Stock · ADP · Technology
United States · Large Cap · listed since 1983 · Revenue 12 mo. $21.9B
Price as of 11/06/2026
Automatic Data Processing, Inc. provides cloud-based human capital management (HCM) solutions worldwide.
Automatic Data Processing, Inc. provides cloud-based human capital management (HCM) 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. This segment's offerings include RUN Powered by ADP, a software platform for small business payroll, HR, and compliance; ADP Workforce Now, a HCM solution used across mid-sized and large businesses to manage employees; and ADP Lyric HCM, a solution for HR management, payroll, workforce management, talent, and data analytics. Its PEO Services segment provides HR outsourcing solutions under ADP TotalSource name to businesses through a co-employment model. This segment also provides guidance, user-friendly technology, comprehensive employee benefits, and a risk management, safety, and workers' compensation program. The company was founded in 1949 and is headquartered in Roseland, New Jersey.
Original text from the data provider
Summary
59.1 of 100
Mean of the six area values. Each area value is the mean of the stock's ranks among the companies in its sector. 50 is the middle of the sector, not a share of companies beaten.
Analysis
What the price requires
If free cash flow stays at €4.7B (2026), it supports €52.3B. The remaining €53.4B of the market value assume it grows 9.9% a year for 10 years and not at all afterwards.
Required FCF growth per year
9.9%
no growth afterwards
Price to operating cash flow 22.3×, below its usual range.
Middle half of 20 quarters: 23.6× to 26.6×, median 25.3×.
Measures only against its own past, not against what the company is worth. Price as of 11/06/2026.
with respect to the priced-in expectation
with respect to the priced-in expectation
No anomaly in the stored figures.
Since the last quarter
Q1 → Q2 2026
6 more unchanged: Revenue, 12 mo., FCF, 12 mo., Gross margin, EBIT margin, Net debt, Shares outstanding
Derivation
Each area value is the average of its metrics' ranks within the sector (0 to 100, 50 is the middle). For metrics where lower is better, the rank is mirrored. The overall value is the average of the area values.
Price as of 11/06/2026.
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Return on equity | 73.18% | 14.60% | Rank 96 |
| Return on capital (Greenblatt) | 396.00% | 29.77% | Rank 96 |
| EBIT margin | 18.58% | 17.40% | Rank 55 |
| FCF margin | 23.90% | 18.54% | Rank 70 |
| Gross margin | 48.19% | 48.47% | Rank 49 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Revenue growth, 1 year | 6.74% | 12.70% | Rank 28 |
| Earnings growth, 3 years per year | 10.42% | 9.54% | Rank 51 |
| Earnings growth, 5 years per year | 12.73% | 14.07% | Rank 45 |
| Sustainable growth (ROE × retained earnings) | 0.90% | 2.87% | Rank 22 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Earnings yield | 3.64% | 2.64% | Rank 65 |
| FCF yield | 4.45% | 3.06% | Rank 66 |
| EV/saleslower is better | 5.41 | 5.18 | Rank 49 |
| EV/EBITlower is better | 29.13 | 26.24 | Rank 43 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Share price, 1 year | 10.60% | −0.59% | Rank 65 |
| Share price, 6 months | 42.90% | −4.46% | Rank 92 |
| Share price, 3 months | 16.94% | −5.84% | Rank 88 |
| Distance from 52-week high | −1.49% | −33.23% | Rank 97 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Accruals (Sloan)lower is better | 6.32% | 1.65% | Rank 31 |
| Change in share countlower is better | −2.27% | −0.17% | Rank 81 |
| Dividend streak in years | 27 | 8 | Rank 99 |
| Price reaction to results, market-adjusted | −2.87% | −1.57% | Rank 41 |
| Metric | Stock | Sector median | Position in sector |
|---|---|---|---|
| Equity ratio | 9.54% | 53.98% | Rank 5 |
| Net debt/EBITDAlower is better | 0.16 | −0.20 | Rank 42 |
| Debt to equitylower is better | 0.87 | 0.33 | Rank 19 |
| Volatility, 1 yearlower is better | 27.87% | 50.37% | Rank 97 |
Ten years in figures
| Year | Revenue, $B | EBIT margin | FCF, $B | Shares | Net debt |
|---|---|---|---|---|---|
| 2017 | 12.4 | 19.5% | 1.7 | 450M | −$778.0M |
| 2018 | 13.3 | 19.3% | 2.0 | 443M | −$167.6M |
| 2019 | 14.2 | 21.2% | 2.1 | 438M | $53.0M |
| 2020 | 14.6 | 21.5% | 2.4 | 433M | $440.5M |
| 2021 | 15.0 | 22.2% | 2.6 | 428M | $776.5M |
| 2022 | 16.5 | 23.1% | 2.5 | 421M | $2.1B |
| 2023 | 18.0 | 25.0% | 3.6 | 416M | $1.3B |
| 2024 | 19.2 | 25.7% | 3.6 | 412M | $791.9M |
| 2025 | 20.6 | 26.3% | 4.8 | 409M | $5.7B |
| 2026 | 21.9 | 18.6% | 5.2 | 399M | $1.0B |
4 of 7 StockScorer Score rules met · How the score is built
Automatic Data Processing Inc mainly meets criteria in the Profitability category. Result from 18 strategies checked.
Automatic Data Processing Inc is rated here with the StockScorer Score strategy, the flagship rule set. It compares return and cash-flow metrics with the median of the company's own sector and checks growth and price trend.
4 of 7 rules met
7 of 11 points
Detail data
Excerpt from 18 strategies checked. The full evaluation is visible after a free sign-up.
With a free account, you can see the match across all strategies checked in one complete overview.
Selected fundamental metrics for Automatic Data Processing Inc.
| Metric | Stock | Sector |
|---|---|---|
| P/E ratio | 27.5 | 35.1 |
| P/B ratio | 20.1 | 5.5 |
| Return on equity (ROE) | 73.2% | 14.6% |
| Equity ratio | 9.5% | 54.0% |
| Debt-to-equity (D/E) | 0.87 | 0.33 |
| Dividend yield | 2.2% | 0.9% |
How comparable stocks in the same sector score in the StockScorer model.
| Symbol | Company | Rating |
|---|---|---|
| ADP | Automatic Data Processing Incthis page | |
| NOW | ServiceNow Inc | High8.2 |
| UBER | Uber Technologies Inc | High8.2 |
| SNOW | Snowflake Inc. | locked |
| ADBE | Adobe Inc. | locked |
| INTU | Intuit Inc | locked |
Signed up in 30 seconds, free.
Learn more about the metrics in the metrics glossary or all rated stocks in the stock overview.
How StockScorer rates every stock is explained on the methodology page.