Automatic Data Processing, Inc. (NASDAQ:ADP) Expected to Post Earnings of $1.82 Per Share

Analysts expect Automatic Data Processing, Inc. (NASDAQ:ADP) to post $1.82 earnings per share for the current fiscal quarter, Zacks reports. Seven analysts have issued estimates for Automatic Data Processing’s earnings, with the highest EPS estimate coming in at $1.92 and the lowest estimate coming in at $1.72. Automatic Data Processing posted earnings per share of $1.92 during the same quarter last year, which indicates a negative year-over-year growth rate of 5.2%. The business is scheduled to announce its next earnings results before the market opens on Wednesday, April 28th.

On average, analysts expect that Automatic Data Processing will report full-year earnings of $5.93 per share for the current financial year, with EPS estimates ranging from $5.87 to $6.01. For the next financial year, analysts forecast that the company will post earnings of $6.49 per share, with EPS estimates ranging from $6.24 to $6.99. Zacks Investment Research’s EPS calculations are a mean average based on a survey of research analysts that that provide coverage for Automatic Data Processing.

Automatic Data Processing (NASDAQ:ADP) last posted its earnings results on Tuesday, January 26th. The business services provider reported $1.52 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.29 by $0.23. The firm had revenue of $3.70 billion during the quarter, compared to analyst estimates of $3.57 billion. Automatic Data Processing had a net margin of 17.07% and a return on equity of 46.13%. Automatic Data Processing’s revenue was up .7% on a year-over-year basis. During the same period in the previous year, the business posted $1.52 EPS.

A number of research analysts have issued reports on the stock. Barclays boosted their target price on shares of Automatic Data Processing from $180.00 to $197.00 and gave the company an “overweight” rating in a research note on Monday, February 1st. Evercore ISI lowered shares of Automatic Data Processing from an “outperform” rating to an “underperform” rating and reduced their price target for the stock from $197.00 to $143.00 in a research note on Tuesday, January 12th. Wells Fargo & Company upped their price target on shares of Automatic Data Processing from $200.00 to $205.00 and gave the stock an “overweight” rating in a research note on Thursday, January 28th. Morgan Stanley upped their price target on shares of Automatic Data Processing from $159.00 to $171.00 and gave the stock an “equal weight” rating in a research note on Thursday, January 28th. Finally, Deutsche Bank Aktiengesellschaft upped their price target on shares of Automatic Data Processing from $150.00 to $173.00 and gave the stock a “hold” rating in a research note on Thursday, January 28th. Four equities research analysts have rated the stock with a sell rating, ten have issued a hold rating and five have issued a buy rating to the company. Automatic Data Processing has an average rating of “Hold” and a consensus price target of $168.53.

Automatic Data Processing stock traded up $1.24 during midday trading on Friday, reaching $189.44. 1,128,463 shares of the stock traded hands, compared to its average volume of 2,069,331. The company has a current ratio of 1.08, a quick ratio of 1.08 and a debt-to-equity ratio of 0.34. The firm has a fifty day moving average price of $182.21 and a two-hundred day moving average price of $168.06. The firm has a market cap of $81.07 billion, a price-to-earnings ratio of 32.89, a PEG ratio of 2.39 and a beta of 0.70. Automatic Data Processing has a fifty-two week low of $127.31 and a fifty-two week high of $193.76.

The firm also recently announced a quarterly dividend, which will be paid on Thursday, July 1st. Investors of record on Friday, June 11th will be paid a dividend of $0.93 per share. This represents a $3.72 annualized dividend and a yield of 1.96%. The ex-dividend date of this dividend is Thursday, June 10th. Automatic Data Processing’s dividend payout ratio is presently 62.84%.

In other news, VP Deborah L. Dyson sold 600 shares of the business’s stock in a transaction that occurred on Monday, January 11th. The shares were sold at an average price of $170.93, for a total transaction of $102,558.00. Following the sale, the vice president now owns 24,786 shares in the company, valued at $4,236,670.98. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, VP Stuart Sackman sold 576 shares of the business’s stock in a transaction that occurred on Monday, March 15th. The shares were sold at an average price of $185.00, for a total transaction of $106,560.00. Following the sale, the vice president now owns 23,221 shares in the company, valued at approximately $4,295,885. The disclosure for this sale can be found here. 0.34% of the stock is owned by corporate insiders.

Hedge funds have recently added to or reduced their stakes in the company. Chandler Asset Management Inc. acquired a new position in Automatic Data Processing in the 4th quarter valued at approximately $26,000. Advisory Alpha LLC acquired a new position in Automatic Data Processing in the 3rd quarter valued at approximately $29,000. Bainco International Investors acquired a new position in Automatic Data Processing in the 4th quarter valued at approximately $34,000. Freedman Financial Associates Inc. acquired a new position in Automatic Data Processing in the 4th quarter valued at approximately $35,000. Finally, Exchange Traded Concepts LLC increased its stake in Automatic Data Processing by 1,005.0% in the 4th quarter. Exchange Traded Concepts LLC now owns 221 shares of the business services provider’s stock valued at $39,000 after buying an additional 201 shares during the period. Institutional investors and hedge funds own 79.65% of the company’s stock.

About Automatic Data Processing

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

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

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