160.13 0.00 (0.00%)
After hours: 5:08PM EDT
Inside Bar (Bearish)
|Bid||159.16 x 800|
|Ask||160.50 x 800|
|Day's Range||153.68 - 161.05|
|52 Week Range||103.11 - 182.32|
|Beta (5Y Monthly)||0.87|
|PE Ratio (TTM)||29.48|
|Earnings Date||Jul 29, 2020 - Aug 03, 2020|
|Forward Dividend & Yield||3.64 (2.43%)|
|Ex-Dividend Date||Jun 11, 2020|
|1y Target Est||155.40|
U.S. employers cut 2.76 million private payrolls in May, according to a report Wednesday from ADP. Yahoo Finance's Emily McCormick joins The First Trade to discuss that, Zoom's first-quarter earnings report and Campbell Soup's third quarter report.
Private sector employment decreased by 2,760,000 jobs from April to May according to the May ADP National Employment Report®. The report utilizes data through the 12th of the month. The NER uses the same time period the Bureau of Labor and Statistics uses for their survey. As such, the May NER does not reflect the full impact of COVID-19 on the overall employment situation.
The outlook revision reflects Moody's expectation of a meaningful near term contraction in ADP's operating performance following the coronavirus outbreak and the resulting highly elevated unemployment levels in the company's target markets, especially in the small and medium-sized business ("SMB") segments, as well as a significant drop in float related investment income stemming from a recent sharp decline in interest rates. Additional risks to the issuer's credit quality include ADP's smaller scale relative to its rated peer group, service line concentration, limited geographic diversity, historical focus on acquisitions and shareholder returns, and potential reputational risk in the event of a data security or customer privacy breach of the company's systems.
A recent survey of workers in the U.S. from the ADP Research Institute reveals that an initially significant decrease in worker confidence appears to be leveling off despite the impact the COVID-19 pandemic had on nearly every worker in the U.S. The findings included in the report titled "A Workplace Redefined: Employee Resilience Amid The COVID-19 Pandemic" explore employee sentiment regarding their ability to work from home, how the pandemic affected their productivity, their confidence about how long they may experience the effects of the crisis, and how their employer responded to the pandemic. The survey uncovers that stress levels, work/life balance and productivity are starting to stabilize rather than continue to deteriorate week to week. In fact, the majority of workers believe their financial concern is short term, even for those not working right now.
The financial regulations require hedge funds and wealthy investors that exceeded the $100 million equity holdings threshold to file a report that shows their positions at the end of every quarter. Even though it isn't the intention, these filings to a certain extent level the playing field for ordinary investors. The latest round of 13F […]
Announcement of Periodic Review: Moody's announces completion of a periodic review of ratings of Automatic Data Processing, Inc. New York, May 27, 2020 -- Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Automatic Data Processing, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers.
WHAT: ADP Research Institute® will release the May findings of the ADP National Employment Report, ADP Small Business Report and ADP National Franchise Report on Wednesday, June 3, 2020 at 8:15 a.m. ET.
Aoris Investment Management recently released its Q1 2020 Investor Letter, a copy of which you can download below. The Aoris International Fund aims to generate returns of 8–12% p.a. over a market cycle. The portfolio is long-only and highly selective. You should check out Aoris Investment Management’s top 5 stock picks for investors to buy right […]
ADP Canada National Employment Report: Employment in Canada Decreased by 226,700 Jobs in April 2020
(Bloomberg) -- Bank of America double-downgraded payments stock Square Inc. to underperform from buy on concern small and medium businesses like restaurants, retailers and salons will struggle to stay afloat once they’ve spent government Covid-19 crisis funds.“A significant number” of small and medium outfits may struggle to survive, especially if the U.S. economy only partially reopens and firms are limited to 25% to 50% occupancy, analyst Jason Kupferberg wrote in a note.“The extent of SMB churn is hard to quantify, and likely won’t be known for perhaps another 6 months, but we note that 75% of Square’s payment volume comes from merchants with less $500,000 in annual card volumes,” he said.He also flagged Square’s 26% rally so far this year, which compares with a 9% decline for the S&P 500. The stock may have “moved too far and too fast relative to its near-term fundamental prospects,” he said.In the same note, Kupferberg also became the sole bear on payroll processor Automatic Data Processing Inc., cutting his rating to underperform from neutral due to “extreme stress on employment markets.” ADP is exposed to the current recession not just because of the number of employees on its clients’ payrolls, he said, but also in terms of client retention, new bookings and lower float income.He added that Paychex Inc.’s business update call on Tuesday may be a “negative catalyst” for ADP, as Paychex will probably pre-announce a guidance miss for the quarter ended May 31. Kupferberg rates Paychex underperform too, as 99% of its revenue comes from U.S. small and medium businesses averaging 16 employees.Square pared a decline of as much as 2.5% in early Monday trading, while ADP nearly erased a gain of as much as 2% and Paychex rose as much as 4%. Stocks rose across the board on optimism about an experimental vaccine, and as major economies took further steps toward re-opening and the Fed stressed it has more ammunition to combat a downturn.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
ADP®, a leading global technology company providing human capital management (HCM) solutions, will host a complimentary virtual summit on May 29, 2020 to provide critical insights, best practices and actionable guidance to help employers navigate a safe and effective return to work. The event, "Looking Beyond the Curve: Recovery and Engagement in the New World of Work," will run from 11:00am to 5:00pm ET and feature ADP experts leveraging unique research and data on topics including business continuity, evolving legislation, navigating compliance, and activating a workforce in flux.
Media Alert: April 2020 ADP Canada National Employment Report to be released on Thursday, May 21, 2020
Today, ADP®, a leading global technology company providing human capital management (HCM) solutions, recognized five companies for their success in leading innovative workplace transformation initiatives that foster a culture of engagement. These five companies, World Wide Technology, Mercy Housing, Party City, Honeywell, and Penske Automotive Group, will be featured during Episodes One and Two of the ADP Meeting of the Minds Online Series, a four-episode series culminating in a robust virtual conference in the fall.
The era of coronavirus has been a hard one on the American psyche but the CEO of one of the world’s largest asset managers cautions that everyone should brace for even rougher days ahead, as the U.S. attempts to emerge from the worst public-health crisis in more than a century.
Undoubtedly, one of the biggest surprises of this year is Shopify (NYSE:SHOP). At a time when the discretionary retail segment has been gutted, the online merchant platform has defied all expectations. If positive momentum continues, Shopify stock will soon double in value on a year-to-date basis. Even factoring in that its online business caters fortuitously well to the shutdowns imposed by the novel coronavirus, SHOP is an extreme anomaly.Source: Jirapong Manustrong / Shutterstock.com However, some fundamental justification exists for its tremendous surge. Primarily, the company delivered a blisteringly positive first-quarter earnings report, especially considering the broader context. Heading into the disclosure, covering analysts expected SHOP to produce an earnings loss of 18 cents per share. Instead, it delivered an earnings per share of 19 cents, obliterating the consensus target.Additionally, SHOP generated revenue of $470 million, up 47% from the year-ago quarter. This also beat analysts' expectations, which called for $443.2 million.InvestorPlace - Stock Market News, Stock Advice & Trading TipsEven more impressive, though, was gross merchandise volume from merchant customers, which increased 46% to $17.4 billion. This beat the consensus target of $16.83 billion by a wide margin. In particular, GMV of apparel and accessories normalized by April following softness in mid-March. Not surprisingly, Shopify stock skyrocketed on the announcement. * 10 Key Stocks to Watch Over the Next Few Months However, a growing chorus of analysts are expressing skepticism toward SHOP's upside potential. With valuations at nosebleed levels, it seems almost foolish to buy Shopify stock now. Moreover, so many investments are trading at rock-bottom prices.Plus, it's important to contrast Shopify's Q1 results with recent results from Target (NYSE:TGT). The big-box retailer saw a huge spike in groceries (as you would expect) but a decline in discretionary items.Can you still trust Shopify stock? Sort of. Shopify Stock Makes Sense for NowI understand the common argument against SHOP. Recently, the Department of Labor revealed that 3.2 million workers filed for unemployment benefits for the week ending May 2. Over the course of seven weeks, the number of initial jobless claims filed has totaled over 33 million.If that wasn't scary enough, every indicator is screaming that the labor market has suffered cataclysmic damage. Automatic Data Processing (NASDAQ:ADP) reported that the private sector shed more than 20 million jobs in April. Therefore, the very idea of people buying anything other than food, water, and other essentials seems absurd.More to the point, Shopify's reported increases in GMV for apparel and accessories runs counter to both intuition and hard economic data.Yet to understand the seemingly discordant rise of Shopify stock, you must ask a difficult question: who does the coronavirus impact the most?Logically, most of the nominal job losses have come from more easily replaceable, low-income positions. Further, the Pew Research Center disclosed that Covid-19 has disproportionately impacted communities of color, specifically Hispanics and African Americans. Click to Enlarge Source: Data from Pew Research Center When you look at the trends, they're jarring. Between March and April, the percentage of Hispanics that reported they or someone in their household suffered a job or wage loss increased 49% to 61%. For African Americans, the metric increased from 36% to 44%.So, what does this have to do with Shopify stock? Everything, as I'll explain below. SHOP Is an Economic BarometerAccording to the Dallas Morning News, race in America still matters. In a blunt but relevant discussion, journalist Mitchell Schnurman argues that white workers still get more of the good jobs. As an aside, I find it remarkable that this article was written in January of this year. In my opinion, Schnurman really got the essence of why Shopify stock is so hot today.Having established that white workers typically tend to be higher-paid employees than their non-white counterparts, it's only logical that Shopify has yet to be fully impacted by the coronavirus. According to a 2015 survey by ThinkNow Research, on average, white consumers spent the most money online of all races/ethnicities.As Schnurman would likely say, they can afford it. Since the initial wave of job losses impacted low-income jobs, white workers have been relatively insulated. Thus, many apparently got through this period of quarantining with retail therapy, thereby bolstering Shopify stock.Is SHOP a buy then? Absolutely not! Because at some point, you got to figure that the coronavirus impact will soon hit high-paying positions, which largely affect white workers.According to the New York Times' contributors Patricia Cohen and Tiffany Hsu, that might be already happening. As they worryingly wrote:While restaurant, travel, hospitality and retail workers were among the first to lose their jobs, layoffs have become more widespread in recent weeks, affecting engineers at Uber, advertising account executives at Omnicom, designers at Airbnb and other office employees.Therefore, I fully expect the Hispanic and African American job loss rate to decline moving forward, with the proportion of impacted white workers increasing. How Shopify responds to the gradual loss of white consumers will be the real test of its resilience. Fundamentals Will Soon Make SenseFor those who are screaming that Shopify stock doesn't make fundamental sense, I hear you. Eventually, SHOP will reflect whatever is the true health of the underlying economy. If high-paying jobs remain largely unaffected by Covid-19, then shares deserve their rich valuation.But I doubt it. We can't have an economy where only the well-to-do have everything and everyone else has nothing. After all, big business has to sell their crap to somebody. When those somebodies no longer exist, that's when you start having serious problems.A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. As of this writing, he did not hold a position in any of the aforementioned securities. More From InvestorPlace * America's 1 Stock Picker Reveals Next 1,000% Winner * 25 Stocks You Should Sell Immediately * 1 Under-the-Radar 5G Stock to Buy Now * The 1 Stock All Retirees Must Own The post Shopifyas Premium Is a Symptom of Our Social Disconnect appeared first on InvestorPlace.
The era of coronavirus has already been hard on the American psyche, but the chief executive of the world’s largest asset manager cautions that everyone should brace for even rougher days ahead as the U.S. attempts to emerge from the worst public-health crisis in more than a century. (BLK) (ticker: BLK) CEO Larry Fink forecast a dour near-term outlook for the economy as states and businesses grapple with reopening from Covid-19 lockdowns that have likely driven the U.S., and the rest of the world, into a deep recession, according to a report from Bloomberg News. The news organization reported that Fink, speaking privately with clients of a wealth advisory firm, outlined a future in which the economy continues to weaken, bankruptcies soar, and American consumers—the lifeblood of economic vitality in the U.S.—remain psychologically scarred from the impact of the deadly pathogen that has infected more than 3.7 million people (1.2 million in the U.S. alone) and claimed more than 260,000 lives globally, according to data compiled by Johns Hopkins University.
U.S. on Wednesday opened modestly higher, as investors digested a report on private-sector employment, which underscored the damage of the coronavirus-induced lockdowns on jobs. Private-sector companies lost 20.2 million jobs in April, according to data from Automatic Data Processing Inc. . The report comes ahead of a more closely followed update on employment from the Labor Department on Friday. The Dow Jones Industrial Average rose 166 points, or 0.7%, at 24,049, the S&P 500 index added 0.7% at 2,889, while the Nasdaq Composite Index advanced 1% at 8,894. Gains for the main equity gauges would represent the third in a row. The unemployment rate has likely surged to the highest level on record - the MarketWatch forecast is 15% - from a mere 3.5% just two months ago.
Private sector employment decreased by 20,236,000 jobs from March to April according to the April ADP National Employment Report®. The report utilizes data through the 12th of the month. The NER uses the same time period the Bureau of Labor and Statistics uses for their survey. As such, the April NER does not reflect the full impact of COVID-19 on the overall employment situation.