ADP

Automatic Data Processing Inc

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Advanced Chart

308.630

+2.39(0.780%)1D

Overview
Forecast
Valuation
Earnings

Line

Candle

YTD

High

308.820

Open

307.160

VWAP

307.95

Vol

967.23K

Mkt Cap

125.28B

Low

306.170

Amount

297.86M

EV/EBITDA(TTM)

21.48

Total Shares

409.29M

126.58B

EV/OCF(TTM)

26.37

P/S(TTM)

6.25

Automatic Data Processing, Inc. (ADP) is a global technology company engaged in providing cloud-based human capital management (HCM) solutions that unite HR, payroll, talent, time, tax and benefits administration. Its segments include Employer Services and Professional Employer Organization (PEO). Its Employer Services segment serves clients ranging from single-employee small businesses to large enterprises with tens of thousands of employees around the world, offering a range of technology-based HCM solutions, including its cloud-based platforms, and human resource outsourcing (HRO) solutions (other than PEO) solutions. Its offerings include Payroll Services, Benefits Administration, Talent Management, HR Management, Workforce Management, Compliance Services, Insurance Services and Retirement Services. Its PEO business, called ADP TotalSource, provides clients with employment administration outsourcing solutions. ADP serves over 1.1 million clients in 140 countries and territories.

Market Estimates

Earnings Estimates

Revenue

YoY Chg

EPS

YoYChg

FY2026Q2

FY2026Q1

FY2025Q4

5.35B

+5.99%

2.587

+10.07%

5.11B

+5.71%

2.524

+8.31%

5.05B

+5.8%

2.229

+6.63%

Estimates Revision

The market is revising Upward the revenue expectations for Automatic Data Processing, Inc. (ADP) for FY2025, with the revenue forecasts being adjusted by 0.21% over the past three months. During the same period, the stock price has changed by 5.13%.

Revenue Estimates for FY2025

Revise Upward

+0.21%

In Past 3 Month

EPS Estimates for FY2025

Revise Upward

+0.36%

In Past 3 Month

Stock Price

Go Up

+5.13%

In Past 3 Month

10 Analyst Rating

3.83% Upside

Wall Street analysts forecast ADP stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ADP is 320.44 USD with a low forecast of 305.00 USD and a high forecast of 350.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

2 Buy

8 Hold

0 Sell

Hold

3.83% Upside

Current: 308.630

Low

305.00

Averages

320.44

High

350.00

3.83% Upside

Current: 308.630

Low

305.00

Averages

320.44

High

350.00

BMO Capital

Market Perform

initiated

$340

2025-07-10

Reason

BMO Capital

Price Target

$340

2025-07-10

initiated

Market Perform

Reason

BMO Capital initiated coverage of ADP with a Market Perform rating and $340 price target. The firm says the shares have benefited from relative stability of the business in a more uneven macro backdrop. However, ADP is trading at the high end of its historical price-to-earnings range, leaving BMO looking for a more attractive entry point, the analyst tells investors in a research note.

Morgan Stanley

Equal Weight

maintain

$305 -> $310

2025-06-18

Reason

Morgan Stanley

Price Target

$305 -> $310

2025-06-18

maintain

Equal Weight

Reason

UBS

Kevin McVeigh

Neutral

downgrade

$323 -> $315

2025-06-13

Reason

UBS

Kevin McVeigh

Price Target

$323 -> $315

2025-06-13

downgrade

Neutral

Reason

UBS analyst Kevin McVeigh lowered the firm's price target on ADP to $315 from $323 and keeps a Neutral rating on the shares. ADP's investor day showcased notable milestones and tweaked its medium-term outlook, now expecting lower revenue growth of 6%-7% on slower Professional Employer Organization growth, the analyst tells investors in a research note. The firm is monitoring ADP's technology and distribution investments impact on margins, though it applauds ADP's trajectory and acknowledges its competitive positioning.

TD Cowen

Bryan Bergin

Hold

maintain

$298 -> $321

2025-05-21

Reason

TD Cowen

Bryan Bergin

Price Target

$298 -> $321

2025-05-21

maintain

Hold

Reason

TD Cowen analyst Bryan Bergin raised the firm's price target on ADP to $321 from $298 and keeps a Hold rating on the shares. The firm updated its estimates to account for the latest fed funds rate expectations, yield curve movement, and FX.

UBS

Kevin Mcveigh

Hold

Maintains

$318 → $324

2025-03-04

Reason

UBS

Kevin Mcveigh

Price Target

$318 → $324

2025-03-04

Maintains

Hold

Reason

Barclays

Ramsey El-Assal

Buy

Maintains

$325 → $350

2025-02-03

Reason

Barclays

Ramsey El-Assal

Price Target

$325 → $350

2025-02-03

Maintains

Buy

Reason

See All Ratings

Valuation Metrics

The current forward P/E ratio for Automatic Data Processing Inc (ADP.O) is 29.16, compared to its 5-year average forward P/E of 28.01. For a more detailed relative valuation and DCF analysis to assess Automatic Data Processing Inc 's fair value, click here.

Forward PE

The forward P/E ratio is a valuation metric that divides a company's current stock price by its estimated future earnings per share over the next 12 months.

Fair

5Y Average PE

28.01

Current PE

29.16

Overvalued PE

30.62

Undervalued PE

25.40

Forward EV/EBITDA

The forward EV/EBITDA ratio is a valuation metric that divides a company's enterprise value (EV) by its estimated future earnings before interest, taxes, depreciation, and amortization (EBITDA) over the next 12 months.

Fair

5Y Average EV/EBITDA

19.61

Current EV/EBITDA

20.43

Overvalued EV/EBITDA

21.43

Undervalued EV/EBITDA

17.79

Forward PS

The forward P/S ratio is a valuation metric that divides a company's current stock price by its estimated future sales (or revenue) per share over the next 12 months.

Overvalued

5Y Average PS

5.26

Current PS

5.88

Overvalued PS

5.75

Undervalued PS

4.77