(ADP) Automatic Data Processing - Ratings and Ratios
Exchange: NASDAQ • Country: United States • Currency: USD • Type: Common Stock • ISIN: US0530151036
ADP: Payroll, HR, Benefits, Compliance, Outsourcing, Recruitment
Automatic Data Processing Inc (NASDAQ:ADP) stands as a cornerstone in the realm of cloud-based human capital management (HCM) solutions, serving organizations across the globe. With a legacy spanning over seven decades since its founding in 1949, ADP has carved a niche for itself in streamlining payroll, HR, and tax compliance through innovative solutions.
The companys operational framework is divided into two distinct segments: Employer Services and Professional Employer Organization (PEO). The Employer Services division caters to a diverse clientele, offering robust cloud-based platforms designed for strategic HR outsourcing. This segment is renowned for its array of solutions, including Run Powered by ADP, which simplifies payroll and HR management for small businesses, and ADP Workforce Now, a comprehensive HCM solution tailored for mid-sized to large enterprises. Additionally, ADP Vantage HCM provides an integrated suite for HR management, benefits administration, and talent management, ensuring a seamless experience for its users.
The PEO segment, operating under the ADP TotalSource banner, adopts a co-employment model to deliver HR and employment administration outsourcing solutions. This model not only encompasses employee benefits and compliance but also extends to talent engagement, recruitment process outsourcing, and comprehensive outsourcing services, thereby offering a holistic approach to HR management.
Headquartered in Roseland, New Jersey, ADP is a stalwart in the industry, with a market capitalization exceeding $125 billion. Investors and fund managers will note its current P/E ratio of 32.24, with a forward P/E of 30.96, alongside a P/B ratio of 24.76 and P/S ratio of 6.44, indicating its valuation metrics. For more detailed insights, visit their official website at https://www.adp.com.
Additional Sources for ADP Stock
Tweets: X Stocktwits
Fund Manager Positions: Dataroma Stockcircle
ADP Stock Overview
Market Cap in USD | 126,110m |
Sector | Technology |
Industry | Software - Application |
GiC Sub-Industry | Application Software |
IPO / Inception | 1983-04-06 |
ADP Stock Ratings
Growth 5y | 77.6% |
Fundamental | 74.0% |
Dividend | 69.9% |
Rel. Strength Industry | 5.38 |
Analysts | 3.26/5 |
Fair Price Momentum | 320.78 USD |
Fair Price DCF | 153.41 USD |
ADP Dividends
Dividend Yield 12m | 2.52% |
Yield on Cost 5y | 4.64% |
Annual Growth 5y | 9.42% |
Payout Consistency | 99.7% |
ADP Growth Ratios
Growth Correlation 3m | 34.6% |
Growth Correlation 12m | 89.4% |
Growth Correlation 5y | 92.8% |
CAGR 5y | 14.61% |
CAGR/Max DD 5y | 0.39 |
Sharpe Ratio 12m | 1.23 |
Alpha | 13.63 |
Beta | 0.44 |
Volatility | 16.01% |
Current Volume | 1600.3k |
Average Volume 20d | 1570.3k |
As of February 22, 2025, the stock is trading at USD 310.76 with a total of 1,600,348 shares traded.
Over the past week, the price has changed by +0.85%, over one month by +4.23%, over three months by +2.56% and over the past year by +25.07%.
Yes, based on ValueRay Fundamental Analyses, Automatic Data Processing (NASDAQ:ADP) is currently (February 2025) a good stock to buy. It has a ValueRay Fundamental Rating of 74.01 and therefor a positive outlook according to the companies health.
Based on ValueRays Analyses, Dividends and Discounted-Cash-Flow, the Fair Value of ADP as of February 2025 is 320.78. This means that ADP is currently overvalued and has a potential downside of 3.22%.
Automatic Data Processing has received a consensus analysts rating of 3.26. Therefor, it is recommend to hold ADP.
- Strong Buy: 2
- Buy: 2
- Hold: 14
- Sell: 1
- Strong Sell: 0
According to ValueRays Forecast Model, ADP Automatic Data Processing will be worth about 365.6 in February 2026. The stock is currently trading at 310.76. This means that the stock has a potential upside of +17.65%.
Issuer | Forecast | Upside |
---|---|---|
Wallstreet Target Price | 308.8 | -0.6% |
Analysts Target Price | 296.9 | -4.5% |
ValueRay Target Price | 365.6 | 17.6% |