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Automatic Data Processing, Inc. ADP
Industrials - Staffing & Employment Services - NASDAQ - US
Watchlist
$ 284.85
-2.87 %
$ 116 B
Market Cap
29.7
P/E
1. INTRINSIC VALUE

This DCF valuation model was last updated on Apr, 22, 2025.

The intrinsic value of one ADP stock under the worst case scenario is HIDDEN Compared to the current market price of 285 USD, Automatic Data Processing, Inc. is HIDDEN

ADP Intrinsic Value
HIDDEN
SHOW

This DCF valuation model was last updated on Apr, 22, 2025.

The intrinsic value of one ADP stock under the base case scenario is HIDDEN Compared to the current market price of 285 USD, Automatic Data Processing, Inc. is HIDDEN

ADP Intrinsic Value
HIDDEN
SHOW

This DCF valuation model was last updated on Apr, 22, 2025.

The intrinsic value of one ADP stock under the best case scenario is HIDDEN Compared to the current market price of 285 USD, Automatic Data Processing, Inc. is HIDDEN

ADP Intrinsic Value
HIDDEN
SHOW
2. FUNDAMENTAL ANALYSIS

Price Chart ADP

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1M -8%
6M 0%
1Y 20%
3Y 33%
5Y 119%
All
$320.0$320.0$315.0$315.0$310.0$310.0$305.0$305.0$300.0$300.0$295.0$295.0$290.0$290.0$285.0$285.0$280.0$280.0$275.0$275.0Nov '24Nov '2415 Nov15 NovDec '24Dec '2415 Dec15 DecJan '25Jan '2515 Jan15 JanFeb '25Feb '2515 Feb15 FebMar '25Mar '2515 Mar15 MarApr '25Apr '2515 Apr15 Apr
FINANCIALS
19.2 B REVENUE
6.61%
Growth Rates
1Year 6.61%
3Years 8.57%
5Years 7.12%
7Years 6.97%
10Years 4.96%
4.98 B OPERATING INCOME
10.42%
Growth Rates
1Year 10.42%
3Years 14.40%
5Years 15.11%
7Years 14.50%
10Years 10.41%
3.75 B NET INCOME
9.96%
Growth Rates
1Year 9.96%
3Years 13.03%
5Years 10.35%
7Years 11.66%
10Years 9.56%
4.16 B OPERATING CASH FLOW
-1.19%
Growth Rates
1Year -1.19%
3Years 10.36%
5Years 9.11%
7Years 10.06%
10Years 8.60%
-1.39 B INVESTING CASH FLOW
44.82%
Growth Rates
1Year 44.82%
3Years 26.62%
5Years 8.77%
7Years -3.15%
10Years -10.47%
-1.43 B FINANCING CASH FLOW
90.87%
Growth Rates
1Year 90.87%
3Years -6.92%
5Years -47.12%
7Years 22.18%
10Years 4.87%
5.05 B REVENUE
4.46%
Growth Rates
1Year 6.61%
3Years 8.57%
5Years 7.12%
7Years 6.97%
10Years 4.96%
-70.2 M OPERATING INCOME
-5.52%
Growth Rates
1Year 10.42%
3Years 14.40%
5Years 15.11%
7Years 14.50%
10Years 10.41%
963 M NET INCOME
0.72%
Growth Rates
1Year 9.96%
3Years 13.03%
5Years 10.35%
7Years 11.66%
10Years 9.56%
1.15 B OPERATING CASH FLOW
39.53%
Growth Rates
1Year -1.19%
3Years 10.36%
5Years 9.11%
7Years 10.06%
10Years 8.60%
-1.26 B INVESTING CASH FLOW
23.50%
Growth Rates
1Year 44.82%
3Years 26.62%
5Years 8.77%
7Years -3.15%
10Years -10.47%
14 B FINANCING CASH FLOW
315.27%
Growth Rates
1Year 90.87%
3Years -6.92%
5Years -47.12%
7Years 22.18%
10Years 4.87%
Balance Sheet Automatic Data Processing, Inc.
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Current Assets 45.5 B
Cash & Short-Term Investments 2.91 B
Receivables 3.43 B
Other Current Assets 39.2 B
Non-Current Assets 8.82 B
Long-Term Investments 0
PP&E 1.06 B
Other Non-Current Assets 7.76 B
5.36 %6.31 %72.11 %14.28 %Total Assets$54.4b
Current Liabilities 45.1 B
Accounts Payable 101 M
Short-Term Debt 479 M
Other Current Liabilities 44.5 B
Non-Current Liabilities 4.74 B
Long-Term Debt 3.32 B
Other Non-Current Liabilities 1.42 B
89.33 %6.66 %2.84 %Total Liabilities$49.8b
EFFICIENCY
Earnings Waterfall Automatic Data Processing, Inc.
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Revenue 19.2 B
Cost Of Revenue 10.5 B
Gross Profit 8.73 B
Operating Expenses 4.2 B
Operating Income 4.98 B
Other Expenses 1.23 B
Net Income 3.75 B
20b20b18b18b16b16b14b14b12b12b10b10b8b8b6b6b4b4b2b2b0019b(10b)9b(4b)5b(1b)4bRevenueRevenueCost Of RevenueCost Of RevenueGross ProfitGross ProfitOperating ExpensesOperating ExpensesOperating IncomeOperating IncomeOther ExpensesOther ExpensesNet IncomeNet Income
RATIOS
45.44% GROSS MARGIN
45.44%
Averages
1Year 45.44%
3Years 44.28%
5Years 43.47%
7Years 42.43%
10Years 41.49%
25.92% OPERATING MARGIN
25.92%
Averages
1Year 25.92%
3Years 24.67%
5Years 23.54%
7Years 21.67%
10Years 19.93%
19.54% NET MARGIN
19.54%
Averages
1Year 19.54%
3Years 18.79%
5Years 18.12%
7Years 17.15%
10Years 16.15%
82.51% ROE
82.51%
Averages
1Year 82.51%
3Years 90.39%
5Years 71.98%
7Years 64.17%
10Years 55.63%
6.90% ROA
6.90%
Averages
1Year 6.90%
3Years 6.09%
5Years 5.98%
7Years 5.68%
10Years 5.22%
39.26% ROIC
39.26%
Averages
1Year 39.26%
3Years 38.90%
5Years 32.94%
7Years 29.62%
10Years 25.89%
FREE CASH FLOW ANALYSIS
Free Cash Flow Analysis Automatic Data Processing, Inc.
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4b4b4b4b3b3b3b3b2b2b2b2b1b1b500m500m0020162016201720172018201820192019202020202021202120222022202320232024202420252025
Net Income 3.75 B
Depreciation & Amortization 562 M
Capital Expenditures -563 M
Stock-Based Compensation 244 M
Change in Working Capital -1.42 B
Others -364 M
Free Cash Flow 3.59 B
3. WALL STREET ANALYSTS ESTIMATES
Wall Street Analysts Price Targets Automatic Data Processing, Inc.
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Wall Street analysts predict an average 1-year price target for ADP of $292 , with forecasts ranging from a low of $267 to a high of $315 .
ADP Lowest Price Target Wall Street Target
267 USD -6.27%
ADP Average Price Target Wall Street Target
292 USD 2.51%
ADP Highest Price Target Wall Street Target
315 USD 10.58%
Price
Max Price Target
Min Price Target
Average Price Target
320320310310300300290290280280270270260260250250240240230230220220Jun '24Jun '24Jul '24Jul '24Aug '24Aug '24Oct '24Oct '24Nov '24Nov '2420252025Feb '25Feb '25Apr '25Apr '25Jun '25Jun '25Jul '25Jul '25Aug '25Aug '25Oct '25Oct '25Nov '25Nov '2520262026Feb '26Feb '26Apr '26Apr '26
4. DIVIDEND ANALYSIS
0.48% DIVIDEND YIELD
1.54 USD DIVIDEND PER SHARE
Q1
Q2
Q3
Q4
6.006.005.005.004.004.003.003.002.002.001.001.000.000.000.490.530.570.630.790.910.931.041.251.41.540.490.530.570.690.790.910.931.041.251.41.540.490.530.570.690.790.910.931.041.251.40.532.000.572.160.632.340.792.800.913.280.933.661.043.831.254.371.45.151.545.743.082015201520162016201720172018201820192019202020202021202120222022202320232024202420252025
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5. COMPETITION
slide 2 of 11
6. Ownership
Insider Ownership Automatic Data Processing, Inc.
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Sold
0-3 MONTHS
10.7 M USD 4
3-6 MONTHS
23.5 M USD 10
6-9 MONTHS
92.6 M USD 9
9-12 MONTHS
91.8 K USD 1
Bought
0 USD 0
0-3 MONTHS
0 USD 0
3-6 MONTHS
0 USD 0
6-9 MONTHS
0 USD 0
9-12 MONTHS
7. News
The Elephant In The Room - March Dividend Income Report I've sold some higher-yielding stocks and reduced my portfolio yield in March. The goal was to get closer to my core strategy of investing only in companies with low dividend yields, but high dividend growth potential. While my portfolio yield decreased from 4% to 3.5%, my 5-year CAGR dividend growth rate went from 8% to 11%. Despite much uncertainty, the Canadian stock market has remained relatively strong since the beginning of the year. seekingalpha.com - 1 week ago
ADP Declares Regular Quarterly Dividend ROSELAND, N.J. , April 8, 2025 /PRNewswire/ -- The board of directors of Automatic Data Processing, Inc. (Nasdaq: ADP) has declared a regular quarterly dividend of $1.54 per share payable July 1, 2025 to shareholders of record on June 13, 2025. prnewswire.com - 3 weeks ago
Three-Tier Business Strategy Benefits ADP, Rising Expenses Ail ADP stock is benefiting from a strong customer base and expanding international operations driven by acquisitions. zacks.com - 3 weeks ago
Automatic Data Processing Vs. Paychex: Recession Risk Tests Resilience Automatic Data Processing and Paychex are high-quality payroll and HR service providers with strong client retention, but both face new macroeconomic risks. ADP's global scale, tech investments, and dividend growth appeal make it a reliable, cash-generating business, despite its persistently high valuation metrics. PAYX's Paycor acquisition will expand its mid-market reach and product depth, but integration and SMB reliance pose risks. seekingalpha.com - 3 weeks ago
5 Relatively Secure And Cheap Dividend Stocks, Yields Up To 8% (April 2025) This article is part of our monthly series where we highlight five large-cap, relatively safe, dividend-paying companies offering significant discounts to their historical norms. The market is volatile with economic uncertainties, but investing consistently in solid dividend-paying stocks with reasonable valuations is a good idea. We go over our filtering process to select just five conservative DGI stocks from more than 7,500 companies that are traded on U.S. exchanges, including OTC networks. seekingalpha.com - 4 weeks ago
Automatic Data Processing: Gain From New Bookings Growth; Initiating With 'Buy' ADP's strong new business bookings, high retention rate, and sales modernization efforts drive growth, justifying a 'Buy' rating with a fair value of $355 per share. The company benefits from high-interest rates, earning significant interest income from $35.3 billion in client funds, boosting net income. ADP's US-centric business and potential corporate tax cuts could further enhance profitability, with expected 12.2% revenue growth in FY25. seekingalpha.com - 4 weeks ago
Can gold prices hold $3,100 as ADP shows solid U.S. labor market Neils Christensen has a diploma in journalism from Lethbridge College and has more than a decade of reporting experience working for news organizations throughout Canada. His experiences include covering territorial and federal politics in Nunavut, Canada. kitco.com - 1 month ago
Markets Turn Positive Late, a Day Ahead of Tariffs Will it be blanket tariffs or custom carve-out rates for certain goods from certain countries, or perhaps multi-tiered tariff rates? No one knows. zacks.com - 1 month ago
ADP to Announce Third Quarter Fiscal 2025 Financial Results on April 30, 2025 ROSELAND, N.J. , April 1, 2025 /PRNewswire/ -- ADP (Nasdaq: ADP), a leading global provider of Human Capital Management (HCM) solutions, is scheduled to release its financial results for the third fiscal quarter ending March 31, 2025 before the opening of the Nasdaq on Wednesday, April 30, 2025. prnewswire.com - 1 month ago
Markets Wait for Trump Tariffs and Key Job Data Markets Wait for Trump Tariffs and Key Job Data. zacks.com - 1 month ago
Q1 Ends Today, Jobs Week & Tariffs - Oh My! Wednesday is private-sector payrolls from ADP (ADP), Thursday has Weekly Jobless Claims and Friday is the Employment Situation report from the U.S. government. zacks.com - 1 month ago
Buy 3 'Safer' Dividend Kings Of 25 From March's 55 The article highlights 55 Dividend Kings, noting that five of the top ten by yield offer annual dividends from a $1K investment exceeding their single share prices. Analysts predict top-ten Kingly net gains ranging from 12.57% to 50.26% for March 2026, with six out of ten top-yield Kings expected to be top gainers. Sixteen out of fifty-five Kings show negative free cash flow margins, making them cash-poor and unsafe to buy; focus on safer Kings like Altria, United Bankshares, and Hormel. seekingalpha.com - 1 month ago
8. Profile Summary

Automatic Data Processing, Inc. ADP

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COUNTRY US
INDUSTRY Staffing & Employment Services
MARKET CAP $ 116 B
Dividend Yield 0.48%
Description Automatic Data Processing, Inc. provides cloud-based human capital management solutions worldwide. It operates in two segments, Employer Services and Professional Employer Organization (PEO). The Employer Services segment offers strategic, cloud-based platforms, and human resources (HR) outsourcing solutions. Its offerings include payroll, benefits administration, talent management, HR management, workforce management, insurance, retirement, and compliance services, as well as integrated HCM solutions. The PEO Services segment provides HR outsourcing solutions to small and mid-sized businesses through a co-employment model. This segment offers benefits package, protection and compliance, talent engagement, expertise, comprehensive outsourcing, and recruitment process outsourcing services. The company was founded in 1949 and is headquartered in Roseland, New Jersey.
Contact One ADP Boulevard, Roseland, NJ, 07068 https://www.adp.com
IPO Date March 17, 1980
Employees 64000
Officers Mr. David Foskett President of Global Sales Mr. Matthew John Keating C.F.A. Vice President of Investor Relations Mr. Gus Blanchard Chief Marketing Officer Ms. Allyce Hackmann Vice President of External Communications Mr. Joseph DeSilva Jr. Executive Vice President of North America & Chief of Operations Mr. Jonathan Lehberger Corporate Controller & Principal Accounting Officer Mr. David Kwon J.D. Corporate Vice President, Chief Legal Officer & General Counsel Ms. Maria Black President, Chief Executive Officer & DIrector Mr. Michael Anthony Bonarti J.D. Chief Administrative Officer Mr. Don Edward McGuire Chief Financial Officer