Automatic Data Processing, Inc. (ADP - Free Report) shares have had an impressive run over the past three months. The stock has rallied 10% compared with the 6.7% rise of the industry it belongs to and the 4.5% decline of the Zacks S&P 500 composite.
The company recently announced the launch of its corporate venture capital arm and innovation lab, ADP Ventures.
The Job
ADP Ventures aims to invest in and partner with technology startups in the human capital management (HCM) industry and beyond, which are capable of using and advancing ADP’s innovation strategies. This, in turn, will help ADP improve and strengthen its core business, as well as develop services that cater to new segments and geographies.
ADP Ventures has invested in SemperVirens Venture Capital, an early-stage venture capital fund that invests in technology transforming work, health and financial wellness.
The Goal
ADP Ventures seems to be a part of ADP’s broader objective of business development and client acquisition through increasing the quality of services and clients’ overall experience throughout their HCM journey.
Innovation and technology improvement on a consistent basis should further strengthen ADP’s strong business model characterized by high recurring revenues, good margins, robust client retention and low capital expenditure.
Sreeni Kutam, president of global product and innovation at ADP said, "ADP Ventures is investing in the total human experience, in technology that empowers people at work and beyond work, whether it's collaboration, health and wellbeing, talent acquisition, financial wellness or HCM analytics."
Zacks Rank & Other Stocks to Consider
ADP currently carries a Zacks Rank #2 (Buy).
The following top-ranked stocks from the Business Services sector are also worth consideration:
Verisk Analytics (VRSK - Free Report) beat the Zacks Consensus Estimate in three of the last four quarters and matched on one instance, with an average surprise of 9.9%. The consensus mark for 2023 revenues is pegged at $2.66 billion, suggesting a decrease of 8.2% from the year-ago figure. The consensus estimate for 2023 earnings is pegged at $5.71 per share, indicating a 14% rise from the year-ago figure. VRSK currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Broadridge (BR - Free Report) currently carries a Zacks Rank of 2. It surpassed the Zacks Consensus Estimate in two of the trailing four quarters, missed once and matched on one instance, the average surprise being 0.5%. The consensus estimate for fiscal 2024 revenues and earnings indicates jumps of 7.2% and 8.8%, respectively.
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Automatic Data Processing, Inc. (ADP - Free Report) shares have had an impressive run over the past three months. The stock has rallied 10% compared with the 6.7% rise of the industry it belongs to and the 4.5% decline of the Zacks S&P 500 composite.
The company recently announced the launch of its corporate venture capital arm and innovation lab, ADP Ventures.
The Job
ADP Ventures aims to invest in and partner with technology startups in the human capital management (HCM) industry and beyond, which are capable of using and advancing ADP’s innovation strategies. This, in turn, will help ADP improve and strengthen its core business, as well as develop services that cater to new segments and geographies.
ADP Ventures has invested in SemperVirens Venture Capital, an early-stage venture capital fund that invests in technology transforming work, health and financial wellness.
The Goal
ADP Ventures seems to be a part of ADP’s broader objective of business development and client acquisition through increasing the quality of services and clients’ overall experience throughout their HCM journey.
Innovation and technology improvement on a consistent basis should further strengthen ADP’s strong business model characterized by high recurring revenues, good margins, robust client retention and low capital expenditure.
Sreeni Kutam, president of global product and innovation at ADP said, "ADP Ventures is investing in the total human experience, in technology that empowers people at work and beyond work, whether it's collaboration, health and wellbeing, talent acquisition, financial wellness or HCM analytics."
Zacks Rank & Other Stocks to Consider
ADP currently carries a Zacks Rank #2 (Buy).
The following top-ranked stocks from the Business Services sector are also worth consideration:
Verisk Analytics (VRSK - Free Report) beat the Zacks Consensus Estimate in three of the last four quarters and matched on one instance, with an average surprise of 9.9%. The consensus mark for 2023 revenues is pegged at $2.66 billion, suggesting a decrease of 8.2% from the year-ago figure. The consensus estimate for 2023 earnings is pegged at $5.71 per share, indicating a 14% rise from the year-ago figure. VRSK currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Broadridge (BR - Free Report) currently carries a Zacks Rank of 2. It surpassed the Zacks Consensus Estimate in two of the trailing four quarters, missed once and matched on one instance, the average surprise being 0.5%. The consensus estimate for fiscal 2024 revenues and earnings indicates jumps of 7.2% and 8.8%, respectively.
4 Oil Stocks with Massive Upsides
Global demand for oil is through the roof... and oil producers are struggling to keep up. So even though oil prices are well off their recent highs, you can expect big profits from the companies that supply the world with "black gold."
Zacks Investment Research has just released an urgent special report to help you bank on this trend.
In Oil Market on Fire, you'll discover 4 unexpected oil and gas stocks positioned for big gains in the coming weeks and months. You don't want to miss these recommendations.
Download your free report now to see them.
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