Automatic Data Processing, Inc.
NASDAQ•ADP
CEO: Ms. Maria Black
Sector: Industrials
Industry: Staffing & Employment Services
Listing Date: 1980-03-17
Automatic Data Processing, Inc. engages in the provision of 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 management, and tax compliance administration; ADP Workforce Now, a HCM solution used across mid-sized and large businesses to manage employees; and ADP Vantage HCM, a solution for HR management, benefits administration, payroll services, time and attendance management, and talent management. 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 employee benefits, protection and compliance, talent engagement, expertise, comprehensive outsourcing, and recruitment process outsourcing services. The company was founded in 1949 and is headquartered in Roseland, New Jersey.
Contact Information
Market Cap
$90.42B
P/E (TTM)
20.9
21.4
Dividend Yield
2.9%
52W High
$315.98
52W Low
$188.16
52W Range
Rank7
7.4
F-Score
Modified Piotroski Analysis
Based on 10-year fundamentals
Strong • 7.4 / 9 points
Scoring Range (0-9)
8-9: Excellent Value
6-7: Strong Fundamentals
4-5: Average Quality
0-3: Weak Performance
Data Period: 2016-2025
Financial Dashboard
Q3 2026 Data
Revenue
$5.94B+0.00%
4-Quarter Trend
EPS
$3.39+0.00%
4-Quarter Trend
FCF
$2.04B+0.00%
4-Quarter Trend
2026 Q2 Earnings Highlights
Key Highlights
Strong Revenue and Earnings Growth Total Revenues reached $10.53B, growing 7% reported; Net Earnings increased 8% to $2.08B for six months.
Diluted EPS Growth Accelerates Diluted EPS grew 9% to $5.12 for six months; Adjusted Diluted EPS also grew 9% to $5.11.
Adjusted Margin Expansion Achieved Adjusted EBIT Margin expanded 40 basis points to 25.7% driven by revenue and interest income contributions.
Shareholder Returns Maintained Returned $2.1B to shareholders via $1.3B dividends and $0.9B share repurchases in the six-month period.
Risk Factors
PEO Segment Margin Pressure PEO Services margin decreased 100 bps to 13.7% due to rising zero-margin benefits pass-through costs.
Increased Operating Expenses Total operating expenses rose 7% for six months, driven by PEO pass-through costs and service investments.
Ongoing Litigation Exposure Pending ERISA class action lawsuit filed in 2020 remains; management cannot estimate potential loss range.
Economic and Regulatory Uncertainty Results subject to risks from technology changes, inflation, foreign currency trends, and regulatory compliance.
Outlook
Strategic Focus on Next Gen Progress made on Strategic Priorities, launching ADP WorkForce Suite and enhancing ADP Assist capabilities.
Solid Liquidity Position Corporate liquidity remains solid with $2.4B cash and $10.6B committed credit facilities available for use.
FY2026 Capital Expenditure Plan Expecting capital expenditures between $225.0M and $250.0M for fiscal 2026, up from $176.8M in fiscal 2025.
Debt Refinancing Strategy Will revisit long-term debt market to refinance existing notes and finance future growth investments as needed.
Peer Comparison
Revenue (TTM)
$88.32B
$75.12B
$53.81B
Gross Margin (Latest Quarter)
76.2%
48.3%
45.2%
Key Metrics
Symbol | Market Cap | P/E (TTM) | ROE (TTM) | Debt to Assets |
|---|---|---|---|---|
| UNP | $161.91B | 22.4 | 40.4% | 45.2% |
| DE | $155.88B | 32.6 | 18.3% | 59.6% |
| HON | $139.60B | 34.1 | 23.6% | 45.5% |
Long-Term Trends
Last 4 Quarters
Revenue
Net Income
Operating Cash Flow
4Q Revenue CAGR
5.0%
Steady Growth
4Q Net Income CAGR
14.3%
Profitability Improving
Cash Flow Stability
100%
Strong Cash Flow
Deep Research
Next earnings:Jul 29, 2026
EPS:$2.59
|Revenue:$5.44B
Financials
Earnings Calls
Reports
News
Income Statement
Balance Sheet
Cash Flow Statement
Ratios
% Chg.
Income Statement | LTM |
|---|
No Data