period. Finally, B. Riley Wealth Management Inc. acquired a new stake in Automatic Data Processing during the 1st quarter worth approximately $240,000. Hedge funds and other institutional investors own 79.71% of the company’s stock.

NASDAQ ADP traded up $1.52 during trading hours on Monday, hitting $166.85. 71,980 shares of the company were exchanged, compared to its average volume of 1,478,653. The company’s 50 day simple moving average is $163.40. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.04 and a current ratio of 1.04. Automatic Data Processing has a 52-week low of $121.40 and a 52-week high of $170.45. The firm has a market capitalization of $71.96 billion, a price-to-earnings ratio of 38.23, a price-to-earnings-growth ratio of 2.34 and a beta of 0.90.

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, July 1st. Stockholders of record on Friday, June 14th will be issued a $0.79 dividend. The ex-dividend date of this dividend is Thursday, June 13th. This represents a $3.16 dividend on an annualized basis and a dividend yield of 1.89%. Automatic Data Processing’s payout ratio is currently 72.64%.

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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Earnings History and Estimates for Automatic Data Processing (NASDAQ:ADP)

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