May 16, 2023- Victory Capital Management Inc. has recently disclosed that it has reduced its shares in Automatic Data Processing, Inc., commonly known as ADP. The firm has announced via SEC filing that it sold around 10,827 shares representing a whopping 2.6% of its stake in the company during the last quarter of 2022. The diminished stake now stands at 407,805 shares valued at $92,086,000.
Automatic Data Processing is a leading business outsourcing solutions provider that specializes in cloud-based human capital management. It offers an extensive range of HR outsourcing and technology-based human capital management services through three service segments: Employer Services, Professional Employer Organization Services and Others. These technologies provide strategic and cutting-edge cloud-based platforms for both large enterprises and small-scale businesses globally.
As of Tuesday morning on May 16th, ADP stock opened at $214.39 with market cap worth $88.57 billion; this showcases a P/E ratio of 27.38 with a price-to-earnings-growth ratio computed to be about 2.20 along with a beta score of 0.81 for investors who question the stock’s volatility and risk tendencies within the market.
Furthermore, the financial health status of Automatic Data Processing appears stable, as noted by its current ratio standing at exactly one ($1), which indicates no sign of short-term liquidity crisis or cashflow mismanagement crisis within the company’s operation established debt-to-equity ratio criterion was also indicated to be an acceptable .81 ($81 debts per dollar equity).
It is imperative to note that despite Victory Capital Management’s reduction in shareholding within ADP late last year; this doesn’t portray a negative perspective on the organization since continual transactions occur frequently on Wall Street due to varied reasons such as window-dressing portfolios or adjusting fund structure goals instead may all have contributed reasons to reflect changes indifferent investments periodically.
In conclusion, the financial, technical health status, and product viability of Automatic Data Processing (ADP) remain robust despite the recent shareholding reduction by Victory Capital Management. Thus it would be reasonable for potential investors to conduct their market research driven by both qualitative and quantitative factors before buying into the ADP stock-market. A wise investor must always remember that investing is a marathon and not a sprint; thus, patience and thorough analysis are crucial to achieving long-term success in stock investment.
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AutoData Performance: Insights into Holdings, Earnings and Dividends for Investors
In the financially competitive world of today, it is important to keep abreast of the latest news and updates about various companies. One such company that has been in the news recently is Automatic Data Processing, Inc. (NASDAQ:ADP). This business outsourcing solutions provider specializes in cloud-based human capital management and operates through three business segments – Employer Services, Professional Employer Organization Services, and Other.
According to recent reports on May 16th, a number of hedge funds and other institutional investors have recently modified their holdings of ADP’s stock. Vanguard Group Inc., for example, grew its stake in shares of Automatic Data Processing by 1.2% in the third quarter. Additionally, Goldman Sachs Group Inc. boosted its position in Automatic Data Processing by 15.5% during the first quarter.
In recent research reports on ADP’s stock, StockNews.com raised shares of Automatic Data Processing from a “hold” rating to a “buy” rating earlier this month. Barclays also dropped their price objective on shares of Automatic Data Processing from $278 to $275 in early May.
The company’s last quarterly earnings report marked an impressive milestone for ADP as their Q1 EPS beat analyst’s consensus estimates by $0.10 at $2.52 per share while securing a net margin of 18.46%. It concluded with analysts anticipating that Automatic Data Processing would post 8.17 EPS for the current fiscal year.
Furthermore, the company recently declared a quarterly dividend which will be paid out on Saturday, July 1st giving shareholders a dividend yield of 2.33%.
Overall, analysts’ opinions are divided concerning AutoData Performance’s performance with two rating the stock as sell while one analyst maintained hold and three others assigned it as buy leading to an average rating score of “Hold” according to Bloomberg.com with an average projected target price of $237.91.
It is important to stay informed on movements within the financial world, especially for capitalized corporations like Automatic Data Processing. Whether it is through updates on stock holdings or quarterly earnings reports and projected dividends, keeping a close eye on news within the industry is essential to making informed decisions.
