ADP logo

Automatic Data Processing, Inc. Stock Price

NasdaqGS:ADP Community·US$100.4b Market Cap
  • 5 Narratives written by author
  • 3 Comments on narratives written by author
  • 228 Fair Values set on narratives written by author

ADP Share Price Performance

US$246.44
-51.74 (-17.35%)
US$246.80
Fair Value
US$246.44
-51.74 (-17.35%)
0.1% undervalued intrinsic discount
US$246.80
Fair Value
Price US$246.44
AnalystConsensusTarget US$246.80
yiannisz US$387.77
WallStreetWontons US$259.70

ADP Community Narratives

·
Fair Value US$246.8 0.1% undervalued intrinsic discount

Long-Term Demand For HR Outsourcing Will Overcome Near-Term Macro Weakness

2users have liked this narrative
2users have commented on this narrative
104users have followed this narrative
Fair Value
·
Fair Value US$387.77 36.4% undervalued intrinsic discount

ADP Stock: Solid Fundamentals, But AI Investments Test Its Margin Resilience

1users have liked this narrative
0users have commented on this narrative
16users have followed this narrative
·
Fair Value US$259.7 5.1% undervalued intrinsic discount

Despite growing competition and AI-integrated competitors, ADP still hold reign on HCM.

1users have liked this narrative
1users have commented on this narrative
7users have followed this narrative
US$387.77
36.4% undervalued intrinsic discount
Fair Value
Revenue
13.68% p.a.
Profit Margin
19.84%
Future PE
27.77x
Price in 2030
US$546.8
US$259.7
5.1% undervalued intrinsic discount
Revenue
5.39% p.a.
Profit Margin
20.12%
Future PE
27.65x
Price in 2027
US$309.43
US$190.85
29.1% overvalued intrinsic discount
Revenue
6.51% p.a.
Profit Margin
21.15%
Future PE
16.47x
Price in 2029
US$236.7
US$332
25.8% undervalued intrinsic discount
Revenue
6.45% p.a.
Profit Margin
21.44%
Future PE
29.53x
Price in 2029
US$412.26

Updated Narratives

ADP logo

ADP Stock: Why Boring Payroll Is One of the Most Durable Businesses in Tech

Fair Value: US$387.77 36.4% undervalued intrinsic discount
16 users have set this as their fair value
0 users have commented on this narrative
1 users have liked this narrative
ADP logo

Despite growing competition and AI-integrated competitors, ADP still hold reign on HCM.

Fair Value: US$259.7 5.1% undervalued intrinsic discount
7 users have set this as their fair value
1 users have commented on this narrative
0 users have liked this narrative
ADP logo

ADP: Bookings And AI Competition Will Likely Cap Future Upside Potential

Fair Value: US$190.85 29.1% overvalued intrinsic discount
1 users have set this as their fair value
0 users have commented on this narrative
0 users have liked this narrative

Snowflake Analysis

Solid track record with excellent balance sheet and pays a dividend.

0 Risks
4 Rewards

Automatic Data Processing, Inc. Key Details

US$21.6b

Revenue

US$11.1b

Cost of Revenue

US$10.5b

Gross Profit

US$6.1b

Other Expenses

US$4.3b

Earnings

Last Reported Earnings
Mar 31, 2026
Next Reporting Earnings
Jul 29, 2026
10.87
48.50%
20.12%
62.7%
View Full Analysis

About ADP

Founded
1949
Employees
67000
CEO
Maria Black
WebsiteView website
www.adp.com

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. The PEO Services segment provides HR and employment administration outsourcing solutions under ADP TotalSource name to businesses through a co-employment model. The 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.

Recent ADP News & Updates

Seeking Alpha 1h

Automatic Data Processing: The Margins Are Too High, I'll Pass

Summary Automatic Data Processing maintains dominant market share and high margins in payroll/HR, but these very margins could attract increased competition, especially as AI lowers entry barriers. AI may erode ADP's traditional moat by simplifying regulatory complexity, enabling nimble SaaS competitors and large tech firms to challenge ADP’s position and pricing power. Valuation is currently fair, but margin compression—if, say, net income margins fall from ~22% to 15%—could significantly impact ADP’s valuation and investor returns. I rate ADP a hold, urging investors to monitor margin trends and competitive dynamics, particularly those driven by AI adoption and industry shifts. Read the full article on Seeking Alpha
Narrative Update Jul 09

ADP: Bookings And AI Competition Will Likely Cap Future Upside Potential

Automatic Data Processing's updated analyst price target narrative moves from $214.00 to $190.85. This reflects analysts' mixed revisions that factor in updated discount rates, higher modeled revenue growth and margins, and a lower assumed future P/E multiple, alongside recent research pointing to expectations for solid but largely in-line results and guidance.

Recent updates

No updates