Automatic Data Processing (NASDAQ:ADP) Releases FY 2024 Earnings Guidance

Automatic Data Processing (NASDAQ:ADP) updated its FY 2024 earnings guidance on Wednesday. The company provided earnings per share guidance of 9.050-9.220 for the period, compared to the consensus earnings per share estimate of 9.130. The company issued revenue guidance of $19.1 billion-$19.3 billion, compared to the consensus revenue estimate of $19.2 billion. Automatic Data Processing also updated its FY24 guidance to $9.05-$9.22 EPS.

Analyst Upgrades and Downgrades

ADP has been the topic of several analyst reports. Mizuho boosted their price objective on Automatic Data Processing from $265.00 to $272.00 and gave the stock a buy rating in a research note on Monday, March 11th. StockNews.com downgraded Automatic Data Processing from a buy rating to a hold rating in a research report on Tuesday, March 19th. TD Cowen dropped their price objective on shares of Automatic Data Processing from $253.00 to $251.00 and set a hold rating for the company in a research note on Thursday. Evercore ISI increased their target price on shares of Automatic Data Processing from $227.00 to $235.00 and gave the company an underperform rating in a research note on Tuesday, March 26th. Finally, Bank of America raised shares of Automatic Data Processing from an underperform rating to a neutral rating and lifted their price target for the stock from $217.00 to $243.00 in a research note on Wednesday, January 17th. Two analysts have rated the stock with a sell rating, eight have issued a hold rating and two have assigned a buy rating to the company’s stock. Based on data from MarketBeat, Automatic Data Processing currently has a consensus rating of Hold and an average price target of $255.42.

Automatic Data Processing Trading Down 0.1 %

ADP stock traded down $0.14 during mid-day trading on Friday, reaching $241.89. The company had a trading volume of 1,491,532 shares, compared to its average volume of 1,451,137. The firm has a 50 day moving average of $245.63 and a 200 day moving average of $239.08. The company has a debt-to-equity ratio of 0.65, a current ratio of 1.01 and a quick ratio of 1.01. Automatic Data Processing has a 12 month low of $205.53 and a 12 month high of $256.84. The company has a market capitalization of $99.37 billion, a PE ratio of 27.00, a price-to-earnings-growth ratio of 2.27 and a beta of 0.78.

Automatic Data Processing (NASDAQ:ADP) last released its quarterly earnings data on Wednesday, May 1st. The business services provider reported $2.88 EPS for the quarter, topping the consensus estimate of $2.79 by $0.09. Automatic Data Processing had a return on equity of 93.09% and a net margin of 19.56%. The company had revenue of $5.30 billion for the quarter, compared to the consensus estimate of $5.22 billion. During the same period last year, the business posted $2.52 EPS. Automatic Data Processing’s quarterly revenue was up 7.6% on a year-over-year basis. On average, equities analysts predict that Automatic Data Processing will post 9.15 earnings per share for the current fiscal year.

Automatic Data Processing Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, July 1st. Investors of record on Friday, June 14th will be paid a $1.40 dividend. This represents a $5.60 dividend on an annualized basis and a yield of 2.32%. The ex-dividend date of this dividend is Friday, June 14th. Automatic Data Processing’s dividend payout ratio (DPR) is presently 62.50%.

Insiders Place Their Bets

In related news, VP Sreenivasa Kutam sold 368 shares of Automatic Data Processing stock in a transaction that occurred on Monday, March 4th. The shares were sold at an average price of $247.01, for a total transaction of $90,899.68. Following the transaction, the vice president now directly owns 20,319 shares of the company’s stock, valued at $5,018,996.19. The sale was disclosed in a filing with the SEC, which is accessible through this link. In other Automatic Data Processing news, VP Sreenivasa Kutam sold 368 shares of Automatic Data Processing stock in a transaction dated Monday, March 4th. The stock was sold at an average price of $247.01, for a total value of $90,899.68. Following the transaction, the vice president now owns 20,319 shares in the company, valued at $5,018,996.19. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, VP David Kwon sold 863 shares of the stock in a transaction dated Tuesday, February 6th. The shares were sold at an average price of $250.00, for a total transaction of $215,750.00. Following the sale, the vice president now directly owns 8,285 shares of the company’s stock, valued at $2,071,250. The disclosure for this sale can be found here. Insiders have sold a total of 3,829 shares of company stock worth $965,274 in the last three months. Corporate insiders own 0.26% of the company’s 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.