ADP Automatic Data Processing, Inc.
Automatic Data Processing, Inc. engages in the provision of business outsourcing solutions specializes in cloud-based human capital management. It operates through the following business segments: Employer Services; and Professional Employer Organization Services; and Other. The Employer Services segment provides clients ranging from single-employee small businesses to large enterprises with tens of thousands of employees around the world, offering a range of human resources outsourcing and technology-based human capital management solutions, including strategic, cloud-based platforms. The Professional Employer Organization Services segment offers small and mid-sized businesses a human resources outsourcing solution through a co-employment mode. The Other segment comprises of non-recurring gains and losses; miscellaneous processing services; the elimination of intercompany transactions; and interest expense. The company was founded by Henry Taub in 1949 and is headquartered in Roseland, NJ.
Company profile
Ticker
ADP
Exchange
Website
CEO
Carlos A. Rodriguez
Employees
Incorporated in
Location
Fiscal year end
Industry (SEC)
DXC Technology • Liberty TripAdvisor • Fiserv • CoreLogic • Sohu.com • Verisk Analytics • Cars.com • Workday • Zynga • Bilibili ...
SEC CIK
Corporate docs
IRS number
221467904
Calendar
31 Jan 20
30 Mar 20
30 Jun 20
News
Company financial data Financial data
| Quarter (USD) | Dec 19 | Sep 19 | Jun 19 | Mar 19 | |
|---|---|---|---|---|---|
| Revenue | 3.67B | 3.5B | 3.5B | 3.85B | |
| Net income | 651.6M | 582.4M | 475.5M | 753.7M | |
| Diluted EPS | 1.5 | 1.34 | 1.09 | 1.73 | |
| Net profit margin | 17.76% | 16.66% | 13.59% | 19.59% | |
| Net change in cash | 96.5M | -545.3M | 123M | -959.4M | |
| Cash on hand | 1.5B | 1.4B | 1.95B | 1.83B | |
| Cost of revenue | 2.09B | 2.04B | 2.02B | 2.11B |
| Annual (USD) | Jun 19 | Jun 18 | Jun 17 | Jun 16 | |
|---|---|---|---|---|---|
| Revenue | 14.11B | 13.33B | 12.37B | 11.67B | |
| Net income | 2.29B | 1.88B | 1.79B | 1.49B | |
| Diluted EPS | 5.24 | 4.25 | 3.97 | 3.25 | |
| Net profit margin | 16.25% | 14.14% | 14.45% | 12.79% | |
| Net change in cash | -220.8M | -610.4M | -410.7M | 1.55B | |
| Cash on hand | 1.95B | 2.17B | 2.78B | 3.19B | |
| Cost of revenue | 8.09B | 7.81B | 7.24B | 6.84B |
Financial data from company earnings reports
Recent insider trades
| Date | Owner | Security | Transaction | Code | $Price | #Shares | $Value | #Remaining |
|---|---|---|---|---|---|---|---|---|
| 6 Feb 20 | Donald Weinstein | Common Stock | Sell | Dispose S | 180 | 2,468 | 444.24K | 24,109.575 |
| 6 Feb 20 | Donald Weinstein | Common Stock | Option exercise | Aquire M | 86.61 | 2,468 | 213.75K | 26,577.575 |
| 6 Feb 20 | Donald Weinstein | Stock Option Common Stock | Option exercise | Dispose M | 86.61 | 2,468 | 213.75K | 0 |
| 6 Feb 20 | Michael C Eberhard | Common Stock | Sell | Dispose S | 180 | 13,563 | 2.44M | 40,001.311 |
| 6 Feb 20 | Michael C Eberhard | Common Stock | Option exercise | Aquire M | 75.1 | 13,563 | 1.02M | 53,564.311 |
| 6 Feb 20 | Michael C Eberhard | Stock Option Common Stock | Option exercise | Dispose M | 75.1 | 13,563 | 1.02M | 0 |
| 4 Feb 20 | Deborah L Dyson | Common Stock | Sell | Dispose S | 176.67 | 3,250 | 574.18K | 18,303.735 |
Institutional ownership Q4 2019
78.8% owned by funds/institutions
13F holders |
Current |
|---|---|
| Total holders | 1637 |
| Opened positions | 223 |
| Closed positions | 97 |
| Increased positions | 515 |
| Reduced positions | 584 |
13F shares |
Current |
|---|---|
| Total value | 58.03B |
| Total shares | 340.37M |
| Total puts | 1.98M |
| Total calls | 1.38M |
| Total put/call ratio | 1.4 |
Largest owners |
Shares | Value |
|---|---|---|
| Vanguard | 38.23M | $6.52B |
| BLK BlackRock | 31.45M | $5.36B |
| STT State Street | 19.35M | $3.32B |
| BAC Bank of America | 11.41M | $1.95B |
| WFC Wells Fargo & Co. | 10.99M | $1.87B |
| JPM JPMorgan Chase & Co. | 10.79M | $1.84B |
| MS^L Morgan Stanley | 10.74M | $1.83B |
| BK Bank Of New York Mellon | 9.93M | $1.69B |
| Geode Capital Management | 7.54M | $1.28B |
| Alliancebernstein | 7.54M | $1.29B |
Financial report summary
?Competition
Oracle Systems • Adam • Barrett Business Services • TriNet • Insperity • The Ultimate Software Group Inc • Gevity HR • Choicepoint • Willis Towers Watson • Hewitt AssociatesRisks
- Failure to comply with, or changes in, laws and regulations applicable to our businesses could have a materially adverse effect on our reputation, results of operations or financial condition, or have other adverse consequences
- Failure to comply with anti-corruption laws and regulations, economic and trade sanctions, anti-money laundering laws and regulations, and similar laws could have a materially adverse effect on our reputation, results of operations or financial condition, or have other adverse consequences
- Failure to comply with privacy, data protection and cyber security laws and regulations could have a materially adverse effect on our reputation, results of operations or financial condition, or have other adverse consequences
- Our businesses collect, host, store, transfer, process, disclose, use, secure and dispose of personal and business information, and collect, hold and transmit client funds, and a security or privacy breach may damage or disrupt our businesses, result in the disclosure of confidential information, damage our reputation, increase our costs, cause losses and adversely affect our results of operations
- Our systems, applications, solutions and services may be subject to disruptions that could have a materially adverse effect on our business and reputation
- A disruption of our data centers could have a materially adverse effect on our business
- If we fail to protect our intellectual property rights, it could materially adversely affect our business and our brand
- We may be sued by third parties for infringement of their proprietary rights, which could have a materially adverse effect on our business, financial condition or results of operations
- If we fail to upgrade, enhance and expand our technology and services to meet client needs and preferences, the demand for our solutions and services may diminish
- We may not realize or sustain the expected benefits from our business transformation initiatives, and these efforts could have a materially adverse effect on our business, operations, financial condition, results of operations and competitive position
- Political and economic factors may adversely affect our business and financial results
- Our business could be negatively impacted as a result of actions by activist stockholders or others
- Change in our credit ratings could adversely impact our operations and lower our profitability
- We may be unable to attract and retain qualified personnel
Management Discussion
- Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations
- This document and other written or oral statements made from time to time by ADP may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Statements that are not historical in nature and which may be identified by the use of words like “expects,” “assumes,” “projects,” “anticipates,” “estimates,” “we believe,” “could” “is designed to” and other words of similar meaning, are forward-looking statements. These statements are based on management’s expectations and assumptions and depend upon or refer to future events or conditions and are subject to risks and uncertainties that may cause actual results to differ materially from those expressed. Factors that could cause actual results to differ materially from those contemplated by the forward-looking statements or that could contribute to such difference include: ADP's success in obtaining, and retaining clients, and selling additional services to clients; the pricing of products and services; the success of our new solutions; compliance with existing or new legislation or regulations; changes in, or interpretations of, existing legislation or regulations; overall market, political and economic conditions, including interest rate and foreign currency trends; competitive conditions; our ability to maintain our current credit ratings and the impact on our funding costs and profitability; security or cyber breaches, fraudulent acts, and system interruptions and failures; employment and wage levels; changes in technology; availability of skilled technical associates; the impact of new acquisitions and divestitures; and the adequacy, effectiveness and success of our business transformation initiatives. ADP disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. These risks and uncertainties, along with the risk factors discussed under “Item 1A. Risk Factors,” and in other written or oral statements made from time to time by ADP, should be considered in evaluating any forward-looking statements contained herein.
- We are a leading global provider of cloud-based Human Capital Management (“HCM”) technology solutions - including payroll, talent management, Human Resources management, benefits administration, and workforce management - to employers around the world. As a leader in this industry, we deliver on our global HCM strategy and invest in highly strategic
Content analysis
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H.S. freshman Avg
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New words:
clarification, domestic, entirety, exciting, meaningful, past, proud, repayment, replacing
Removed:
amortized, announced, approval, coupled, infrastructure, October, ratably, reclassified, sovereign, spend, subsequent, track, transferred, unit, vest, yield
Financial reports
10-Q
2020 Q2
Quarterly report
31 Jan 20
10-Q
2020 Q1
Quarterly report
4 Nov 19
10-K
2019 FY
Annual report
9 Aug 19
10-Q
2019 Q3
Quarterly report
3 May 19
10-Q
2019 Q2
Quarterly report
31 Jan 19
10-Q
2019 Q1
Quarterly report
1 Nov 18
10-K
2018 FY
Annual report
3 Aug 18
10-Q
2018 Q3
Quarterly report
4 May 18
10-Q
2018 Q2
Quarterly report
1 Feb 18
10-Q
2018 Q1
Quarterly report
2 Nov 17
Current reports
8-K
Regulation FD Disclosure
23 Mar 20
8-K
Departure of Directors or Certain Officers
18 Mar 20
8-K
Departure of Directors or Certain Officers
28 Feb 20
8-K
ADP Reports Second Quarter Fiscal 2020 Results
29 Jan 20
8-K
Submission of Matters to a Vote of Security Holders
18 Nov 19
8-K
ADP Reports First Quarter Fiscal 2020 Results
30 Oct 19
8-K
ADP Reports Fourth Quarter and Fiscal 2019 Results; Provides Fiscal 2020 Outlook
31 Jul 19
8-K
Entry into a Material Definitive Agreement
13 Jun 19
8-K
Departure of Directors or Certain Officers
15 May 19
8-K
ADP Reports Third Quarter Fiscal 2019 Results
1 May 19
Registration and prospectus
S-8
Registration of securities for employees
6 Nov 18
S-8 POS
Registration of securities for employees (post-effective amendment)
6 Nov 18
S-3ASR
Automatic shelf registration
8 Aug 18
S-8 POS
Registration of securities for employees (post-effective amendment)
4 Aug 16
S-8 POS
Registration of securities for employees (post-effective amendment)
4 Aug 16
S-8 POS
Registration of securities for employees (post-effective amendment)
4 Aug 16
S-8 POS
Registration of securities for employees (post-effective amendment)
4 Aug 16
S-8 POS
Registration of securities for employees (post-effective amendment)
4 Aug 16
424B2
Prospectus for primary offering
9 Sep 15
424B2
Prospectus for primary offering
8 Sep 15
Proxies
DEFA14A
Additional proxy soliciting materials
26 Sep 19
DEF 14A
Definitive proxy
26 Sep 19
DEFA14A
Additional proxy soliciting materials
20 Sep 18
DEF 14A
Definitive proxy
20 Sep 18
DFAN14A
Additional proxy materials by non-management
6 Nov 17
DFAN14A
Additional proxy materials by non-management
3 Nov 17
DFAN14A
Additional proxy materials by non-management
3 Nov 17
DFAN14A
Additional proxy materials by non-management
3 Nov 17
DEFA14A
Additional proxy soliciting materials
2 Nov 17
DFAN14A
Additional proxy materials by non-management
2 Nov 17
Other
CORRESP
Correspondence with SEC
15 Nov 17
UPLOAD
Letter from SEC
3 Nov 17
CORRESP
Correspondence with SEC
31 Oct 17
UPLOAD
Letter from SEC
23 Oct 17
UPLOAD
Letter from SEC
17 Oct 17
UPLOAD
Letter from SEC
16 Oct 17
CORRESP
Correspondence with SEC
11 Oct 17
UPLOAD
Letter from SEC
10 Oct 17
CORRESP
Correspondence with SEC
28 Sep 17
UPLOAD
Letter from SEC
26 Sep 17
Ownership
3
AUTOMATIC DATA PROCESSING / Brian L. Michaud ownership change
2 Mar 20
3
AUTOMATIC DATA PROCESSING / Joseph DeSilva ownership change
2 Mar 20
SC 13G/A
Automatic Data Processing Inc
12 Feb 20
4
AUTOMATIC DATA PROCESSING / Donald Weinstein ownership change
7 Feb 20
4
AUTOMATIC DATA PROCESSING / Michael C Eberhard ownership change
7 Feb 20
4
AUTOMATIC DATA PROCESSING / Deborah L Dyson ownership change
5 Feb 20
SC 13G/A
Beneficial ownership report (amended)
5 Feb 20
4
AUTOMATIC DATA PROCESSING / SREENIVASA KUTAM ownership change
3 Feb 20
4
AUTOMATIC DATA PROCESSING / John Ayala ownership change
21 Jan 20
4
AUTOMATIC DATA PROCESSING / Don McGuire ownership change
16 Jan 20