ADP price target lowered to $275 from $285 at Mizuho

Mizuho analyst Dan Dolev lowered the firm’s price target on ADP to $275 from $285 and keeps a Buy rating on the shares. While the company’s results in ES continued to be strong, the slowdown in PEO weighed on the stock, the analyst tells investors in a research note. The firm’s research suggests that this is neither driven by macro weakness nor is it reflective of execution issues. The slowdown was mostly due to an above-average drag from medical benefits price increases, contends Mizuho.