Automatic Data Processing (ADP) recently experienced a 2% yield increase in shares and received price target hikes from Jefferies and Barclays. Over the last 20 years, a $1000 investment would have amassed significant value, making ADP an attractive dividend growth stock. Moreover, ADP reported a surge in private sector employment by 183,000 jobs in January, exceeding expectations, with annual wages increasing by 4.7%. Despite some sales of shares by entities like Stock Yards Bank & Trust, significant overall institutional ownership of 83% lends stability to the company. As ADP moves upmarket with acquisitions like WorkForce, it boasts a solid ROE of 72% and strong Q2 2025 earnings. Their fiscal Q2 earnings exceeded expectations with robust revenue and EPS which points towards sustained financial performance. Dividend payouts also increased over the last year, while the company consistently beats earnings estimates across quarters. However, ADP shares are considered expensive but the company ranks high in terms of safety due to its promising 2.0% yield.
Automatic Data Processing ADP News Analytics from Thu, 18 Apr 2024 07:00:00 GMT to Fri, 07 Feb 2025 22:19:00 GMT -
Rating 8
- Innovation 6
- Information 8
- Rumor -4
