Automatic Data Processing said on April 12, 2023 that its board of directors declared a regular quarterly dividend of $1.25 per share ($5.00 annualized). Previously, the company paid $1.25 per share.
Shares must be purchased before the ex-div date of June 8, 2023 to qualify for the dividend. Shareholders of record as of June 9, 2023 will receive the payment on July 1, 2023.
At the current share price of $217.25 / share, the stock's dividend yield is 2.30%. Looking back five years and taking a sample every week, the average dividend yield has been 2.06%, the lowest has been 1.60%, and the highest has been 3.34%. The standard deviation of yields is 0.28 (n=236).
The current dividend yield is 0.88 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.66. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.37%, demonstrating that it has increased its dividend over time.
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What is the Fund Sentiment?
There are 2995 funds or institutions reporting positions in Automatic Data Processing.
This is an increase
of
78
owner(s) or 2.67% in the last quarter.
Average portfolio weight of all funds dedicated to ADP is 0.37%,
a decrease
of 30.79%.
Total shares owned by institutions increased
in the last three months by 0.16% to 362,046K shares.
The put/call ratio of ADP is 1.21, indicating a
bearish
outlook.
Analyst Price Forecast Suggests 14.50% Upside
As of April 6, 2023, the average one-year price target for Automatic Data Processing is $248.75. The forecasts range from a low of $213.11 to a high of $291.90. The average price target represents an increase of 14.50% from its latest reported closing price of $217.25.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Automatic Data Processing is $18,102MM, an increase of 4.96%. The projected annual non-GAAP EPS is $8.20.
What are Other Shareholders Doing?
BlackRock Variable Series Funds, Inc. - BlackRock S&P 500 Index V.I. Fund Class I holds 25K shares representing 0.01% ownership of the company. In it's prior filing, the firm reported owning 25K shares, representing a decrease of 1.36%. The firm decreased its portfolio allocation in ADP by 1.30% over the last quarter.
Trust Co Of Vermont holds 56K shares representing 0.01% ownership of the company. In it's prior filing, the firm reported owning 55K shares, representing an increase of 0.78%. The firm increased its portfolio allocation in ADP by 47,853.82% over the last quarter.
Los Angeles Capital Management holds 353K shares representing 0.09% ownership of the company. In it's prior filing, the firm reported owning 379K shares, representing a decrease of 7.24%. The firm decreased its portfolio allocation in ADP by 99.91% over the last quarter.
YorkBridge Wealth Partners holds 4K shares representing 0.00% ownership of the company. In it's prior filing, the firm reported owning 4K shares, representing a decrease of 1.92%. The firm decreased its portfolio allocation in ADP by 99.90% over the last quarter.
Asset Advisors Investment Management holds 4K shares representing 0.00% ownership of the company. No change in the last quarter.
Automatic Data Processing Background Information
(This description is provided by the company.)
ADP is a comprehensive global provider of cloud-based human capital management (HCM) solutions that unite HR, payroll, talent, time, tax and benefits administration, and a leader in business outsourcing services, analytics and compliance expertise. Its unmatched experience, deep insights and cutting-edge technology has transformed human resources from a back-office administrative function to a strategic business advantage.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
