ADP
Automatic Data Processing
Industrials · Human Resource & Employment Services · US
$231.95
Data: 2026-05-15
✓ ETHICAL PASS

STRONG MOAT
HIGH
Data Confidence: 100.0%
Key Metrics

How this company measures up on the fundamentals that matter

Market Cap
$85.5B
Total market value of the company
19.98
Reasonably valued
17.61
Based on estimated future earnings — lower means cheaper
Rev Growth
+7.0%
Year-over-year revenue change
Profit Margin
20.1%
How much profit the company keeps from each dollar of revenue
71.2%
Return on equity — how efficiently it uses shareholder money
Analyst Target
$244.47
+5% from current price — median analyst estimate
Recommendation
HOLD
Consensus view from 15 analysts covering this stock
About Automatic Data Processing

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.

https://www.adp.com

Country: United States Employees: 67,000 Industry: Software - Application
Ethical Screening

Five compliance checks based on AAOIFI standards — all must pass for ethical clearance

Business Activity
PASS
Core business does not involve prohibited activities
Debt Ratio
17.0% PASS
Debt must be below 33% of total assets
Cash Ratio
8.4% PASS
Interest-bearing cash below 33% of assets
Receivables
13.0% PASS
Receivables below 49% of assets
Revenue Purity
1.6% PASS
Non-compliant revenue below 5% — any excess requires purification
Valuation
$145.86
What our model estimates this business is worth per share
-59.0%
Trading above fair value — no margin of safety
Rating
OVERVALUED
Overall assessment combining ethics, valuation, and quality
95.6th
Ranks in the top 4% of our 13,571 screened universe
Ethical Score
83.2
Valuation Score
55.0
Quality Score
83.3
Combined
70.5

Trading at $214, 47% above fair value of $146. Strong competitive moat. 20% profit margins. Passes all ethical screens. Ranks better than 67% of screened stocks.

Quantitative Intelligence

Statistical analysis of price behaviour, risk, and market regime — independent of fundamental data

MARKUP
Price trending up with increasing momentum
-0.039
Returns do not compensate for the risk — negative edge
-0.0036
No positive edge detected — the data suggests staying out
-0.076
Drawdown risk outweighs the returns — higher risk profile
Annual Return
-3.1%
Historical annualised return based on price data
-40.8%
Largest peak-to-trough decline — the worst it has been
CRISIS
Elevated risk detected — extreme caution warranted
Days in State
1
How long the current regime has persisted — longer means more stable
Market Data

Trading characteristics and market positioning

0.84
Less volatile than the market — more defensive
52W High
$329.93
30% below the year high
52W Low
$188.16
23% above the year low
Avg Volume
3,616,803
Average daily shares traded — higher means easier to buy and sell
4.5
Days it would take all short sellers to cover — higher means more crowded
Short % Float
3.8%
Low short interest — limited bearish positioning
3.3%
Annual dividend as a percentage of the share price
$10.71
Earnings per share over the last 12 months
Financial Health

Balance sheet strength and cash generation — the foundation of long-term value

0.69
Moderate leverage — manageable
1.04
Adequate but worth monitoring
Quick Ratio
0.13
Like current ratio but excludes inventory — stricter test
Gross Margin
48.5%
Revenue left after cost of goods — higher means pricing power
Operating Margin
30.2%
Profit from core operations before interest and tax
$4.7B
Positive — the business generates more cash than it spends
Revenue (TTM)
$21.6B
Total revenue over the last 12 months
Net Income
$4.3B
Profitable — the bottom line is positive
Analyst Coverage
Analysts
15
Target High
$305.00
Target Median
$244.47
Target Low
$190.00
Recent Insider Activity

SEC Form 4 filings — what company insiders are buying and selling

55
NEUTRAL
Mixed insider activity. 0 purchases and 0 sales in the last 90 days — no clear directional signal. Politicians have been buying this name.
Date Insider Title Type Shares Value
2026-05-08 MICHAUD BRIAN L. Officer 848 $179,886
2026-05-07 SWAN ROBERT HOLMES Director 3,619 $745,695
2026-04-14 D'AMBROSIO CHRISTOPHER Officer 543 $106,287
2026-03-16 D'AMBROSIO CHRISTOPHER Officer 543 $113,188
2026-02-17 D'AMBROSIO CHRISTOPHER Officer 543 $115,349
2026-02-06 MICHAUD BRIAN L. Officer 1,000 $234,180
2026-02-05 FOSKETT DAVID Officer 266 $63,042
2026-01-13 D'AMBROSIO CHRISTOPHER Officer 543 $142,423
2026-01-12 KWON DAVID Officer 806 $213,429
2026-01-06 KWON DAVID Officer 900 $234,000
Source: SEC Form 4 filings via public data. View all insider activity at
Insider Intelligence
Political Trading Activity

Congressional trading disclosures involving this instrument

Date Politician Party Type Amount
2026-04-13 Ro Khanna Democrat Purchase 15K–50K
Source: Congressional disclosure filings. View all political trades at
Insider Intelligence
Explore the Ethical Screener View Track Record

Data sourced from public filings and market feeds. Not financial advice. Updated: 2026-05-15

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