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Automatic Data Processing Inc. (ADP)$225.31

Market Cap: 123.38 BCurrency: USD

Research Snapshot

Static fundamentals, valuation context, and investor signals for Automatic Data Processing Inc. (ADP).

TECHNOLOGY
SOFTWARE - APPLICATION
DCF ready

Valuation

24.3x

EV/FCF, 4.1% FCF yield

Quality

65.9%

ROIC, 24.0% FCF margin

Growth

7.1%

5Y sales (revenue) CAGR

Balance sheet

0.0x

Debt/equity, 1.0x current ratio

Superinvestors

6

Top: Terry Smith (6.1%)

Strengths to research

  • Free cash flow compounded at 10.3% over five years.
  • Return on equity is strong at 65.9%.
  • Free cash flow margin is healthy at 24.0%.
  • Debt/equity looks manageable at 0.0x.

Watchouts

No major valuation, balance sheet, or growth watchouts were detected by the static screen.

Annual data: 10 periods
Quarterly data: 24 periods
Stock snapshot: May 25, 2026
Static dataset: May 25, 2026

Quality Scorecard

Build-time composite score for ADP.

Grade B
67
/ 100

Peer Comparison

Target stock against 8 market-cap comparable peers.

Heat map: red worst to green best
ADP
Target
Automatic Data Processing Inc.$123.4B22.6x24.3x65.9%7.1%24.0%N/AN/AN/A
SHOPShopify Inc.$127.0B109.6x62.5x9.1%31.6%17.4%48.1%-1.0xN/A
MSTRMicroStrategy Inc.$105.7B-10.5x-1478.6x-7.4%-0.1%-15.8%68.7%N/AN/A
APPApplovin Corp.$102.1B49.4x26.0x59.0%30.4%72.5%N/A0.2xN/A
ADBEAdobe Inc.$162.4B14.7x16.6x40.0%13.1%41.4%89.3%0.1xN/A
INTUIntuit Inc.$176.7B23.4x29.4x15.1%19.7%32.5%N/A0.6xN/A
UBERUber Technologies Inc.$178.7B15.2x18.7x26.7%36.1%18.8%N/A0.6xN/A
CDNSCadence Design Systems$84.7B92.0x51.5x20.3%14.6%30.0%N/A-1.7xN/A
CNSWFConstellation Software Inc.$76.6BN/AN/AN/AN/AN/AN/AN/AN/A

Financial Charts

No financial data available for ADP (annual).

6 superinvestors own ADP

Current quarter ownership and quarter-over-quarter share changes.

Superinvestor ownership
FundSharesValue% PortfolioQoQ Change
Terry Smith

Fundsmith

3,855,105$783M6.11%0.0%
First Eagle Investment Management

First Eagle Investment Management

2,849,784$579M0.98%0.0%
Francois Rochon

Giverny Capital

419,090$85M3.12%0.0%
Mairs & Power Growth Fund

Mairs & Power Growth Fund

124,436$25M0.26%0.0%
Jensen Investment Management

Jensen Investment Management

104,897$21M0.42%0.0%
David Katz

Matrix Asset Advisors

13,591$3M0.25%0.0%