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24 stories mentioning ADPUpdated 10d ago

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Sectors

Sector Update: Tech Stocks Rise Pre-Bell Wednesday

Technology stocks were rising pre-bell Wednesday, with the State Street Technology Select Sector SPDR Fund (XLK) advancing by 0.6% and the State Street SPDR S&P Semiconductor ETF (XSD) up 2.8%.Seagate Technology Holdings (STX) stock was up more than 14% after the company posted higher fiscal Q3 non-GAAP earnings and revenue, and issued fiscal Q4 outlook above analysts' estimates.Automatic Data Processing (ADP) shares were up more than 3% after the company reported higher fiscal Q3 adjusted earnings and revenue, and raised its 2026 outlook.United Microelectronics (UMC) shares were up more than 8% after the company posted higher Q1 earnings and operating revenue.

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Research

Research Alert: Adp Q3 Fy 26: Client Funds Strategy Leads To 10% Eps Growth

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:Automatic Data Processing (ADP) delivered strong Q3 FY 26 (Jun.) results with adjusted EPS of $3.37 (+10% Y/Y, +2% vs. consensus) and total revenues of $5.9B (+7% Y/Y), beating expectations by $90M. The outperformance was supported by effective operational execution and growing higher-yielding client fund investment contributions. The client funds strategy emerged as the dominant earnings catalyst, with interest on funds surging 14% to $404M, owing to 9% growth in average balances to $48.3B and 10 bps yield improvement to 3.3%. Consolidated adjusted EBIT increased 10% to $1.8B with margin expansion of 80 bps to 30.2%, though segment performance varied with Employer Services achieving strong margin gains. U.S. pays per control growth held steady at +1%, reflecting persistent corporate hiring restraint amid macroeconomic uncertainty. We believe ADP's diversified client base of over 1.1M companies provides meaningful protection against concentrated exposure risks.

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Wire

Automatic Data Processing Poised for Modest Beat in Fiscal Q3, RBC Says

Automatic Data Processing (ADP) is expected to post a modest beat, with the company reiterating its fiscal 2026 guidance, when it reports its fiscal Q3 results on Wednesday, RBC Capital Markets said in a research note.RBC is modeling fiscal Q3 total revenue growth of 5.6% year-on-year to $5.86 billion, compared with consensus of 5.4% growth to $5.85 billion. Quarterly earnings per share are expected to be $3.36, versus the consensus estimate of $3.29, RBC said in the preview emailed on Tuesday.Automatic Data Processing should continue to see tailwinds from broad-based strength in Employer Service bookings across international, US enterprise, and compliance businesses, RBC said.Pays per Control is expected to remain stable near 0% to 1%, slightly beating the flattish outlook, while retention should decline about 20 basis points, consistent with the mid-point of the company's fiscal 2026 guidance, according to RBC.RBC maintained its sector perform rating with a price target of $290 on Automatic Data Processing.Price: $200.12, Change: $+2.89, Percent Change: +1.47%

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Wire

UBS Cuts Automatic Data Processing Price Target to $210 From $220, Maintains Neutral Rating

Automatic Data Processing (ADP) has an average rating of Hold and mean price target of $262.71, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)Price: $190.75, Change: $+1.96, Percent Change: +1.04%

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