What is Automatic Data Processing, Inc.'s (ADP) StockRank?

MoatMap's StockRank for Automatic Data Processing, Inc. (ADP) is 83/100, with a Strong Buy signal. This is a composite score combining Quality (70), Value (49), and Momentum (59) factor ranks across MoatMap's 20,000+ stock universe.

Does Automatic Data Processing, Inc. have an economic moat?

Automatic Data Processing, Inc. (ADP) has a Quality factor score of 70/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the financial characteristics of a moated business.

Is Automatic Data Processing, Inc. a buy, hold, or sell?

MoatMap's current signal for Automatic Data Processing, Inc. (ADP) is Strong Buy, based on a StockRank of 83/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.

What sector is Automatic Data Processing, Inc. in?

Automatic Data Processing, Inc. (ADP) operates in the Technology sector, specifically the Software - Application industry (United States).

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ADP

STRONG BUYAPPROVE

Automatic Data Processing, Inc. · Technology · United States · $100.0B · Avg Vol: $686M/d

StockRank

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P/E (TTM)

23.8x

ROE

71.2%

D/E

0.7x

Dividend %

2.5%

AI CONVICTION THESIS

Automatic Data Processing clears the calibrated bar. All three legs are above the floor (Q70 V53 M57) and a buyback retiring 0.90% of shares provides the required corroboration. Nothing adverse is on file: no negative earnings revision and no insider selling. Quality at Q70 is the strongest part of the case, and payroll and HR processing produces recurring, contracted revenue that is defensive.

COMPANY DESCRIPTION

Automatic Data Processing (ADP) is a global leader in human capital management (HCM) solutions, offering a comprehensive suite of services including payroll processing, HR outsourcing, talent management, and benefits administration. The company's formidable competitive moat is derived from its massive scale, deeply embedded software, high client switching costs, and extensive data analytics derived from serving millions of businesses worldwide. ADP provides mission-critical services, ensuring a highly recurring revenue model and robust client retention.

FINANCIAL SUMMARY (USD)

Year	2022	2023	2024	2025	CAGR	TTM	2026E	2027E	Fwd CAGR
Revenue	16.5B	18.0B	19.2B	20.6B	7.6%	21.6B	21.8B	23.1B	6.0%
EPS	7.04	8.25	9.14	10.02	12.5%	10.72	11.09	12.21	10.4%
Shares	416.1M	412.1M	408.1M	405.3M	-2.6%	399.7M	—	—	—
Debt	3.4B	3.3B	3.3B	9.1B	39.2%	4.4B	—	—	—
Equity	3.2B	3.5B	4.5B	6.2B	24.3%	—	—	—	—
Op CF	3.1B	4.2B	4.2B	4.9B	16.8%	5.5B	—	—	—
Inv CF	-7.0B	-2.5B	-1.4B	-3.0B	—	—	—	—	—
Fin CF	13.7B	-15.7B	-1.4B	-7.0B	—	—	—	—	—

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PRICE (1Y)+12.7%

SMA 50SMA 200

$254.98

RSI (14)

58.6

52W High

$307.44

From 52W High

0.8%

SCORE BREAKDOWN

Quality

ROIC

47.7%98.3

ROE

71.2%98.5

GP/Assets

19.6%50.9

Op. Margin

30.2%92.9

FCF/Assets

8.9%75.9

Piotroski

892.8

Int. Cover

12.6x51.7

D/E Ratio

0.69x20.7

Current Ratio

1.04x11.9

Value

P/E (TTM)

23.8x60.5

EV/EBITDA

16.3x53.4

P/FCF

21.0x60.2

P/B

16.1x6.1

P/S

4.7x35.7

Div Yield

2.5%68.9

Momentum

52W High %

83%85.9

RS 6M

-7%60.2

SMA 50/200

0.99x42.3

EPS Rev 4W

+0.0%81.3

EPS Rev 12W

+1.9%64.7

EPS Improve

+14%20.4

Q Growth

9%41.0

FUNDAMENTALS

Market Cap

$100.0B

P/E (Forward)

20.9x

Gross Margin

48.5%

SECTOR PEERS

Closest peers in Technology, ranked by industry match, size, and score similarity. Cross-listings of ADP are excluded.

Ticker	Company	Mkt Cap	StockRank	Signal
ADP	Automatic Data Processing, Inc.(you)	$100.0B	83	STRONG BUY
ADBE.MX	Adobe Inc.	$80.6B	83	STRONG BUY
CDNS.MX	Cadence Design Systems, Inc.	$104.1B	87	STRONG BUY
CRM	Salesforce, Inc.	$134.0B	83	STRONG BUY
INTU	Intuit Inc.	$81.1B	74	BUY
SAP	SAP SE	$188.6B	81	STRONG BUY
ADSK	Autodesk, Inc.	$44.3B	82	STRONG BUY
UBER.MX	Uber Technologies, Inc.	$154.7B	70	BUY
DDOG	Datadog, Inc.	$87.9B	62	HOLD
SHOPN.MX	Shopify Inc.	$152.8B	63	HOLD

Peer medians: ROE 6.7% · P/E 31.4x · Gross margin 33.0%

Automatic Data Processing, Inc. (ADP) — Stock Score Summary

Automatic Data Processing, Inc. (ADP) has a MoatMap StockRank of 83/100 based on Quality (70/100), Value (49/100), and Momentum (59/100) factor scores. The current signal is STRONG BUY. Automatic Data Processing clears the calibrated bar. All three legs are above the floor (Q70 V53 M57) and a buyback retiring 0.90% of shares provides the required corroboration. Nothing adverse is on file: no negative earnings revision and no insider selling. Quality at Q70 is the strongest part of the case, and payroll and HR processing produces recurring, contracted revenue that is defensive.

Key Financial Metrics

Price	$254.98
Market Cap	$100.0B
P/E (TTM)	23.81
P/E (Forward)	20.93
Price/Book	16.10
Return on Equity	71.2%
Return on Invested Capital	47.7%
Debt/Equity	0.69x
Gross Margin	48.5%
Operating Margin	30.2%
Revenue Growth	7.0%
Dividend Yield	2.5%
Free Cash Flow	$4.7B

Automatic Data Processing, Inc. operates in the Software - Application industry, part of the Technology sector (United States).

Frequently Asked Questions

What is Automatic Data Processing, Inc.’s (ADP) StockRank?: MoatMap’s StockRank for Automatic Data Processing, Inc. (ADP) is 83/100, with a Strong Buy signal. It is a composite of Quality (70), Value (49), and Momentum (59) factor ranks across MoatMap’s 20,000+ stock universe.
Does Automatic Data Processing, Inc. have an economic moat?: Automatic Data Processing, Inc. (ADP) has a Quality factor score of 70/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is Automatic Data Processing, Inc. a buy, hold, or sell?: MoatMap’s current signal for Automatic Data Processing, Inc. (ADP) is Strong Buy, based on a StockRank of 83/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is Automatic Data Processing, Inc. in?: Automatic Data Processing, Inc. (ADP) operates in the Technology sector, specifically the Software - Application industry (United States).