Automatic Data Processing Inc. (NASDAQ: ADP) has seen a rise in its stock price by 0.05 in relation to its previous close of 244.08. However, the company has experienced a -2.32% decline in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-04-16 that Here is how Automatic Data Processing (ADP) and Maplebear (CART) have performed compared to their sector so far this year.
Is It Worth Investing in Automatic Data Processing Inc. (NASDAQ: ADP) Right Now?
Automatic Data Processing Inc. (NASDAQ: ADP) has a higher price-to-earnings ratio of 28.42x compared to its average ratio. ADP has 36-month beta value of 0.78. Analysts have mixed views on the stock, with 0 analysts rating it as a “buy,” 2 as “overweight,” 16 as “hold,” and 0 as “sell.”
The public float for ADP is 408.74M, and currently, short sellers hold a 1.12% ratio of that float. The average trading volume of ADP on April 17, 2024 was 1.88M shares.
ADP’s Market Performance
ADP stock saw an increase of -2.32% in the past week, with a monthly gain of 0.88% and a quarterly increase of 3.80%. The volatility ratio for the week is 1.36%, and the volatility levels for the last 30 days are 1.54% for Automatic Data Processing Inc. (ADP). The simple moving average for the past 20 days is -0.66% for ADP’s stock, with a 1.59% simple moving average for the past 200 days.
Analysts’ Opinion of ADP
Many brokerage firms have already submitted their reports for ADP stocks, with BofA Securities repeating the rating for ADP by listing it as a “Neutral.” The predicted price for ADP in the upcoming period, according to BofA Securities is $243 based on the research report published on January 17, 2024 of the current year 2024.
UBS gave a rating of “Neutral” to ADP, setting the target price at $235 in the report published on November 07th of the previous year.
ADP Trading at -1.41% from the 50-Day Moving Average
After a stumble in the market that brought ADP to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -4.92% of loss for the given period.
Volatility was left at 1.54%, however, over the last 30 days, the volatility rate increased by 1.36%, as shares surge +0.98% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -1.85% lower at present.
During the last 5 trading sessions, ADP fell by -2.32%, which changed the moving average for the period of 200-days by +12.82% in comparison to the 20-day moving average, which settled at $245.96. In addition, Automatic Data Processing Inc. saw 4.82% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at ADP starting from KUTAM SREENIVASA, who sale 368 shares at the price of $247.01 back on Mar 04 ’24. After this action, KUTAM SREENIVASA now owns 20,319 shares of Automatic Data Processing Inc., valued at $90,900 using the latest closing price.
Albinson Brock, the Corp. VP of Automatic Data Processing Inc., sale 1,170 shares at $249.43 during a trade that took place back on Mar 01 ’24, which means that Albinson Brock is holding 4,025 shares at $291,833 based on the most recent closing price.
Stock Fundamentals for ADP
Current profitability levels for the company are sitting at:
- 0.12 for the present operating margin
- 0.44 for the gross margin
The net margin for Automatic Data Processing Inc. stands at 0.2. The total capital return value is set at 0.25. Equity return is now at value 97.38, with 6.38 for asset returns.
Based on Automatic Data Processing Inc. (ADP), the company’s capital structure generated 0.43 points at debt to capital in total, while cash flow to debt ratio is standing at 1.19. The debt to equity ratio resting at 0.77. The interest coverage ratio of the stock is 6.58.
Currently, EBITDA for the company is 5.26 billion with net debt to EBITDA at 0.31. When we switch over and look at the enterprise to sales, we see a ratio of 5.63. The receivables turnover for the company is 5.37for trailing twelve months and the total asset turnover is 0.32. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.01.
Conclusion
To put it simply, Automatic Data Processing Inc. (ADP) has had a better performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
