Zacks: Analysts Expect Automatic Data Processing (NASDAQ:ADP) Will Post Earnings of $0.96 Per Share

Wall Street analysts predict that Automatic Data Processing (NASDAQ:ADP) will post earnings of $0.96 per share for the current fiscal quarter, Zacks reports. Six analysts have provided estimates for Automatic Data Processing’s earnings. The lowest EPS estimate is $0.90 and the highest is $1.08. Automatic Data Processing posted earnings of $1.14 per share during the same quarter last year, which suggests a negative year over year growth rate of 15.8%. The business is expected to report its next quarterly earnings results before the market opens on Wednesday, July 29th.

According to Zacks, analysts expect that Automatic Data Processing will report full year earnings of $5.75 per share for the current financial year, with EPS estimates ranging from $5.68 to $5.86. For the next fiscal year, analysts anticipate that the company will report earnings of $5.69 per share, with EPS estimates ranging from $5.23 to $6.29. Zacks’ EPS calculations are an average based on a survey of sell-side analysts that that provide coverage for Automatic Data Processing.

Automatic Data Processing (NASDAQ:ADP) last issued its quarterly earnings data on Wednesday, April 29th. The business services provider reported $1.92 EPS for the quarter, hitting the consensus estimate of $1.92. Automatic Data Processing had a net margin of 17.20% and a return on equity of 47.51%. The firm had revenue of $4.05 billion for the quarter, compared to analyst estimates of $4.03 billion. During the same period in the prior year, the business posted $1.77 EPS. The business’s revenue for the quarter was up 5.7% compared to the same quarter last year.

Several equities research analysts recently weighed in on the stock. Bank of America downgraded shares of Automatic Data Processing from a “neutral” rating to an “underperform” rating and set a $132.00 target price on the stock. in a research note on Monday, May 18th. Morgan Stanley boosted their target price on Automatic Data Processing from $140.00 to $147.00 and gave the stock an “equal weight” rating in a research note on Thursday, April 30th. BidaskClub lowered shares of Automatic Data Processing from a “buy” rating to a “hold” rating in a research note on Friday, May 15th. Citigroup decreased their price target on shares of Automatic Data Processing from $185.00 to $140.00 in a research note on Tuesday. Finally, Wedbush reissued a “neutral” rating on shares of Automatic Data Processing in a research report on Wednesday, April 29th. One equities research analyst has rated the stock with a sell rating, fourteen have issued a hold rating and four have assigned a buy rating to the company’s stock. The stock presently has an average rating of “Hold” and a consensus price target of $165.54.

In related news, VP Brian L. Michaud sold 250 shares of the stock in a transaction dated Monday, April 13th. The shares were sold at an average price of $140.23, for a total value of $35,057.50. Following the sale, the vice president now directly owns 5,412 shares of the company’s stock, valued at approximately $758,924.76. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Company insiders own 0.31% of the company’s stock.

A number of hedge funds have recently made changes to their positions in ADP. Wealth Quarterback LLC acquired a new stake in Automatic Data Processing during the fourth quarter worth about $5,301,510,000. Norges Bank purchased a new stake in shares of Automatic Data Processing during the 4th quarter worth about $676,751,000. Alliancebernstein L.P. grew its holdings in shares of Automatic Data Processing by 26.8% during the 1st quarter. Alliancebernstein L.P. now owns 9,561,003 shares of the business services provider’s stock worth $1,306,798,000 after purchasing an additional 2,021,774 shares during the period. M&G Investment Management Ltd. raised its holdings in Automatic Data Processing by 9,689.2% in the first quarter. M&G Investment Management Ltd. now owns 901,978 shares of the business services provider’s stock valued at $123,571,000 after buying an additional 892,764 shares during the period. Finally, Goldman Sachs Group Inc. lifted its holdings in shares of Automatic Data Processing by 34.4% during the 4th quarter. Goldman Sachs Group Inc. now owns 3,290,183 shares of the business services provider’s stock valued at $560,975,000 after acquiring an additional 842,216 shares in the last quarter. 79.80% of the stock is owned by hedge funds and other institutional investors.

ADP stock opened at $144.72 on Wednesday. The business’s fifty day moving average price is $145.35 and its 200 day moving average price is $154.86. Automatic Data Processing has a 12-month low of $103.11 and a 12-month high of $182.32. The company has a current ratio of 1.03, a quick ratio of 1.03 and a debt-to-equity ratio of 0.25. The company has a market capitalization of $63.37 billion, a PE ratio of 24.82, a P/E/G ratio of 2.14 and a beta of 0.83.

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 1st. Investors of record on Friday, June 12th will be issued a dividend of $0.91 per share. The ex-dividend date of this dividend is Thursday, June 11th. This represents a $3.64 annualized dividend and a yield of 2.52%. Automatic Data Processing’s dividend payout ratio is presently 66.79%.

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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