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Automatic Data Processing Inc Stock Research

ADP

214.13USD+0.51(+0.24%)Market Closed

Market Summary

USD214.13+0.51
Market Closed
0.24%

ADP Alerts

ADP Stock Price

ADP RSI Chart

ADP Valuation

Market Cap

88.7B

Price/Earnings (Trailing)

28.2

Price/Sales (Trailing)

5.14

EV/EBITDA

18.96

Price/Free Cashflow

25.34

ADP Price/Sales (Trailing)

ADP Profitability

EBT Margin

23.55%

Return on Equity

105.34%

Return on Assets

5.78%

Free Cashflow Yield

3.95%

ADP Fundamentals

ADP Revenue

Revenue (TTM)

17.2B

Revenue Y/Y

9.08%

Revenue Q/Q

4.16%

ADP Earnings

Earnings (TTM)

3.1B

Earnings Y/Y

17.09%

Earnings Q/Q

4.38%

Price Action

52 Week Range

193.72273.37
(Low)(High)

Last 7 days

-0.8%

Last 30 days

-3.9%

Last 90 days

-11.1%

Trailing 12 Months

-0.8%

ADP Financial Health

Current Ratio

0.99

Debt/Equity

0.87

Debt/Cashflow

1.35

ADP Investor Care

Dividend Yield

1.65%

Dividend/Share (TTM)

4.05

Buy Backs (1Y)

1.29%

Diluted EPS (TTM)

7.52

Peers (Alternatives to Automatic Data Processing)

View All Peers In Detail
NameMkt Capsorted ascendingRevenuePrice %, 1MReturns, 1YP/EP/SRev 1-YrInc 1-Yr
LARGE-CAP
88.7B
17.2B
-3.95% -0.83%
28.2
5.14
9.88% 14.66%
72.0B
17.7B
-0.51% 14.00%
28.45
4.06
9.31% 89.66%
36.0B
17.5B
-16.81% -55.07%
-66.51
2.05
-0.73% -425.19%
29.9B
19.4B
-8.99% -34.89%
13.04
1.54
4.98% 7.16%
21.3B
1.4B
-0.56% -6.15%
31.55
14.92
7.33% -14.14%
MID-CAP
6.8B
6.5B
-4.16% -5.86%
18.54
1.04
6.38% -16.32%
5.7B
7.5B
-3.66% 14.73%
21.13
0.76
2.58% -9.12%
5.4B
14.8B
-16.75% -28.72%
7.49
0.36
-10.79% 217.70%
2.3B
905.1M
-6.80% -36.95%
22.17
2.56
18.93% 100.40%
SMALL-CAP
2.0B
432.7M
7.80% -8.92%
-10.45
4.61
22.12% 14.33%
1.6B
1.1B
-11.65% -15.25%
36.85
1.49
4.13% -39.09%
268.2M
321.1M
-3.32% -64.51%
-9.73
0.84
5.52% -919.59%
233.2M
2.0B
-35.82% -84.29%
-2.2
0.12
-3.63% 76.37%
203.6M
79.0M
13.44% -0.93%
-17.06
2.58
13.25% -613.39%
181.3K
211.0M
-33.64% -43.90%
-0.02
9e-4
-0.04% -267.04%

Financials for Automatic Data Processing

Income Statement (Last 12 Months)
(In Millions)
* denotes actual numbers (not divided by Millions)
Description(%) Q/Q2022Q42022Q32022Q22022Q12021Q4
Revenue2.2%17,24716,88216,49816,10815,697
Operating Expenses1.1%8,4908,3968,2538,0957,882
  S&GA Expenses2.2%3,3883,3143,2333,1603,105
Costs and Expenses1.7%13,28313,06212,77712,51412,220
EBITDA4.3%4,7464,5494,4014,281-
EBITDA Margin2.1%0.28*0.27*0.27*0.27*-
Earnings Before Taxes3.8%4,0613,9133,8043,6983,574
EBT Margin1.6%0.24*0.23*0.23*0.23*-
Interest Expenses33.7%15311582.0073.0068.00
Net Income3.9%3,1463,0272,9492,8622,744
Net Income Margin1.7%0.18*0.18*0.18*0.18*-
Free Cahsflow-5.2%3,5023,6963,1002,839-
Balance Sheet
(In Millions)
* denotes actual numbers (not divided by Millions)
Description(%) Q/Q2022Q42022Q32022Q22022Q12021Q4
Assets17.4%54,45346,36563,06872,06859,103
  Current Assets21.5%46,14437,96954,80563,90451,107
    Cash Equivalents11.4%1,3451,2081,4361,6341,745
  Net PPE1.6%655645653651645
  Goodwill1.8%2,3152,2732,3012,3242,331
Liabilities17.5%51,46643,78859,84367,87554,053
  Current Liabilities19.5%46,81439,16655,15963,10749,084
  Long Term Debt-4.6%2,5952,7212,8193,012-
    LT Debt, Non Current0.0%2,9882,9882,9872,9872,986
Shareholder's Equity15.9%2,9872,5773,2254,1935,050
  Retained Earnings1.4%21,33321,03920,69620,50520,012
  Additional Paid-In Capital3.2%1,9541,8931,7941,7371,665
Shares Outstanding-0.2%414415416418420
Float-103,549----
Cashflow (Last 12 Months)
(In Millions)
Description(%) Q/Q2022Q42022Q32022Q22022Q12021Q4
Cashflow From Operations-5.2%3,5023,6963,1002,8393,121
  Share Based Compensation1.3%213210202195192
Cashflow From Investing31.8%-5,015-7,355-7,014-7,112-6,033
Cashflow From Financing59.3%-5,635-13,83413,65315,8937,351
  Dividend Payments2.3%1,7381,6991,6591,6211,581
  Buy Backs-13.7%1,5321,7751,9691,9521,888

Risks for ADP

What is the probability of a big loss on ADP?

20.8%


Probability that Automatic Data Processing stock will be more than 20% underwater in next one year

18.5%


Probability that Automatic Data Processing stock will be more than 30% underwater in next one year.

0%


Probability that Automatic Data Processing stock will be more than 40% underwater in next one year.
*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does ADP drawdown profile look like?

Y-axis is the maximum loss one would have experienced if Automatic Data Processing was unfortunately bought at previous high price.

Drawdowns

Returns for ADP

Cumulative Returns on ADP

16.5%


10-Year Cumulative Returns

15.6%


7-Year Cumulative Returns

16.5%


5-Year Cumulative Returns

22.9%


3-Year Cumulative Returns

What are the long-term rolling returns for ADP?

FIve years rolling returns for Automatic Data Processing.

Annualized Returns

Which funds bought or sold ADP recently?

View All Details
Datesorted ascendingFund NameType% Chg$ Change$ Held% Portfolio
2023-03-15
B. Riley Wealth Advisors, Inc.
added
2.88
592,986
7,073,990
0.20%
2023-03-10
VICTORY CAPITAL MANAGEMENT INC
reduced
-2.14
3,163,780
97,853,800
0.11%
2023-03-10
MATHER GROUP, LLC.
reduced
-6.83
-220,049
13,474,000
0.26%
2023-03-08
Capital Asset Advisory Services LLC
reduced
-0.1
25,079
470,079
0.04%
2023-03-07
Investure, LLC
unchanged
-
493,395
9,301,690
1.82%
2023-03-07
Great Lakes Retirement, Inc.
new
-
1,428,320
1,428,320
0.36%
2023-03-06
NORTH STAR ASSET MANAGEMENT INC
reduced
-15.25
-163,730
1,393,270
0.09%
2023-03-06
OLD MISSION CAPITAL LLC
sold off
-100
-249,000
-
-%
2023-03-06
Rockefeller Capital Management L.P.
reduced
-0.16
3,560,000
69,103,000
0.35%
2023-03-03
TIAA, FSB
added
7.45
1,246,660
10,497,700
0.04%

1–10 of 47

Latest Funds Activity

Are funds buying ADP calls or puts?
Calls
Puts
Are funds bullish or bearish(Calls - Puts)?
Net Call Options
No. of funds that own ADP
No. of Funds

Automatic Data Processing News

MarketBeat

Automatic Data Processing, Inc. (NASDAQ:ADP) Shares Acquired ....

MarketBeat,
3 hours ago

Yahoo Finance

Zacks Investment Research

InvestorPlace

Schedule 13G FIlings of Automatic Data Processing

Date FiledName of FilerPercent of ClassNo. of SharesForm Type
Feb 09, 2023
vanguard group inc
9.69%
40,184,122
SC 13G/A
Feb 07, 2023
blackrock inc.
8.5%
35,207,814
SC 13G/A
Feb 09, 2022
vanguard group inc
9.14%
38,508,651
SC 13G/A
Feb 01, 2022
blackrock inc.
7.6%
31,994,622
SC 13G/A
Feb 10, 2021
vanguard group inc
8.81%
37,786,861
SC 13G/A
Jan 29, 2021
blackrock inc.
7.1%
30,500,465
SC 13G/A
Feb 12, 2020
vanguard group inc
8.83%
38,226,328
SC 13G/A
Feb 05, 2020
blackrock inc.
7.3%
31,452,387
SC 13G/A

ADP Fair Value

Automatic Data Processing fair value in different scenarios

The table shows the Fair Value estimates for Automatic Data Processing for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.
Fair ValueVery PessimisticPessimisticBase CaseOptimisticVery Optimistic
Very Low Inflation

91.57

-57.24%

116.29

-45.69%

152.30

-28.87%

194.97

-8.95%

227.91

6.44%
Current Inflation

82.95

-61.26%

103.89

-51.48%

133.67

-37.58%

169.09

-21.03%

196.30

-8.33%
Very High Inflation

72.38

-66.20%

88.98

-58.45%

111.82

-47.78%

139.19

-35.00%

160.11

-25.23%

Historical Automatic Data Processing Fair Value Estimates


Very Pessimistic Case
Pessimistic Case
Fair Value
Optimistic Case
Very Optimistic Case
Closing Stock Price

Recent SEC filings of Automatic Data Processing

View All Filings
Date Filed Form Type Document
Mar 02, 2023
4
Insider Trading
Mar 01, 2023
144/A
144/A
Mar 01, 2023
144
Notice of Insider Sale Intent
Feb 09, 2023
SC 13G/A
Major Ownership Report
Feb 07, 2023
SC 13G/A
Major Ownership Report
Feb 02, 2023
10-Q
Quarterly Report
Jan 25, 2023
8-K
Current Report
Jan 13, 2023
4
Insider Trading
Jan 13, 2023
4
Insider Trading
Jan 11, 2023
4
Insider Trading

Latest Insider Trading transactions for ADP

Filter Transactions
Datesorted ascendingNameBuy/Sell$ ValueAvg. Price# SharesTitle
2023-03-01
Albinson Brock
sold
-330,000
220
-1,500
corp. vp
2023-01-11
Weinstein Donald
acquired
744,756
146
5,075
corporate vp
2023-01-11
KUTAM SREENIVASA
acquired
-
-
816
corp vp
2023-01-11
Weinstein Donald
sold
-1,243,380
245
-5,075
corporate vp
2023-01-09
Rodriguez Carlos A
acquired
5,516,920
146
37,594
executive chair
2023-01-09
Rodriguez Carlos A
sold
-9,071,170
241
-37,594
executive chair
2023-01-05
Rodriguez Carlos A
sold
-12,235,000
234
-52,254
executive chair
2023-01-05
Rodriguez Carlos A
acquired
8,874,820
169
52,254
executive chair
2023-01-04
Rodriguez Carlos A
acquired
8,154,430
138
58,864
executive chair
2023-01-04
Rodriguez Carlos A
sold
-14,071,800
239
-58,864
executive chair

1–10 of 50

Carlos A. Rodriguez
56000
Automatic Data Processing, Inc. provides cloud-based human capital management 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. Its offerings include payroll, benefits administration, talent management, HR management, workforce management, insurance, retirement, and compliance services. The PEO Services segment provides HR outsourcing solutions to small and mid-sized businesses through a co-employment model. This segment offers benefits package, protection and compliance, talent engagement, comprehensive outsourcing, and recruitment process outsourcing services. The company was founded in 1949 and is headquartered in Roseland, New Jersey.

ADP Income Statement

2022-12-31
Statements of Consolidated Earnings - USD ($)
shares in Millions, $ in Millions
3 Months Ended6 Months Ended
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2022
Dec. 31, 2021
REVENUES:    
Revenues$ 4,391.0$ 4,025.4$ 8,606.6$ 7,857.7
Costs of revenues:    
Operating expenses2,134.52,040.74,209.03,971.5
Systems development and programming costs204.2199.7413.9388.5
Depreciation and amortization112.0100.8221.4203.8
TOTAL COSTS OF REVENUES2,450.72,341.24,844.34,563.8
Selling, general, and administrative expenses855.7782.31,656.11,501.5
Interest expense57.018.4108.136.9
TOTAL EXPENSES3,363.43,141.96,608.56,102.2
Other (income)/expense, net(30.5)(26.6)(70.0)(55.4)
EARNINGS BEFORE INCOME TAXES1,058.1910.12,068.11,810.9
Provision for income taxes245.0215.7475.9416.0
NET EARNINGS$ 813.1$ 694.4$ 1,592.2$ 1,394.9
BASIC EARNINGS PER SHARE (in US$ per share)$ 1.96$ 1.65$ 3.84$ 3.32
DILUTED EARNINGS PER SHARE (in US$ per share)$ 1.95$ 1.65$ 3.82$ 3.30
Basic weighted average shares outstanding (shares)414.3419.8414.4420.6
Diluted weighted average shares outstanding (shares)416.2422.0416.6422.9
Revenues, other than interest on funds held for clients and PEO revenues    
REVENUES:    
Revenues$ 2,702.2$ 2,561.8$ 5,348.6$ 5,029.6
Interest on funds held for clients    
REVENUES:    
Revenues187.2106.0328.3207.1
PEO Revenues    
REVENUES:    
Revenues[1]$ 1,501.6$ 1,357.6$ 2,929.7$ 2,621.0
[1]Professional Employer Organization (“PEO”) revenues are net of direct pass-through costs, primarily consisting of payroll wages and payroll taxes of $17,852.4 million and $16,774.0 million for the three months ended December 31, 2022 and 2021, respectively, and $33,386.6 million and $30,037.2 million for the six months ended December 31, 2022 and 2021, respectively.

ADP Balance Sheet

2022-12-31
Consolidated Balance Sheets - USD ($)
Dec. 31, 2022
Jun. 30, 2022
Current assets:  
Cash and cash equivalents$ 1,345,000,000$ 1,436,300,000
Accounts receivable, net of allowance for doubtful accounts of $50.0 and $56.8, respectively3,162,300,0003,170,600,000
Other current assets875,800,000628,800,000
Total current assets before funds held for clients5,383,100,0005,235,700,000
Funds held for clients40,760,500,00049,569,200,000
Total current assets46,143,600,00054,804,900,000
Long-term receivables, net of allowance for doubtful accounts of $0.2 and $0.1, respectively7,700,0009,100,000
Property, plant and equipment, net655,100,000652,600,000
Operating lease right-of-use asset400,300,000450,900,000
Deferred contract costs2,574,800,0002,579,700,000
Other assets990,900,000937,400,000
Goodwill2,315,000,0002,300,500,000
Intangible assets, net1,365,600,0001,333,100,000
Total assets54,453,000,00063,068,200,000
Current liabilities:  
Accounts payable85,300,000110,200,000
Accrued expenses and other current liabilities2,373,300,0002,107,800,000
Accrued payroll and payroll-related expenses590,800,000862,600,000
Dividends payable514,600,000429,600,000
Short-term deferred revenues176,800,000188,200,000
Obligations under reverse repurchase agreements[1]0136,400,000
Income taxes payable11,100,00038,400,000
Total current liabilities before client funds obligations3,751,900,0003,873,200,000
Client funds obligations43,061,800,00051,285,500,000
Total current liabilities46,813,700,00055,158,700,000
Long-term debt2,988,100,0002,987,100,000
Operating lease liabilities334,100,000370,900,000
Other liabilities931,600,000924,200,000
Deferred income taxes66,800,00067,000,000.0
Long-term deferred revenues332,000,000.0335,000,000.0
Total liabilities51,466,300,00059,842,900,000
Commitments and contingencies (Note 13)
Stockholders' equity:  
Preferred stock, $1.00 par value: authorized, 0.3 shares; issued, none00
Common stock, $0.10 par value: authorized, 1,000.0 shares; issued, 638.7 shares at December 31, 2022 and June 30, 2022; outstanding, 414.4 and 416.1 shares at December 31, 2022 and June 30, 2022, respectively63,900,00063,900,000
Capital in excess of par value1,954,200,0001,794,200,000
Retained earnings21,333,000,00020,696,300,000
Treasury stock - at cost: 224.4 and 222.7 shares at December 31, 2022 and June 30, 2022, respectively(17,913,500,000)(17,335,400,000)
Accumulated other comprehensive (loss)/ income(2,450,900,000)(1,993,700,000)
Total stockholders’ equity2,986,700,0003,225,300,000
Total liabilities and stockholders’ equity$ 54,453,000,000$ 63,068,200,000
[1]As of June 30, 2022, $14.3 million of short-term marketable securities and $122.1 million of long-term marketable securities have been pledged as collateral under the Company's reverse repurchase agreements (see Note 9)