Automatic Data Processing, Inc.

ADP Technology Software Application

Automatic Data Processing, Inc.’s revenue for fiscal 2026 (year ended June 2026) was $21.9 billion, up 6.74% from fiscal 2025. In the quarter to June 2026, revenue grew 6.77%, EPS grew 9.37%, free cash flow fell 5.49% and total debt rose 24.9%, each against the same quarter a year earlier. Member of the S&P 500 and Nasdaq 100; dividend growth for twenty-five consecutive years, revenue growth for ten; insiders bought in the last twelve months.

288.90 3.25 +1.14%
Market cap
$113.2B
P/E
26.3×
Fwd P/E
19.0×
Dividend yield
2.35%
F-score
6/9
Altman Z
2.24
Beneish M
−2.63
Dividend safety
84/100

Insider Decisions trades per month

Total buys 0.75
Total sells 13.84
Totals in millions of $.
Dec 25 Mar 26 Jun 26 Sep 26
Buy — — — — — — 1 — — — — —
Sell — — 4 3 1 1 1 — 1 2 5 —
Insider Ownership 1.69%

Capital & Financial Ratios $m

Market Cap 113,190.00
Revenue 21,947.40
Net Income 4,413.50
Free Cash Flow 4,776.10
Net Debt 734.00
Current Ratio 1.05
Debt/Equity 0.82
P/E ratio 26.34
Fwd P/E 19.00
P/S ratio 5.30
P/B ratio 19.27 (above 6: high)
Past 5Y EPS Growth 12.50%
This Y EPS Growth 10.28%
Next Y EPS Growth 9.20%
Next Y revenue growth 5.83%
Next 5Y EPS Growth 9.51%

Green and red mark values outside typical ranges. How we judge →

Valuation vs history

P/E against its own 10 years 22.63%
10-year low 10-year high
P/S against its own 10 years 63.32%
10-year low 10-year high
P/B against its own 10 years 67.60%
10-year low 10-year high
EV/Sales against its own 10 years 65.20%
10-year low 10-year high
EV/FCF against its own 10 years 18.43%
10-year low 10-year high

Dividends

Payout Ratio 0.62
Annual Dividend Rate 6.80
Annual Dividend Yield 2.35%
total individual payouts
2029 Powerpack
2028 Powerpack
2027 Powerpack
2026 6.61
1.70
1.70
1.70
2025 6.32
1.54
1.54
1.54
1.70
2024 5.74
1.40
1.40
1.40
1.54
2023 5.15
1.25
1.25
1.25
1.40
2022 4.37
1.04
1.04
1.04
1.25
2021 3.83
0.93
0.93
0.93
1.04
2020 3.66
0.91
0.91
0.91
0.93
2019 3.28
0.79
0.79
0.79
0.91
2018 2.80
0.63
0.69
0.69
0.79
2017 2.34
0.57
0.57
0.57
0.63
2016 2.16
0.53
0.53
0.53
0.57
predictions special payouts not included in total or ratios

Assets vs Liabilities $m

2023 2024 2025 2026
Cash 2,084 3,297 7,847 4,230
Receivables 3,010 3,428 3,579 3,521
Inventory — — — —
Other 37,078 38,817 31,827 44,810
42,171 45,543 43,252 52,561
2023 2024 2025 2026
Payables 97 101 169 163
ST’ Debt — — — —
Other 38,644 39,889 31,382 44,555
42,768 45,080 41,278 50,025

Compound Annual Growth %

10y 5y 3y
Sales 6.52% 7.90% 6.81%
Cash Flow 11.11% 11.96% 8.95%
Earnings 11.45% 11.18% 8.96%
Book Value 3.01% 1.24% 19.79%

Revenue $m

Sep Dec Mar Jun Year
’26 — — — — —
’26 5,175 5,359 5,939 5,474 21,947
’25 4,833 5,048 5,553 5,127 20,561
’24 4,512 4,668 5,254 4,768 19,203
’23 4,216 4,391 4,928 4,478 18,012
’22 3,832 4,025 4,513 4,128 16,498
’21 3,471 3,696 4,102 3,737 15,005
Fiscal quarters ending in the months shown.

Operating Cash Flow $m

Sep Dec Mar Jun Year
’26 — — — — —
’26 642 1,133 2,238 1,428 5,441
’25 824 1,150 1,526 1,439 4,940
’24 327 1,032 1,498 1,301 4,158
’23 718 900 1,404 1,186 4,208
’22 122 1,094 971 913 3,100
’21 482 706 1,252 653 3,093
Fiscal quarters ending in the months shown.

Free Cash Flow $m

Sep Dec Mar Jun Year
’26 — — — — —
’26 502 991 2,044 1,239 4,776
’25 688 1,016 1,388 1,311 4,404
’24 222 903 1,343 1,154 3,623
’23 586 758 1,247 1,045 3,636
’22 19 966 826 769 2,580
’21 362 599 1,102 543 2,606
Fiscal quarters ending in the months shown.

EPS $

Sep Dec Mar Jun Year
’26 — — — — —
’26 2.49 2.62 3.38 2.45 10.94
’25 2.34 2.35 3.06 2.23 9.98
’24 2.08 2.13 2.88 2.02 9.10
’23 1.87 1.95 2.51 1.87 8.21
’22 1.65 1.65 2.21 1.50 7.00
’21 1.40 1.51 1.90 1.26 6.07
Fiscal quarters ending in the months shown.

Target Price Range

Analyst price targets

Recommendation Rating

2.8
1Buy 2 3Hold 4 5Sell

Ten years at a glance Fiscal years to June

Group Line 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 Trend 2027e 2028e 2029e
Price, $
Price, $ Low 94.11 107.61 126.06 103.11 159.31 192.26 201.46 231.27 247.18 188.16

Analyst estimates 2027–2029

Powerpack
High 121.77 153.51 174.50 182.32 248.96 274.92 256.84 309.63 329.93 290.12
People
People Employees 58,000 57,000 58,000 58,000 56,000 60,000 63,000 64,000 67,000 67,000
Revenue/emp, $m 0.21 0.23 0.24 0.25 0.27 0.27 0.29 0.30 0.31 0.33
Income, $m
Income, $m Revenue 12,372 13,274 14,110 14,590 15,005 16,498 18,012 19,203 20,561 21,947
Gross margin, % 41.44 41.56 43.15 42.12 42.42 42.65 44.74 45.44 46.03 46.42
EBT 2,617 2,283 3,006 3,183 3,361 3,804 4,438 4,872 5,310 5,730
EBT margin, % 21.15 17.20 21.30 21.81 22.40 23.06 24.64 25.37 25.83 26.11
Net income 1,788 1,885 2,293 2,467 2,599 2,949 3,412 3,752 4,080 4,414
Depreciation 1,190 1,287 1,333 1,445 1,516 1,571 1,565 1,587 1,656 1,698
Per share, $
Per share, $ Revenue 27.63 30.13 32.44 33.87 35.20 39.39 43.54 46.77 50.51 54.55
Earnings 3.87 3.68 5.27 5.73 6.10 7.04 8.25 9.14 10.02 10.97
Cash flow 4.75 5.71 6.18 7.02 7.26 7.40 10.17 10.13 12.13 13.53
Capex (1.05) (1.07) (1.28) (1.36) (1.14) (1.24) (1.38) (1.30) (1.32) (1.65)
Free cash flow 3.70 4.64 4.90 5.66 6.11 6.16 8.79 8.82 10.82 11.87
Book value 8.88 10.75 12.41 13.35 13.30 7.70 8.48 11.08 15.20 14.99
Shares, m 448 441 435 431 426 419 414 411 407 402
Valuation, ×
Valuation, × P/E 26.41 32.58 31.51 25.98 32.67 29.88 26.67 25.76 30.81 20.41
P/S 3.71 4.48 5.13 4.40 5.64 5.33 5.05 5.04 6.11 4.11
P/B 11.54 12.55 13.40 11.15 14.93 27.27 25.91 21.28 20.29 14.94
EV/Sales 3.65 4.46 5.13 4.40 5.68 5.44 5.11 5.02 5.97 4.18
EV/FCF 27.25 28.98 34.01 26.34 32.69 34.78 25.31 26.63 27.86 19.23
Cash, $m
Cash, $m Operating cash flow 2,126 2,515 2,688 3,026 3,093 3,100 4,208 4,158 4,940 5,441
Capex (471) (470) (559) (587) (487) (519) (572) (535) (536) (665)
Free cash flow 1,655 2,045 2,130 2,439 2,606 2,580 3,636 3,623 4,404 4,776
Balance, $m
Balance, $m Working capital 2,843 1,411 1,715 1,438 2,647 (354) (597) 463 1,974 2,536
Total debt 2,002 2,002 2,264 2,005 2,985 2,987 2,989 2,991 3,975 4,964
Net debt (778) (168) 305 96 410 1,551 906 (306) (3,872) 734
Shareholders’ equity 3,977 4,736 5,400 5,752 5,670 3,225 3,509 4,548 6,188 6,031
Returns, %
Returns, % ROA 4.42 4.96 5.68 6.09 5.91 5.27 5.98 7.12 7.57 7.57
ROIC 45.99 34.99 33.14 33.57 34.18 49.77 63.81 72.90 146.04 53.39
ROE 42.27 43.27 45.24 44.23 45.50 66.30 101.33 93.14 76.00 72.24
Negative figures in brackets.

All 10 years →

Fiscal years to Jun 2026 · latest quarter Jun 2026

Charts ten years each

Automatic Data Processing, Inc. vs peers in Software Application (Q) = latest quarter vs a year earlier

Company Market cap P/E Fwd P/E Revenue growth (Q) EPS growth (Q) FCF growth (Q) Gross margin (Q) EBIT margin (Q) Compare
NOW ServiceNow, Inc. $153.6B 88.0× 56.5× +24.01% (above 0%: growing) −22.04% (below 0%: shrinking) −10.08% (below 0%: shrinking) 70.68% 4.06% Compare
UBER Uber Technologies, Inc. $145.6B 15.2× 24.0× +12.17% (above 0%: growing) +81.54% (above 0%: growing) +12.81% (above 0%: growing) 44.93% 13.32% Compare
SNOW Snowflake Inc. $118.2B — (loss-making) — (loss-making) +35.09% (above 0%: growing) n/m +47.23% (above 0%: growing) 67.02% (17.00%) Compare
ADP Automatic Data Processing, Inc. $113.2B 26.3× 19.0× +6.77% (above 0%: growing) +9.37% (above 0%: growing) −5.49% (below 0%: shrinking) 45.88% 23.00%
ADBE Adobe Inc. $98.0B 13.7× 13.8× +12.89% (above 0%: growing) +10.77% (above 0%: growing) +14.68% (above 0%: growing) 88.71% 34.82% Compare
DDOG Datadog, Inc. $95.6B 485× 420× +35.64% (above 0%: growing) +1,610.53% (above 0%: growing) +68.55% (above 0%: growing) 78.59% 0.49% Compare
CDNS Cadence Design Systems, Inc. $89.3B 63.1× 83.7× +24.23% (above 0%: growing) +127.12% (above 0%: growing) +72.50% (above 0%: growing) 84.90% 28.42% Compare
INTU Intuit Inc. $88.2B 19.7× 15.3× +13.65% (above 0%: growing) −1.47% (below 0%: shrinking) +253.37% (above 0%: growing) 78.11% 10.91% Compare
MSTR Strategy Inc $63.9B — (loss-making) 3.8× +6.88% (above 0%: growing) n/m +6.40% (above 0%: growing) 66.64% (6,808.11%) Compare
Median of peers $96.8B 41.4× 24.0× +18.83% +46.16% +30.96% 74.40% 7.49%

All 237 Software Application stocks →

ADP metrics, ten years each

Automatic Data Processing, Inc. (ADP) key facts

  • Strength: Automatic Data Processing, Inc.’s revenue for fiscal 2026 (year ended June 2026) was $21.9 billion, up 6.74% from fiscal 2025.
  • Automatic Data Processing, Inc. (ADP) is a Software Application company in the Technology sector, listed on Nasdaq.
  • As of October 16, 2026, ADP traded at $288.90, a market capitalization of $113.2 billion.
  • Automatic Data Processing, Inc. pays an annual dividend of $6.80 per share, a yield of 2.35%, with a payout ratio of 62.2%.
  • Return on equity was 72.2% and debt-to-equity 0.82.
  • Its Piotroski F-score is 6 out of 9 and its Altman Z-score is 2.24 (grey zone) for fiscal 2026.

Source: company filings (standardised) and stockrow calculations.

Financial Analysis (summary)

Updated

Automatic Data Processing reported revenue of $21.9 billion in FY2026 and net income of $4.4 billion in FY2026. Revenue grew 6.74% in FY2026 against FY2025, while diluted EPS reached $10.94 in FY2026. In Q4 FY2026, revenue was $5.5 billion, net income was $978.6 million, and diluted EPS was $2.45.

Margins in FY2026 included a 46.4% gross margin, a 26.3% operating margin, and a 20.1% net margin. Operating cash flow was $5.4 billion in FY2026 and free cash flow was $4.8 billion in FY2026. Total debt was $5.0 billion in FY2026, while cash and short-term investments were $4.2 billion in FY2026.

Automatic Data Processing, Inc. (ADP) Latest News

21 Sep

Impact 3 ·
stockrow.com/ADP · Data as of Jun 30, 2026 · For information only; not investment advice. · © 2026 stockrow.com