Automatic Data Processing, Inc.

Valuation Analysis

About the Company

Automatic Data Processing, Inc. en bref

Automatic Data Processing, Inc. (ADP) is currently trading at 190,60 € with a market capitalization of 76,2 Md €. The trailing P/E ratio stands at 20.37x, with a forward P/E of 17.91x. The 52-week range spans from 164,20 € to 275,75 €; the current price is 30.9% below the yearly high. Year-over-year revenue growth stands at +7.0%. The net profit margin stands at 20.12%.

💰 Dividende

Automatic Data Processing, Inc. pays an annual dividend of 5,93 € per share, representing a yield of 3.11%. The payout ratio stands at 60.45%.

📊 Avis des analystes

15 analystes évaluent Automatic Data Processing, Inc. (ADP) au consensus : Conserver. L'objectif de cours moyen est de 215,38 €, soit un potentiel de +13% par rapport au cours actuel. La fourchette des objectifs de cours des analystes va de 165,81 € à 266,17 €.

Automatic Data Processing, Inc. : la thèse d'investissement en détail

Automatic Data Processing, Inc. (ADP) operates in the Technology — specifically Software - Application — and is headquartered in United States. Below is a structured read of the investment case built directly from the latest fundamentals, valuation multiples, analyst positioning and smart-money flows. Each section translates raw numbers into the investment logic they imply, so you can decide whether the risk/reward fits your portfolio.

Le scénario haussier

The combination of a 48.5% gross margin and 30.18% operating margin shows the business converts revenue into profit efficiently — a hallmark of competitive moat. Return on equity of 71.21% places management among the most capital-efficient operators in the public market — every euro of shareholder capital is working hard. Free cash flow is positive and net margins stand at 20.12%, meaning reported earnings translate into real cash that can fund buybacks, dividends or strategic acquisitions.

À surveiller

• The forward P/E of 17.91x is meaningfully below the trailing 20.37x — analysts expect earnings to step up; the next earnings release is the test.
• The price sits in the lower quartile of the 52-week range — value hunters often start scaling in around this zone if fundamentals hold.
• The dividend yield near 3.11% combined with a payout ratio of 60.45% leaves room for further hikes — a track record of consecutive raises is a strong income signal.

Thèse d'investissement : forces et faiblesses

Aperçu technique

The price is in a transition zone relative to the moving averages — no clear signal.

Profil de risque

The data points to relatively defensive market behavior.

Trading Data

💵 Dividend Info

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