NEW YORK (TheStreet) -- Automatic Data Processing (ADP) - Get Report stock is falling by 2.77% to $87.83 in late afternoon trading on Wednesday, after the company reported its fiscal 2016 first quarter earnings results this morning.
The company posted earnings of 68 cents per share, up from 62 cents per share from the prior year period.
Revenue grew by 6% year over year, to $2.71 billion from $2.57 billion in the fiscal 2015 first quarter.
Analysts surveyed by Thomson Reuters had estimated earnings of 65 cents per share on revenue of $2.72 billion.
ADP lowered its full-year fiscal 2016 outlook, and now expects earnings growth to be at the lower end of its range of 12% and 14%. The company now expects full-year revenue growth between 7% and 8%, down from the prior range between 7% and 9%, due to divestitures, currency headwinds and higher spending.
"ADP had a good start to fiscal 2016, and we continue to experience very good momentum in new business bookings," CEO Carlos Rodriguez said in a statement.
Based in Roseland, NJ, ADP is a provider of human capital management (HCM) solutions and business process outsourcing.
Separately, TheStreet Ratings team rates AUTOMATIC DATA PROCESSING as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
We rate AUTOMATIC DATA PROCESSING (ADP) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share, expanding profit margins, solid stock price performance and largely solid financial position with reasonable debt levels by most measures. We feel its strengths outweigh the fact that the company shows weak operating cash flow.
You can view the full analysis from the report here: ADP