Automatic Data Processing, Inc.
ADPTechnology · Software - Application · NASDAQ
$271.09
P/E 23.8×
Automatic Data Processing, Inc. (ADP) is a global provider of cloud-based solutions designed for human capital management (HCM). The company organizes its operations into two primary segments: Employer Services and Professional Employer Organization (PEO). Through its Employer Services division, ADP delivers strategic, cloud-powered platforms and comprehensive human resources (HR) outsourcing. This encompasses a wide array of services such as payroll processing, benefits administration, talent acquisition and management, general HR and workforce management, insurance, retirement planning, and regulatory compliance, often integrated into holistic HCM solutions. Conversely, the Professional Employer Organization (PEO) segment specializes in offering HR outsourcing to small and mid-sized businesses, leveraging a co-employment framework. This segment's offerings span robust benefits packages, regulatory protection and compliance, talent engagement strategies, specialized HR expertise, all-encompassing outsourcing, and even recruitment process outsourcing. Established in 1949, ADP maintains its corporate headquarters in Roseland, New Jersey.
Investor model analysis
Details lockedAt $271.09, 2 of 4 frameworks say Avoid
Intrinsic Value (DCF)
Warren Buffett's valuation model · select an investor above to switch
Intrinsic Value
Locked — upgrade to viewBuy Below
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Scenario analysis
Bear, base & bull
Three growth assumptions, three fair values — and where today's price lands
What's working
Key strengths
Identified by Buffett framework analysis
Return on Equity
ROE Consistency
ROE Quality (Low Leverage)
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UnlockCompany financials
5-Year Financials
Income statement highlights — annual, USD
| Metric | 2026 | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|---|
| Revenue | $21.9B | $20.6B | $19.2B | $18.0B | $16.5B |
| Rev. Growth | +6.7% | +7.1% | +6.6% | +9.2% | — |
| Net Income | $4.4B | $4.1B | $3.8B | $3.4B | $2.9B |
| Net Margin | 20.1% | 19.8% | 19.5% | 18.9% | 17.9% |
| EPS (Diluted) | $10.97 | $10.02 | $9.14 | $8.25 | $7.04 |
| Free Cash Flow | Locked — upgrade to view | Locked — upgrade to view | Locked — upgrade to view | Locked — upgrade to view | Locked — upgrade to view |
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